Business
Homerun Resources Inc. Letter of Intent with Veracel Celulose for the Development of Logistic Setup and Community Relations for the High Purity Silica Sands Originating from the Belmonte Silica District
Vancouver, British Columbia--(Newsfile Corp. - November 12, 2024) - Homerun Resources Inc. ...
About this update from Homerun Resources Inc.
[{"type":"text","content":"Homerun Resources Inc. Letter of Intent with Veracel Celulose for the Development of Logistic Setup and Community Relations for the High Purity Silica Sands Originating from the Belmonte Silica DistrictVancouver, British Columbia--(Newsfile Corp. - November 12, 2024) - Homerun Resources Inc. (TSXV: HMR) (OTCQB: HMRFF) (\"Homerun\" or the \"Company\") is pleased to announce that the Company has executed a non-binding Letter of Intent (LOI), between Homerun and Veracel Celulose S.A. (Veracel).Veracel has a logistic setup including road and maritime transportation infrastructure, for the transportation of planted eucalyptus wood from farmlands to its processing plant in Eunápolis, and for the transportation of cellulose bales from its processing plant to the port of Aracruz (ES), via the Maritime Terminal of Belmonte (TMB).It is the mutual intention of Veracel and Homerun to explore opportunities to use and expand the existing logistics setup for the transport of silica sand, creating opportunities for cost dilution and increased productivity.It is also a mutual understanding that Veracel and Homerun will jointly develop and implement actions in the scope of community relations, ensuring that all local stakeholders will benefit from the operations of both companies in the region.We expect Veracel's role in the partnership to include:Support Homerun on developing relations with Veracel's existing business partners on road transportation, road maintenance, maritime transportation and engineeringAllow Homerun to operate through its Belmonte Maritime terminal, granting exclusivity in face of Homerun's silica sand businessCooperate with Homerun on developing social and institutional actions in the region, contributing to good practices of corporate governance of both companiesWe expect HMR's role in the partnership to include:Identify and commission logistic partners for the transportation logistics of its silica sands, focusing on utilizing as much as possible the same operators as Veracel and aiming to obtain cost dilutions and productivity gains for both companiesContribute proportionately to the road maintenance activities on the routes to be shared with VeracelImplement, at its own financial and operational cost, the necessary modifications to the TMB required to allow handling of its silica sand, without disrupting ...