Photo by: Bloomberg
PERTH (miningweekly.com) – Junior explorer Archer Exploration has paved the way for the development of its Leigh Creek magnesite project, in South Australia, with the signing of a memorandum of understanding (MoU) with a local operating magnesite mine.
Under the MoU, Archer and an unnamed party would work together to execute legally binding agreements for the long-term supply and mining of magnesite at Leigh Creek.
“With this MoU, Archer continues with the development of the Leigh Creek magnesite project. This is an exciting, and important milestone in the development of Leigh Creek,” said Archer chairperson Greg English.
He noted that the MoU would help to accelerate the project development timetable and provide added confidence to potential offtake partners and investors.
Archer was hoping to finalise and execute the supply agreement by the second quarter of 2016, along with agreements with mining contractors, magnesite processors and offtake customers, and to gain all government and regulatory approvals to develop the Leigh Creek project.