Offtake Agreement Glencore

Under the agreement, Glencore will supply at least 61,200 tonnes of cobalt dioxide to GEM between 2020 and 2024. Alexco and Glencore have concluded two offtake agreements, one for lead concentrate and one for zinc concentrate. Both concentrates are made from Alexco`s new conventional flotation mill, located about 4.5 kilometres from the Bellekeno silver-lead-zinc mine. In the first two years of take-take agreements, approximately 42,800 tonnes of concentrate with 27,300 tonnes of lead concentrate and 15,500 tonnes of Bellekeno zinc concentrate are expected to be shipped for processing and refining. Nominal concentrate grades should be about 70% lead with more than 6,200 grams per tonne of silver in lead concentrate and 54% zinc with more than 300 grams per ton of silver in zinc concentrate. There are no significant harmful elements in both concentrates. The catch agreements also provide for the payment of indium as soon as commercially concentrated varieties for indium are detected. Diversified miner Glencore has entered into a five-year agreement to supply cobalt oxide to Chinese battery metals manufacturer GEM Co. Alexco Resource Corp. (TSX:AXR, NYSE-AMEX:AXU) (“Alexco” or “company”). The signing of these contracts with Glencore coincides with the launch of concentrate deliveries from the new Bellekeno silver-lead-zinc mine, commissioned by Alexco in the Keno Hill Silver District of Yukon. This agreement with Glencore would help the company complete project financing and achieve revenues of approximately $4 billion for the first 10-year period to ensure macarthur`s long-term revenue and consistent annual revenue.

Chris McNamee, CEO of Aldel, said: “This is a huge boost for Aldel, its people and the wider economy, as it is part of the coronavirus crisis and the resulting economic uncertainty. This agreement with one of the main players in our sector to buy our production will continue to secure our medium-term future and give us the confidence to advance our 10-year plan to make Aldel a European leader in green aluminium. We believe that Europe needs a strong and environmentally efficient production base more than ever before and that we must play an important role as an independent aluminium producer. The acquisition agreement will provide a guaranteed market for the production of the Aldel plant in times of great uncertainty.

This entry posted in Uncategorized. Bookmark the permalink. 

Comments are closed.