Uis mine
Aim-listed AfriTin Mining has signed an extension offtake agreement for tin concentrate produced at its Uis mine, in Namibia, with its existing trading partner, Thailand Smelting and Refining Corporation (Thaisarco).
The renewed agreement with Thaisarco is for a further three years until November 30, 2023, with concentrate to be delivered to the Walvis Bay Cargo Terminal, in Namibia.
Moreover, AfriTin has concluded an offtake agreement with AfriMet for future tantalum concentrate produced at the Uis mine. The agreement is for a twelve-month period, with an option to renew for a further three years upon mutual consent of the parties.
“This last year has proved extremely positive for AfriTin, with tin production achieving design capabilities for Stage I at Uis ahead of year-end. This was a defining milestone for the company, and I am delighted to report that the strong tin concentrate production levels have been maintained since November 2020,” says AfriTin CEO Anthony Viljoen.
“The strong performance at Uis has coincided with the tin price hitting new recent highs, breaking through the ceiling of $23 000/t for the first time since 2014. The main drivers behind the price increase are the ever-growing demand from electronics and electric vehicles, alongside the low supply of tin inventories.
“These contributing factors have enabled AfriTin to announce today that it will continue its tin offtake agreement for Uis with Thaisarco for a further three years. In addition, the company is also pleased to have concluded a tantalum offtake agreement with AfriMet which will become a second product alongside our tin concentrate this year. AfriTin is delighted by both votes of confidence, from two leaders in the global and African markets, and looks forward to continuing these relationships,” he adds.
CONVERSION
Meanwhile, AfriMet has elected to convert its outstanding convertible loan notes, totalling £1.6-million, plus accrued interest of £195 945.21, into fully paid ordinary shares in AftiTin.
This conversion will result in AfriMet holding 5.1% of the enlarged issued share capital of AfriTin.
An application has been made for the conversion shares to be admitted to trading on the Aim. Dealings in the conversion shares are expected to start on or around February 19.