PERTH (miningweekly.com) – ASX-listed Centaurus has signed a binding earn-in and joint venture (JV) term sheet over the Itapitanga nickel/cobalt project, in Brazil.
Under the term sheet, battery metals process leader Simulus Group would have the right to earn an 80% interest in the project through stages.
The earn-in will comprise four stages, with Simulus earning an initial 21% interest by funding a scoping study within the first six months of executing the term sheet. A feasibility study would increase the company’s stake in the project to 49%, while a definitive feasibility study would increase its stake to 70%.
Simulus would obtain a further 10% interest in Itapitanga by finalisng arms-length financing and a decision to mine.
“We are really excited to enter into this innovative JV agreement with one of the world’s leading nickel/cobalt mineral development groups, which we believe is a genuine game changer for the Itapitanga project,” said Centaurus MD Darren Gordon.
“It demonstrates the quality of the Itapitanga asset and completely de-risks the exploration and evaluation stage of the project, with Centaurus free-carried right through a development decision.”
“Simulus is at the forefront of process development for battery grade nickel and cobalt sulphates worldwide, and this JV is a major coup for the company and the project, giving us a clear pathway through to development and production.”
Itapitanga currently has an exploration target of between 280 000 t and 495 000 t of nickel, and between 24 500 t and 54 000 t of cobalt, and 965 t to 2 065 t of scandium oxide.