NQ Minerals Plc Offtake Agreement and Prepayment Funding for the Hellyer Project
12 Jul, 2018, 22:47 BST
LONDON, July 12, 2018 /PRNewswire/ -- NQ Minerals Plc (NEX: NQMI; OTCQB: NQMLF) the "Company" or "NQ Minerals", an Australia based exploration and mining company, is pleased to announce that its wholly-owned subsidiary, Hellyer Gold Mines Pty Ltd ("Hellyer"), has entered into two marketing and off-take agreements, combined with a US$10,000,000 secured prepayment facility agreement with Traxys Europe S.A.
The marketing and offtake agreements relate to the sale of all the lead and zinc concentrates to be produced from NQ Minerals' wholly-owned Hellyer Project located in Tasmania and cover the first 5 years of concentrate production. The agreements provide Hellyer access to Traxys's extensive global network and an experienced marketing and distribution team for base metal concentrates.
The prepayment facility, which is guaranteed by the Company, provides flexible pre-production funding to enable the completion of refurbishment of the Hellyer plant and start up working capital.
A full report on the status of Hellyer refurbishment activities can be found on the Company's website – www.nqminerals.com.
Commenting, Brian Stockbridge, Non-Executive Chairman of NQ Minerals said, "This completes our start-up funding and creates a strong partnership with a leading global commodity trading organisation. Traxys provide us with commercial and logistic experience and expertise which complements our team as we progress towards a 2018 start of operations."
About NQ Minerals and Hellyer
NQ Minerals Plc is an Australian based mining and exploration company focused on near-to-cash discoveries and acquisitions in fiscally robust jurisdictions.
The Hellyer Project is based on the retreatment of tailings from previously mined VMS deposits in North West Tasmania. These tailings host a JORC compliant Reserve of 8.05Mt @ 2.57 g/t gold, 93 g/t silver, 3.05% lead and 2.55% zinc. The fully permitted retreatment project involves refurbishment of the existing site facilities in order to extract and reprocess the full resource into lead, zinc and precious metal concentrates at very low operating cost.
NQ Minerals acquired Hellyer in May 2017 and following engineering, project planning and fundraising activities commenced full time refurbishment of the dredging and processing plant in January 2018.
In addition to the Hellyer Project, NQ Minerals is developing the Ukalunda and Square Post properties in Northern Queensland.
About Traxys
Traxys S.A. provides distribution and financing solutions for base metals and concentrates, materials for steel mills and foundries, minor and alloying metals, industrial minerals and chemicals, energy, and rare earths. The company, which is based in Luxembourg, has locations in Belo Horizonte, Brazil; Lima, Peru; Mexico City, Mexico; New York, New York; Dusseldorf, Germany; Istanbul, Turkey; Madrid, Spain; Moscow, Russian Federation; Paris, France; Beijing and Shanghai, China; Hong Kong; New Delhi, India; and Johannesburg, South Africa.
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SOURCE NQ Minerals Plc
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