Business
Manica Hard Rock Collaboration Agreement
Manica Hard Rock Collaboration Agreement.
About this update from Xtract Resources Plc
[{"type":"text","content":"\n \nRNS Number : 2649F Xtract Resources plc 19 February 2018 \n\n \nFor immediate release\n 19 February 2018\n \nXtract Resources Plc\n(\"Xtract\" or the \"Company\")\nManica Hard Rock Collaboration Agreement\n \nThe Board of Xtract Resources Plc (\"Xtract\" or the \"Company\") is pleased to announce that the Company has today concluded a further collaboration agreement (\"Joint Venture and Collaboration Agreement\" or \"Agreement\") with Omnia Mining Ltd (\"Omnia\") for the exploitation of the hard rock gold deposits at Xtract's Manica mining concession in Mozambique other than the Fair Bride project, which remains under the sole control and management of Xtract. \n \nHighlights of the Agreement\n \n· All Xtract's Manica hard rock occurrences (other than Fair Bride) included. \n· Omnia to utilise its new hard rock processing plant (capable of processing 400k tonnes per annum).\n· Xtract will carry out the initial investigation on potential targets. Costs of further exploration work will be shared equally between Xtract and Omnia.\n· Any hard rock occurrences that meet the agreed target hurdle rate of return of 25% will be mined and the benefits shared on a 50:50 basis.\n \n \nColin Bird, Executive Chairman said: \"The Agreement provides Xtract with access to a new fully installed and operational processing plant able to extract gold from ore types available in the Manica Area. Within the partners concession areas, there exists numerous hard rock occurrences most of which have undergone limited, superficial or no exploration. The Agreement provides Omnia with the Company's mining and processing expertise and gives the Company the opportunity for a fast track hard rock operation. A number of hard rock occurrences within the Company's concession area have demonstrated that they could well be suited for the Omnia's processing plant. Apart from the plant, Omnia have an existing camp, warehouse and maintenance facilities to support the planned operation.We look forward to working with Omnia on this Agreement as well as our existing collaboration with them on the alluvial mining.\"\n \n \nCollaboration and Joint Venture Mining Agreement\n \nBackground\nThe Joint Venture and Colla...