True North Copper has signed two agreements with Glencore to support the development of its Cloncurry copper project.
The first agreement is a binding offtake agreement that will see Glencore purchase 100 per cent of copper concentrate from the Cloncurry project, with the second agreement a toll-milling services agreement that will see Glencore process up to one million tonnes of Cloncurry ore per year at its Mount Isa smelter.
“Executing binding offtake and toll-milling agreements with an industry major such as Glencore is a significant milestone for TNC and our Cloncurry copper project,” TNC managing director Marty Costello said.
“(The) Cloncurry copper project is fully permitted and TNC is on track to soon be in production for copper with (the) Cloncurry copper project located in a Tier-1 jurisdiction.”
Through the agreements, TNC will be entitled to claim a 20 per cent Queensland state royalty discount for all material processed through the Mount Isa smelter by Glencore.
The agreements offers key benefits to TNC and the Cloncurry copper project, notably providing certainty of concentrate sales and economic and logistics value.
Last month, TNC announced plans to combine the Great Australia Mine Reserve (GAM) and the Wallace North Reserve into the Cloncurry copper project, so it becomes one single proposed mining operation.
The Cloncurry copper project is wholly owned by True North Copper (TNC) and is centred around the Great Australia Mine Complex.
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