https://www.miningweekly.com

Galaxy and General Mining placed in trading halts

27th May 2016

By: Mariaan Webb

Creamer Media Senior Deputy Editor Online

  

Font size: - +

JOHANNESBURG (miningweekly.com) – Lithium company Galaxy Resources and its project partner General Mining have both asked the ASX to place their shares in a trading halt, resulting in speculation that the two companies are in talks about a potential corporate transaction.

Galaxy said in its request for a trading halt that it intended to make an announcement about a “potential corporate transaction involving an acquisition”. General Mining stated that it would make an announcement in relation to a “potential corporate control transaction”.

The trading halt of both companies would remain in place until Monday, or earlier, if announcements were made to the market.

Galaxy and General Mining are joint venture (JV) partners in the Mt Cattlin spodumene project, in Western Australia, which the companies restarted earlier this year. General Mining has a A$25-million option to earn a 50% stake in the mine, which is expected to produce its first concentrate in July or August.

Mt Cattlin was placed on care and maintenance in July 2012, owing to high inventory levels of spodumene at Galaxy’s Jiangsu lithium carbonate plant, in China, which it used to supply.

The JV was targeting a throughput rate of 800 000 t/y by the end of June. Based on the current mineral resource and ore reserve estimates at Mt Cattlin, the project could deliver 11 500 t/y of spodumene over an initial 17-year mine life.

Last week, the JV partners announced that they had signed a binding offtake agreement for Mt Cattlin’s product, involving a Chinese buyer and General Mining’s exclusive selling and settlement agent, Tokyo-based Mitsubishi. The agreement was for the sale of 30 000 t of spodumene concentrate in 2016 at a price of $600/t.

Discussions were under way with another Chinese customer.

Edited by Creamer Media Reporter

Comments

Showroom

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 
Flameblock
Flameblock

FlameBlock is a proudly South African company that engineers, manufactures and supplies fire intumescent and retardant products to the fire...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

PGMs and green hydrogen make headlines
PGMs and green hydrogen make headlines
19th April 2024
Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.167 0.21s - 106pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: