Arafura Resources Ltd. (ASX:ARU) announced that it has reached an agreement to extend its December 2015 memorandum of understanding (MOU) with OCI Company Ltd.; the agreement is regarding the development of a rare earths separation plant in South Korea.
As quoted in the press release:
The MOU records both companies’ roles and responsibilities in relation to negotiating definitive agreements for the establishment of a special purpose vehicle for a Joint Venture (JV) Rare Earth Separation Plant, to toll process rare earth chloride feedstock from Arafura’s 100 per cent-owned Nolans Neodymium-Praseodymium (NdPr) Project in the Northern Territory. The JV Rare Earth Separation Plant could potentially be located alongside OCI’s Gunsan operations in South Korea.
In advance of negotiating the definitive agreements, Arafura and OCI will work together over the coming months to complete a number of technical and commercial arrangements to align their interests more closely.