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Australia Investing
Arafura Resources Signs NdPr Offtake MOU with JingCi
Oct. 15, 2018 11:51AM PST
Arafura Resources (ASX:ARU) has signed a memorandum of understanding (MOU) with JingCi Material Science Co. to supply neodymium-praseodymium (NdPr) oxide from its Nolans project in Australia’s Northern Territory.
Arafura Resources (ASX:ARU) has signed a memorandum of understanding (MOU) with JingCi Material Science Co. to supply neodymium-praseodymium (NdPr) oxide from its Nolans project in Australia’s Northern Territory.
JingCi is a Chinese manufacturer of neodymium iron boron (NdFeB) permanent magnets, with 85 percent of the company’s sales being outside of China to automotive, wind energy, consumer electronics and industrial motor companies.
As quoted in the press release:
The non-binding MoU envisages the long-term supply to JingCi of up to 900 tonnes per annum of NdPr oxide, a quarter of Nolans forecast annual output of 3,600 tonnes1 , and provides a framework for negotiating a final offtake agreement.
The MoU also contains provisions whereby JingCi may assist Arafura in project financing, potentially through the introduction of OEMs to the process.
