Black Rock Mining signs strategic cooperation agreement with major Chinese METS company
Tuesday, 25 September 2018 Black Rock Mining Ltd (ASX:BKT) has signed a strategic cooperation agreement with Yantai Jinyuan Mining Machinery Ltd to supply process plant machinery and related infrastructure to Black Rock’s Mahenge Graphite Mine in Tanzania. Yantai, part of the larger Yantai Jinyuan Group, has also committed to source up to US$40 million in project finance from Chinese groups, including government import-export credit agency. Black Rock chief executive officer John de Vries said securing Yantai as process plant construction partner was a major step in the delivery of Black Rock’s Mahenge mine. He said: “Yantai enhances our diligent technical work program of the pre-feasibility study, pilot plant, and the definitive feasibility study with a proven engineering and delivery capability. “Mahenge’s planned production rate of 3,000 tonnes per day fits well within Yantai’s experience. “In addition to a best-in-class delivery capability, Yantai also establishes our financing pathway and opens a further channel to market for product placement through their reputation for delivering quality graphite projects.” “Yantai’s endorsement of Black Rock’s quality product through this agreement provides an important new channel to market through our association with a proven capacity to deliver quality graphite to the Chinese offtake market.” READ: Black Rock Mining raises $3 million in oversubscribed placement Yantai is a vertically-integrated process equipment supplier that can supply a wide range of processing machinery and expertise as well as the delivery of full turn-key metallurgical projects. The Shandong-based company operates its own metallurgical testing facility and has access to pilot plant facilities that support its unique graphite intellectual property. Build-Operate-Transfer (BOT) contracts have been delivered in both China and Tajikistan and the delivery model aligns with Tanzania’s new mining code. The BOT delivery model also provides for training and skills transfer to Mahenge’s Tanzanian operations team, who will assume management responsibility on completion of the performance test.