Lincoln Gold Mining plans to progress the Bell Mountain Project in Churchill County, Nevada, US, following its acquisition from Eros Resources.
The company is now in discussions with financial institutions to secure the capital needed to complete construction.
Lincoln expects construction to take eight to ten months once funding is secured.
Following this, the company plans to initiate the gold and silver mineralisation placement and leaching process.
Globex holds a scaling royalty on all mineral products from the project based on the price of gold in US dollars.
In addition to the royalty, Globex receives annual advance royalty payments of $20,000.
Lincoln Gold Mining president and CEO Paul Saxton said: “This milestone allows Lincoln to proceed to acquire the funding necessary to complete the design details and the start of construction at the Bell Mountain. Much of the detail design work has been completed already.
“In addition, we plan on continuing the permitting at Pine Grove and carrying on with exploration on both properties, especially around the four defined deposits at Bell Mountain.”
The Bell Mountain gold project comprises 54 lode claims covering 651 hectares on Bureau of Land Management (BLM) land.
Located approximately 82km south-east of Fallon and 102km south-east of Reno, the property includes a water well with rights for mining purposes.
A preliminary economic assessment (PEA) has been filed in accordance with National Instrument 43-101 standards.
The PEA outlines the heap leach operation for gold production, using a base case with a gold price of $2,200/oz and a silver price of $24.00/oz.
It highlights a robust cash flow, though it remains preliminary and speculative, the company said.
The PEA includes inferred mineral resources, which are too speculative geologically to be classified as mineral reserves, it added.
There is no certainty that the PEA will be realised, and the current information is insufficient to convert mineral resources to reserves.
A technical economic model has also been developed to assess the project's potential annually.
