Critical Mineral Resources plc has agreed a joint venture to trade mined metals and industrial minerals from Morocco.
EXPERTISE
The 70-30% deal is with “a Moroccan trading company” which has access to sources of mined materials and international customers.
Both partners will also “source metal and mineral concentrates and raw ores” before arranging delivery to national and international customers.
Initial focus will be on “low-risk and short-term trading, aggregating product from smaller producers and upgrading lower grade products” using the partner’s concentrating facility.
The partnership is expected to provide near-term cash and profits, with “several trades” due over the coming weeks.
Net proceeds will fund CMR’s acquisition of “advanced mine development opportunities” in Morocco.
The company said it had made excellent headway to secure one or more high quality development opportunities, and expected “positive news” during Q1 2025.
“CMR has the enviable advantage of a COO [Noureddine Sabraoui] who is embedded in this sector, someone who has metals trading, mine management, permitting and geological expertise,” added chief executive Charlie Long.
“Our new JV partner has a long history of trading in manganese, lead-zinc, barite, speciality metals, oligiste and other industrial minerals.
“Our first trade is likely to involve a speciality metal, although trades in zinc and lead are also being considered.”