Javelin Minerals has secured a landmark right-to-mine agreement with MEGA Resources, paving the way for early gold production and cashflow at the Eureka gold project near Kalgoorlie.
Under the deal, full-service contractor MEGA will fund and operate the mine, provide development capital, and share profits with Javelin on a 50:50 basis from the approved mine plan. Javelin will also receive monthly pre-payments of $250,000 once ore processing begins.
“We are extremely pleased to partner with MEGA at Eureka. MEGA is a highly regarded mining contractor with the people, expertise and material balance sheet to support development of the project,” Javelin Minerals executive chair Brett Mitchell said.
“Importantly, under the agreement MEGA will provide up to $25 million in working capital, meaning Javelin will not need to secure any additional funding to commence operations.”
Mining at Eureka is scheduled to start in the June quarter of 2026, subject to approvals and finalisation of a third-party ore processing agreement, with negotiations described by the company as materially advanced.
Javelin’s 2025 mining plan outlines 698,887 tonnes at 1.98 grams per tonne (g/t) gold, a 32 per cent grade uplift on earlier estimates. The broader mineral resource stands at 2.04 million tonnes at 1.69 g/t gold for 110,687 ounces.
Beyond the base mine plan, Javelin will retain a 70 per cent share of profits from any additional deposits brought into production under the agreement.
Alongside the mining partnership, Javelin has raised $4.5 million through a placement, the cornerstone of which is a $1 million investment by MEGA. Javelin also plans a 1-for-31 share consolidation, subject to shareholder approval.
Exploration drilling at Eureka is planned for the fourth quarter of 2025, with new Javelin general manager – exploration and resources, Mark Cossom also being recently appointed.
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