Fox Resources has repaid the $4 million project funding with Jinchuan Group Limited in December.

Jinchuan, China's largest nickel producer, provided Fox with a $4 million pre-payment on May 22, last year for copper sales from the company's West Whundo Copper Zinc mine through a financing agreement.  In addition to the West Whundo offtake copper concentrate agreement, Fox has a current life-of-mine offtake agreement with Jinchuan for all nickel and copper concentrate sales from the Radio Hill operations.

 Fox managing director  Don Harper is buoyant with the strengthening relationship between Fox and Jinchuan.

Fox is now completely bank and project debt-free.

"It's encouraging to be able to repay Jinchuan on such positive terms and look forward to what 2007 has in store for our next phase of growth," Don Harper says.

 "Our attention is now focused on seeking an offtake agreement for our premium zinc concentrate," he said.

 The company is on schedule to become Australia's next zinc producer in a climate of falling zinc stockpiles and record zinc prices.