StockMarketWire.com - Tri-Star Resources said further funding would be needed to complete an antimony-gold processing facility in Oman after 'certain engineering issues' were encountered during construction.

Strategic & Precious Metals Processing's plant, which is 40%-owned by Tri-Star, had produced a quantity of intermediate product.

However, as a result of the delay in first metal and full commissioning, it would need further funding for additional capex and working capital.

Tri-Star said Strategic & Precious Metals Processing, or SPMP, had requested an additional $10.5m from its shareholders.

Discussions were ongoing as to how the finance may best be provided, Tri-Star said.

Remediation requirements related to the plant's problems were understood and in process, it added.

'SPMP feels that the capability of the plant to produce antimony and other metals is now confirmed and an update on first metal is expected once the remediation work and furnace commissioning is complete,' Tri-Star acting chief executive Karen O'Mahony said.

'The delay means SPMP will need additional capital to finance its operations through to positive cashflow and management are engaged with a number of local banks who continue to be supportive.'

'Whilst SPMP has requested an additional $10.5m from its shareholders, we are discussing the best approach to this funding, including speaking to local lenders and other funding providers.'

At 8:31am: [LON:TSTR] TriStar Resources PLC share price was -10p at 29.5p



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