Galaxy Resources Announce Lithium Concentrate Offtake Signed for Mt Cattlin

Galaxy Resources Limited (ASX:GXY) announced it has forward sold 60,000 tonnes of lithium concentrate from the Mt Cattlin project in Ravensthorpe, Western Australia, for US$600 per tonne to two China-based buyers.  
As quoted in the press release:

Highlights

• Binding agreements signed with major Chinese customers
• 60,000 tonnes of lithium concentrate sold for 2016 delivery at US$600/t (FOB)
• Prepayment of 50% of total order value (US$18m) to be paid in cash, before 31 March 2016
• Binding commitment to purchase 120,000 tonnes for 2017, delivery subject to final price to be agreed during Q4 2016
• Total expected 2016 production at a minimum of 65,000 tonnes
• Maiden shipment July / August 2016

GXY and GMM have also agreed to deliver 120,000 tonnes of lithium concentrate in 2017 to the same Chinese customers at a sale price to be agreed during Q4 2016, based upon prevailing market conditions at that time.

This sale of 60,000 tonnes of lithium concentrate has been targeted at converters in the lithium carbonate and lithium hydroxide market. It is intended that the balance of any additional and future production will be sold to a range of downstream converters, including lithium carbonate, lithium hydroxide and cathode markets.

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