TNG Ltd. (ASX:TNG) announced that it signed a three-way memorandum of understanding (MOU) with Hyundai Steel Co. Ltd. (KRX:004020) and Korea’s Woojin Ind. Co. Ltd. on July 10, 2014.

The MOU, which is non-binding, “pav[es] the way for a potentially company-making funding, development and construction arrangement” for TNG’s Australia-based Mount Peake vanadium project.

MOU highlights include:

Hyundai Steel Co., Ltd, a leading Korean-based global steel company and member of the Hyundai-Kia Automotive Group, and ferro-vanadium giant WOOJIN sign non-binding development MoU with TNG.
Hyundai Steel is one of the world’s largest electric arc furnace (EAF) steel manufacturers, with three new blast furnaces, and forms part of a global industrial conglomerate.
The MoU encompasses strategic co-operation to deliver a cornerstone investment in TNG, potential off-take for the iron products from TNG’s Mount Peake project and includes consideration of TNG’s other resource projects.
Hyundai Steel will also assist TNG with procuring project finance to underpin development of its world-class Mount Peake Vanadium Project in the Northern Territory.
Discussions to progress this MoU to binding agreements are already underway. Completion will represent a company-making development for TNG, securing the Company’s future as a major strategic metals house.

Click here to read the full TNG Ltd. (ASX:TNG) press release.