Business
Power Plant Consulting Agreement - Update
Power Plant Consulting Agreement - Update.
About this update from Gcm Resources Plc
[{"type":"text","content":"\n \nRNS Number : 2293T GCM Resources PLC 02 July 2018 \n\n2 July 2018\n \nGCM Resources plc\n(\"GCM\" or the \"Company\")\n(AIM:GCM) \n \nPower Plant Consulting Agreement - Update\n \nGCM Resources plc (\"GCM\" or the \"Company\"), a London based resource exploration and development company, is pleased to provide an update in regards to the consultancy agreement (\"Agreement\") announced on 18 May 2017 with Dyani Corporation Limited (\"Consultant\") which expired on 30 June 2018. \n \nThe Company advises that discussions are ongoing with the Consultant to either extend or enter into a new agreement subject to achieving satisfactory terms. The intention of such agreement would be to facilitate the advancement of the Company's relationship with China Gezhouba Group International Engineering Co. Ltd (\"CGGC\") and to solicit further internationally recognised strategic partners for mine development and/or further power plants, and thus significantly enhance the Company's prospects in achieving its objectives. To this end the Consultant has recommended a number of large credible parties who have expressed interest in partnering with GCM. \n \nThe Company recognises the valuable contribution made by the Consultant to-date. GCM has achieved a strong strategic partnership with CGGC, for the proposed 2,000MW mine-mouth thermal power plant at GCM's proposed coal mine in North-West Bangladesh (\"Power Plant\").\n \nCGGC is the main international business company of both China Gezhouba Group Corporation and China Energy Engineering Co. Ltd (\"Energy China\"), of which both are State Owned Entities of the People's Republic of China. CGGC is a leading implementer of China's 'Belt & Road' Initiative and seeks projects that are in line with this initiative and that promote social progress.\n \nAs previously announced, after completing a technical pre-feasibility study on the proposed Power Plant in July 2017, CGGC and GCM have since agreed the roles and responsibilities between the two parties:\n· CGGC has been awarded the right to engineer, procure, construct, and commission (\"EPC\") the proposed Power Plant, subject to a definitive EPC contract;\n· CGGC shall procure the financing for the development of the proposed mine mouth powe...