TNC secures Glencore partnership for Cloncurry Copper...

TNC secures Glencore partnership for Cloncurry Copper Project
True North Copper Limited (ASX:TNC) (True North, TNC or the Company) is pleased to announce it has signed binding offtake
and toll-milling agreements with one of the world’s largest natural resource companies, Glencore International AG (Glencore)
for its Cloncurry Copper Project (CCP) in Queensland (see Figure 1).
HIGHLIGHTS
§ Binding offtake agreement with Glencore for 100% of copper concentrate from TNC’s CCP.
§ Toll-milling services, up to 1 million tonnes of ore per year for the CCP’s Life of Mine (LoM).
Key terms include:
§ Mutually agreed ore delivery and processing schedules.
§ Agreement in place ahead of mining and processing of sulphide ores.
§ Offtake agreement sales price for the metals contained in the copper concentrate in line with the market commercial
terms for copper concentrate, including adjustments for penalties, treatment and refining charges and a freight credit.
§ Toll-milling agreement contains customary terms and conditions for a contract of this nature, including:
- agreed tolling charge, which reflects current market rates for copper ore processing in Cloncurry, Queensland; and
- agreed process for assaying, weighing, sampling and moisture determination in relation to copper concentrate
produced.
Key benefits to TNC and the Cloncurry Copper Project:
§ Concentrate processed at the nearby Mt Isa Smelter (approx. 120km by major arterial road network), providing greater
freight certainty and economic and logistics value (see Figure 2).
§ TNC will be entitled to claim 20% Queensland State Royalty discount for all material processed through the Mt Isa
Smelter.
§ Provides certainty of concentrate sales for the CCP.