(MENAFN- ProactiveInvestors - Australia) Navigator Resources (ASX: NAV) has gone into an ASX trading halt as it prepares an update on its funding requirements and discussions with Au Mining Limited.
The company had previously secured an increase in its working capital facility with Au Mining to $11 million from $8 million and is in talks on terms for a larger funding package.
Navigator is using the funds to cover operating expenditures at its Bronzewing Gold Project, which is forecast to have negative cash flow in the March 2013 quarter due to processing issues.
Mechanical issues with its crushing facility have resulted in inadequate quantities of crushed ore feed for the mill.
This has resulted in the requirement for the introduction of a mobile 3-stage crushing plant capable of crushing 20,000 tonnes per week to provide supplementary mill feed, allowing the Bronzewing crushing facility to undergo maintenance, while providing the crushed ore stock required for the operation of the mill facility.
The trading halt will last until the earlier of an announcement being made available to the market, or the opening of trade on Wednesday 20 February.
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