PERTH (miningweekly.com) – Strategic metals developer TNG has signed a binding term sheet with commodity trader Gunvor over a potential 40% of the planned vanadium pentoxide production at its Mt Peake vanadium/titanium/iron project, in the Northern Territory.
TNG is expected to produce around 6 000 t/y of vanadium pentoxide from its TIVAN processing facility, which will be located in Darwin, marking one of three downstream products to be produced by the fully integrated Mt Peake project.
“We are delighted to have strengthened our long-standing relationship with Gunvor, a global commodity trader with similar values and growth strategies to TNG, by signing this binding term sheet for vanadium pentoxide offtake,” said TNG MD and CEO Paul Burton.
“We have dealt with the team at Gunvor over a number of years, including on the possibility of offtake for iron-oxide products as disclosed in our release of September this year, and we are delighted to be working closely with them to develop this additional segment of our business.”
Along with the existing offtake agreements already in place, and ongoing discussions for the iron-oxide offtake, TNG was confident that it would be able to sell the entire diversified suite of products from Mt Peake, Burton said.