Arafura Resources (ASX:ARU) has moved the development of the Nolan's Project another step closer, and increased export potential, with the signing of an exclusivity deed with a subsidiary of OneSteel (ASX:OST) to purchase land at Whyalla, South Australia, for its proposed rare earths processing complex.
The deal allows Arafura immediate access to site to progress detailed engineering and environmental studies, and marks a major milestone in the planned development of the 100% owned Nolans Project
Steve Ward, managing director and chief executive officer, said the site selection decision follows a comprehensive review of potential sites Australia-wide.
“This marks a great step forward for Arafura in delivering the Nolans Project."
“This will truly be a value-adding project in Australia where our mineral resources are upgraded prior to sale."
"Whyalla will be Arafura’s - and Australia’s - gateway to global rare earths markets."
The final decision to proceed with construction of the Rare Earths Complex will be made following completion of a Bankable Feasibility Study and project finance is secured.
“The signing of this Deed is further evidence that Arafura is committed to delivering on its stated objective to be the recognised leading supplier of rare earths to users worldwide from 2013,” said Ward.