Black Cat Syndicate's announcement of turn-key funding, development and processing for Myhree and Boundary open pits

Black Cat Syndicate Limited (ASX: $BC8) has revealed a significant development with the announcement of a turn-key funding, development, and processing package for the Myhree and Boundary open pits at the 100% owned Kal East Gold Project. The company has entered into agreements with Mineral Mining Services Pty Ltd (MMS) and Paddington Gold Pty Ltd (PGPL) to facilitate the commencement of mining and ore processing at the Kal East Gold Project.

Executive commentary on the turn-key funding, development and processing arrangement

Black Cat's Managing Director, Gareth Solly, expressed enthusiasm about the turn-key solution, emphasizing its ability to fund and operate the Myhree and Boundary open pits while allowing the company to maintain focus on the Paulsens restart. Solly highlighted the profit share arrangement, which incentivizes both parties to deliver the best possible result, with Black Cat set to receive the first $30M in cashflow after the recovery of start-up costs. He also mentioned the company's progress towards transitioning from an explorer to a producer, with both Paulsens and Kal East nearing operation.

Summary of the turn-key funding, development and processing announcement

Black Cat Syndicate's announcement of turn-key funding, development, and processing for the Myhree and Boundary open pits marks a significant milestone in the company's strategic initiatives. The agreements with MMS and PGPL demonstrate the company's ability to secure funding and operational support without upfront capital contribution, enhancing its cashflows and secured debt capacity. The planned mining commencement in June/July 2024 and the subsequent ore haulage and processing over approximately 18 months are expected to generate additional cashflows to fund the development of other projects, such as Coyote and/or Kal East. With the turn-key nature of these arrangements, Black Cat can maintain its focus on the Paulsens restart while extracting value from the Kal East Gold Project. The company's Managing Director, Gareth Solly, expressed confidence in the agreements, highlighting the potential for Black Cat to transition from an explorer to a producer.