with the fundamentals and the viability and resource greatly...

with the fundamentals and the viability and resource greatly increased since there last offtake agreement talks, not to mention that metals have considerably improved which was citic's main reason for walking the 1st time putting down to the weakening metals prices, its hard to believe if they wanted in back then before resource upgrades, before our dfs and before the strengthening and supply constraints forward looking for tungsten, that they wouldn't want In now- personally I cant see the correlation. They did clearly state their reason for walking the 1st time was due to weakening metal prices BUT also stated that it wasn't just dead in the water. CITIC did state that strengthening metal prices would possibly bring them back to the negotiating table- with the price of metals especially in tungsten remarkably higher than in 08 when the original agreement lapsed, not to mention just how much more viable the project is now with molyhill sort success with higher recoveries, wouldn't hesitate if I was MB to revisit the offices of CITIC to do the hard sell on just how much better the project is now than when it was in 2008 when they left due to project feasibility-

for crying out loud, someone sing it from the top of the rooftops that since our last failed offtake agreement with CITIC, so so much more has been achieved, not to mention the upside with the extra tenenments we have also picked up along the process in close proximity to Molyhill itself which usually is overlooked on-

For those not long term enough on thor mining to remember the original agreement which lapsed here are some points to consider:



Final approvals for the development of the Molyhil Project are expected in during this quarter with the mine management plan under review by the Department of Primary Industries Fishing and Mining in the Northern Territory.

The Molyhil Project has a current resource of 3.73 million tonnes at 0.51% combined tungsten and molybdenum. The mining plan provides for development of an open pit mining operation and a new processing facility. The mining reserve contains a total of 4.9 million pounds of molybdenum metal and 700,000mtu’s of tungsten which will be produced over the expected 5.7 year life of the open pit design.

Thor’s chief executive officer John A Young says: “The long running negotiation for the off-take agreement has been a critical factor in progressing the development of the Molyhil Project. We are pleased to have secured CITIC as a partner and, with this off-take agreement now in place, will move forward with funding arrangements.�

CITIC Resources Australia executive director Ting Hu Guo says he is very pleased to sign the agreement with Thor. “CITIC has been seeking to secure a long-term supply of tungsten and molybdenum, which are important raw materials for the Group’s expanding steel business in China.

“We are therefore delighted to support the Molyhil Project through this Life-of-Mine off-take agreement, which clears the way for financing and development of this project to proceed.�

source:http://www.asiaminer.com/magazine/current-news/news-archive/80/1197-tungsten-molybdenum--off-take-agreement-for-molyhil.html

although some time ago, you may want to revisit this article

http://www.miningmaven.com/companies/aim-mining/thor-mining/thor-mining-the-courage-to-continue-2011052268/

and finally, if CITIC claimed to revisit the original agreement once a recovery in metal prices were imminent after the financial crises hit, the image attatched below should highlight just how much of a win win this is for CITIC looking at how the price of tungsten has experienced exponential growth since the price of the precious metal during their initial talks in 08- phenominal -




1. Company Profile

CITIC Metal Co., Ltd. (referred to hereinafter as "CITIC Metal" or "the Company") is a wholly-owned subsidiary of CITIC Group, China’s largest transnational conglomerate engaged in financial services (banking, securities, insurance, trust, etc.), resources and energy, real estate and civil infrastructure, engineering contracting, manufacturing and other businesses. As one of CITIC Group’s arms in the business of resources and energy, the Company specialises in the import and distribution of niobium products, iron ore,coal, and non-ferrous metals like copper, lead, zinc, and their concentrates, the export of silver, the trade of steel products, and investment in and operation of metal mining projects.


2. Import and Distribution of Niobium Products

CITIC Metal is the exclusive distributor in China for CBMM, the largest niobium products supplier in the world. In China, all the large and most of the medium to small steel mills are our customers.

With a long-term focused business strategy of driving sales through technical promotions, the Company has a dedicated niobium technology and application advisory team comprised of both Chinese and foreign metallurgic experts, whose efforts have not only helped to cultivate the market, but more importantly, have served as a key catalyst in China’s transformation from a low grade steel maker to a high strength microalloyed steel producer in the world, through continuously upgrading steel products.

3. Import and Distribution of Iron Ore

CITIC Metal started its iron ore business as early as 1989, and since then has become a major reputable importer in China with a leading volume for years. The Company imports a large quantity of iron ore from Australia, Brazil, South Africa and India every year to feed domestic steel mills. Lately, CITIC Metal also opened channels of importing iron ore from Iran and Canada to meet specific domestic demand. The Company currently serves as the vice secretary general of the Iron Ore branch of China Chamber of Commerce of Metals, Minerals & Chemicals Importers & Exporters (CCCMC), and is one of the first fourteen companies that won AAA grade credit rating from CCCMC.

4. Export of Silver and Import and Distribution of Copper, Lead and Zinc

The Company is one of the key exporters of silver. In recent years, CITIC Metal has involved itself in the import and distribution of copper, lead, zinc, and their concentrates.

5. Trade of Steel Products

Based on its renowned brand of CITIC and a strong cash flow, CITIC Metal initiated its steel products business in 2007 aspiring to be one of the leading distributors and providers of value-added services of steel products in China. Currently, the company is mainly involved in domestic trade services, i.e. acting as a purchasing agent, a distributor, and providing other value-added services as well as the import and export of steel products. The business has been growing rapidly and we have established good and stable cooperation with both major steel mills and downstream end users.

6. Investment in Metals and Mining

To strengthen its competitiveness at present and into the future, CITIC Metal has formulated a long-term strategy which holds the trade of metals and the investment in both upstream and downstream projects as two equally important pillars. The Company prioritised a few key minerals as the focus of its investment, including chrome, manganese, molybdenum, gold, silver, copper, lead, zinc, etc. To date, subsidiaries and affiliates of CITIC Metal include "CITIC Xingguang Mining Company Limited", "Western Superconducting Technologies Company Limited", and "China Platinum Company", each of which has its unique competitive advantage in either its resource, or its technology, or its operations.

7. Cooperation

For more information, please go to www.metal.citic.com.

Contact CITIC Metal

CITIC Metal Company Limited
Address: Room 1903, Capital Mansion,
6 Xinyuan Nanlu, Chaoyang District,
Beijing, 100004, China
Telephone: 86-10-59661921
Fax: 86-10-59661900/1919/1955
Website: www.metal.citic.com