SYDNEY, Nov. 3, 2022 /PRNewswire/ -- R3D Resources Limited (ASX: R3D), a significant copper-gold explorer and developer in the Chillagoe Region in Far North Queensland, has secured a 100% offtake of its technical grade Copper Sulphate product with Kanins International, a market leader in supply of metallic salts for the feed, fertilizer and pesticide industries.
Dr Stephen Bartrop, Managing Director of R3D commented:
"The agreement with Kanins underpins our Tartana Copper Sulphate plant restart activities and represents a major milestone in bringing this project into production.
"We are pleased to be working closely with a recognised world leader in this market, who will provide not only a guaranteed offtake of the R3D's Copper Sulphate production at an agreed price, but will also support the production activities with their deep technical knowledge and operational understanding of the Copper Sulphate market.
Copper Sulphate is generally priced at by reference to the London Metals Exchange Copper Price, with the Copper Sulphate sold at its Copper weight value (~25%) plus a premium. R3D is targeting to commence first production in December 2022, with production ramping up over the following 8 to 12 months from 200mt (metric tonnes) per month up to 500mt per month thereafter. Once in full production, R3D expects to produce 6,000mt of Copper Sulphate per year.
Appointment of Chairman
Earlier, R3D announced the appointment of Mr Jihad Malaeb as Chairman, who is an existing material investor and has previously led Critical Resources Limited (ASX:CRR) as a director and significant shareholder through a significant revitalisation with the share price increasing up to 10x during his tenure.
About R3D Resources Limited
R3D Resources is a significant copper-gold explorer and developer in the Chillagoe Region in Far North Queensland. R3D owns several projects of varying maturity, with the most advanced being the Tartana mining leases, which contain an existing heap leach – solvent extraction – crystallisation plant. Work has commenced to restart this plant to provide future cash flow through the sale of copper sulphate. In Tasmania, Tartana has secured permitting to excavate and screen for export low-grade zinc furnace slag/matte from its Zeehan stockpiles in Western Tasmania and has been shipping zinc slag to South Korea. These two projects have the potential to generate a strong cash flow to underpin the R3D's extensive exploration activities in the Chillagoe region.
SOURCE R3D Resources Limited