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W executes major offtake agreements

23rd February 2018

By: Mariaan Webb

Creamer Media Contract Publishing Editor

     

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JOHANNESBURG (miningweekly.com) – Tungsten, copper and gold explorer and developer W Resources has signed two major long-term offtake agreements for tungsten concentrate from its La Parrilla mine, in Spain.

The Aim-listed company reported on Friday that it would supply European tungsten processing giant Wolfram Bergbau und Hütten and a supplier to the US markets with 66% tungsten concentrate on competitive terms.

The offtake agreements will cover the initial T2 development at La Parrilla and would account for about 80% of the planned production tonnage from this phase.

“The agreements provide W with assurance of a solid revenue stream once production commences in early 2019 as we now focus on the implementation of the mine development plan following the recent $35-million funding from BlackRock,” said W chairperson Michael Masterman.

W has drawn down the first $13.125-million from the loan.

The two-million-tonne-a-year La Parrilla mine will produce 2 700 t/y of tungsten concentrate.

Edited by Creamer Media Reporter

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