Walford Creek copper- cobalt mine proponent Aeon Metals says it has received a raft of funding proposals.

It comes as the company prepares to release an updated mineral resource estimate for the project, 350km north-west of Mount Isa, this week.

“While the Indicative Funding Proposals remain non-binding, and there is no certainty that funding will eventually be obtained under any of them, a number have the potential to significantly reduce Aeon’s overall funding requirements with respect to the progression and planned development of the Walford Creek Project,” managing director and chief executive officer Hamish Collins said in a statement to the ASX.

Among them is an offer from Aeon’s major shareholder and lender, OCP Asia, to increase the limit on its existing loan facility by up to $4 million.

Mr Collins said this would be expected to provide sufficient funds to take Aeon through to completion of the current pre-feasibility study on the Walford Creek project, which is expected in the second quarter of 2020.

Scoping study results released in October showed an attractive case for a $323 million mining and processing operation at Walford Creek.

This was based on open-pit and underground mining of the Vardy and Marley deposits over a mine life of about 11 years. That work did not include the Amy deposit, which will be factored into the pre-feasibility study.

Aeon is also expecting an R&D grant in excess of $1.5 million to be received in December for research work already completed.

This grant is associated with the selection, design and operation of metallurgical processes that seek to produce high grade concentrates consistently and at maximum recovery.