Metallica Minerals (ASX:MLM) has revealed that a further A$900,000 has been received into the Joint Venture bank account under the Cape York Heavy Mineral Sands (HMS) and Bauxite Joint Venture Agreement.
The Chinese investor is using a wholly-owned Australian subsidiary named Ozore Resources Pty. Ltd, and after today's payment now has a 27.33% joint venture interest.
In total, a private Chinese partner is funding A$7.5 million into the joint venture, which covers all Metallica’s Heavy Mineral Sands (HMS) and Bauxite holdings on Queensland’s Cape York.
Increasing bauxite demand and prices are expected to intensify due to the simultaneous major reduction in bauxite supply from Indonesia and India, and increased demand for alumina to supply rising aluminium production and consumption in China, India and Middle East.
Typically HMS & Bauxite deposits/projects are located close to each other and therefore potentially sharing and integrating exploration, feasibility, development, infrastructure and future costs.
The Urquhart Point project is proximate to large bauxite deposits (Rio Tinto & QLD Govt).
There may be an opportunity for Metallica to use the Urquhart Point infrastructure, established local relationships and existing Mining Leases to facilitate a bauxite mining, barging and shipping operation from Urquhart Point.
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