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GREAT WESTERN MINERALS GROUP SIGNS GROUNDBREAKING HEADS OF TERMSTO BUILD RARE EARTH SEPARATION PLANT IN SOUTH AFRICA
GREAT WESTERN MINERALS GROUP SIGNS GROUNDBREAKING HEADS OF TERMSTO BUILD RARE EARTH SEPARATION PLANT IN SOUTH AFRICA.
About this update from Great Western Minerals Group Ltd
[{"type":"text","content":"GREAT WESTERN MINERALS GROUP LTD. TSX Venture Symbol: GWG CUSIP: 39141Y 10 3OTCQX: GWMGF GREAT WESTERN MINERALS GROUP SIGNS GROUNDBREAKING HEADS OF TERMS TO BUILD RARE EARTH SEPARATION PLANT IN SOUTH AFRICA July 25, 2011 - Saskatoon, Canada: Great Western Minerals Group (“GWMG”) is pleased to announce that it has negotiated a Heads of Terms with Ganzhou Qiandong Rare Earth Group Ltd. (“GQD”) of China to build a Rare Earth separation plant in South Africa, located in proximity to GWMG’s Steenkampskraal operation. The Heads of Terms agreement between the two companies will form the basis of the project. Signing the Heads of Terms agreement in July 2011 positions GWMG to work toward the final agreement by the end of August 2011. A new joint venture company, Great Western GQD Rare Earth Materials Co. Ltd., will be created in which GWMG will hold 75% ownership while GQD will hold the remaining 25%. Great Western GQD Rare Earth Materials Co. Ltd. will be responsible for the design, manufacture, construction, commissioning and operation of the planned separation facility. It is anticipated that the separation plant will be fed with Rare Earth chloride that GWMG produces at its Steenkampskraal monazite mine and/or with feedstock from sources in the region. GQD is a highly respected Chinese processor of Rare Earth oxides and metals with over twenty years of operational experience. GQD has been a supplier of metals and oxides to GWMG’s wholly-owned subsidiary, Less Common Metals Limited (“LCM”) for over fifteen years. GWMG President and Chief Executive Officer Jim Engdahl said, “Our agreement with GQD marks one of the most significant developments so far in the delivery of our fully integrated Rare Earth business model. GQD’s experience in the rare earth industry will ensure our new facility will be at the cutting edge of solvent extraction processing. GWMG’s team of meta...