Galileo Resources - Update on Offtake Agreement for Star Zinc ore
For immediate release
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR).
("Galileo" or "the Company")
Progress in negotiating Offtake Agreement for Star Zinc ore
Galileo is pleased to provide an update, further to its announcement of
· Ore supply for up to 60 000t tonnes (t) ore per annum
· Ore grade supplied not less than 14% Zn
· Payability to be consistent with similar offtake agreements in the zinc market, typically based on a sliding scale against grade and price
· Three-year term supply, renewable by mutual agreement
· Mining targeted to commence Q2 2020, subject to availability of further funding and grant of mining right including environmental permit.
· Contribution of silver and germanium from Star Zinc ore to be further assessed
· Amenability and suitability of Kashitu material for the Refinery to be tested on site, in particular the recoverability of vanadium, the presence of which has been identified historically on Kashitu.
Colin Bird CEO said: "Negotiations are advancing satisfactorily towards an industry normal arrangement and allows us to do the necessary administration and planning to bring the Projects into production. The Projects offer the potential to provide consistent quantity and quality of Ore to the Refinery. Furthermore, the suitability of the potentially much larger Kashitu deposit and its vanadium content offers the opportunity of a long term sustainable ore supply . We look forward to concluding the arrangements and commencing exploration and then commencing testing on Kashitu as soon as practicable whilst advancing Star Zinc to production status .
JMG secured the
The Company will make a further announcement once the terms of the Agreement have been finalised between the parties.
You can also follow Galileo on Twitter: @GalileoResource
For further information, please contact:
Colin Bird, Chairman
Andrew Sarosi, Executive Director
Tel +44 (0) 20 7581 4477
Tel +44 (0) 1752 221937
Roland Cornish/James Biddle
Tel +44 (0) 20 7628 3396
Colin Rowbury /Jon Belliss
+44 (0) 20 7399 9400
Tel +44 (0) 20 7186 9952
This information is provided by RNS, the news service of the
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