Nautilus Provides Update on Solwara Project Progress

Nautilus Minerals (TSX:NUS) has reported that it is currently negotiating the terms of an agreement with arm’s length third parties that would involve the creation of a new joint venture company to be owned by the third parties and Nautilus’ subsidiary, Nautilus Minerals Niugini Limited.

The company said the purpose of the vessel JV would be to fund the acquisition of the production support vessel (PSV) that Nautilus had previously arranged to be procured through MAC Goliath and the integration costs of installing the mining equipment on the PSV. The vessel JV would own and operate the fully integrated PSV. The vessel JV would charter the PSV to the existing Solwara 1 joint venture between NMN and the Independent State of Papua New Guinea’s nominee, Eda Kopa Limited.

As quoted in the press release:

As previously disclosed, Nautilus has been notified by the owner of the shipyard, Fujian Mawei Shipbuilding, where the PSV is being built, that the shipyard has rescinded the shipbuilding contract between the shipyard and MAC, the contractor engaged by Nautilus to procure the PSV on behalf of Nautilus. The shipyard has continued to install components of the company’s seafloor production equipment on the PSV, with the latest being the installation of an operating console in mid-November. The company is currently in negotiations with various parties to enable the acquisition of the PSV to facilitate the proposed vessel JV. There can be no assurances that such discussions will be successful.

Click here to read the full Nautilus Minerals (TSX:NUS) press release.