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TNG signs another MoU at Mt Peake

23rd June 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Vanadium developer TNG has signed a memorandum of understanding (MoU) with commodity trading company Gunvor Group over its flagship Mt Peake vanadium/titanium/iron project, in the Northern Territory.

The MoU envisaged a long-term strategic cooperation between the two companies with respect to the offtake, marketing and distribution of Mt Peake’s iron products, product development and sales strategies to maximise bottom line value for TNG, and funding of the ongoing bankable feasibility study (BFS) for the Mt Peake project.

The MoU with Gunvor adds to the similar offtake and marketing agreements TNG has recently secured with Korean ferrovanadium group WOOJIN for Mt Peake vanadium products and with global chemical products distributor Global Pacific Partners for the titanium products.

TNG MD Paul Burton said with the third key offtake and marketing agreement in place, the company would now work to secure binding agreements with each of the proposed offtake partners.

“With preliminary agreements now in place for each of the three commodities to be produced from Mt Peake, and an outstanding group of strategic partners, TNG is exceptionally well placed to realise the full value of this world-class project for our shareholders,” Burton said.

“Our focus will now be to finalise binding offtake and marketing agreements with each of these partners, while at the same time progressing the Mt Peake feasibility study towards completion.

TNG is currently advancing a staged definitive feasibility study on the Mt Peake project. The company is aiming to start construction by 2014, with first production and exports slated for 2015.

Edited by Creamer Media Reporter

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