IMX Signs MOU for Development of Chilalo Graphite Project

IMX Resources Ltd. (ASX:IXR) announced that it’s signed a memorandum of understanding (MOU) with China Gold Investment Co. Ltd. and CN Docking Joint Investment and Development Co. Ltd. regarding its Tanzania-based Chilalo graphite project.
Under the MOU, the parties have agreed to start an “exclusive negotiation and due diligence period” for the development of Chilalo. The due diligence period will end on July 31, 2016.
Highlights of the MOU include:

• MOU signed with China Gold Group Investment Co Ltd (‘China Gold Investment’) and CN Docking Joint Investment and Development Co. Ltd (‘CN Docking’), a subsidiary of China National Building Material Group Corporation
• MOU marks the commencement of formal due diligence and exclusive negotiation process focussing on project equity, financing, EPC and offtake
• China Gold Investment has formed a strategic partnership with CN Docking to jointly develop graphite opportunities
• China Gold Investment’s interest stems from extensive testing it has undertaken on product from the Company’s metallurgical program, particularly Chilalo Graphite’s exceptional expandability, and hence its potential use in flame retardant building materials

Phil Hoskins, managing director of IMX, commented:

Attracting partners of the calibre of China Gold Investment and CN Docking is an excellent outcome and testament to the market leading quality of the Chilalo product, in particular its expandability. I am confident in the strength of the relationship IMX has developed with China Gold Investment over the past seven months and it is a relationship I expect will secure Chilalo’s pathway to becoming a producing graphite asset and adding significant value for our shareholders.

Click here to read the full IMX Resources Ltd. (ASX:IXR) press release.