A NEW Tasmanian bauxite mine is on track to start by the end of the year.

Proponent Australian Bauxite Limited has gained a financier and a 50 per cent offtake agreement.

Australian Bauxite wants to mine near Campbell Town, and has deposits between Deloraine and Launceston.

The international Noble Group has agreed to provide $6 million in project finance, plus a $2 million standby facility if needed for expansion.

Noble will also take half Australian Bauxite's production for the first four years, at a fixed price.

Australian Bauxite - chaired by former premier Paul Lennon - will be expected to repay both loan facilities within two years of their first drawdown dates.

''It is expected that $1 million will be required for the first drawdown by December 2014, when the project is planned to commence,'' Australian Bauxite told the ASX.

''We are grateful for the support from investors and Tasmanian stakeholders,'' Australian Bauxite CEO Ian Levy said.

''It is time for us to deliver.''

The mine is expected to provide about 45 direct jobs, with the company keen to employ Tasmanians.

It may pick up some of the West Coast miners who lost their jobs mid-year when the Mt Lyell Mine closed.