It is reported that a Sydney mining company is shifting focus from NSW to development of a nickel project near Launceston.

As per report, Proto Resources sold its exploration licenses near Broken Hill to focus on its Barnes Hill project in Tasmania.

A 12.1 million tonne indicated resource has been defined at Barnes Hill and recent drilling uncovered iron ore potential which the company expects to be of commercial grade in line with other small scale operations close to BHP Temco smelter.

Proto Resources has a financing and technology agreement with Metals Finance Corporation for Barnes Hill. Under the deal, MFC will take an interest in the project in return for getting the technology and financing assistance needed to bring the project into production.

(Sourced from http://www.themercury.com.au)