"The development deal is understood to be with a significant non-Chinese Asian partner, with Korea's POSCO mooted as the most likely candidate.
Potential partners would want an off-take deal for the project's iron ore in exchange for capital for mine and infrastructure development."
also, from Investopedia...
What Does Offtake Agreement Mean? "An agreement between a producer of a resource and a buyer of a resource to purchase/sell portions of the producer's future production. An offtake agreement is normally negotiated prior to the construction of a facility such as a mine in order to secure a market for the future output of the facility. If lenders can see the company will have a purchaser of its production, it makes it easier to obtain financing to construct a facility . "
I see this as a positive development as it secures a customer for the Parker Rang. Hope the market see's it from my point of view too!
CAZ Price at posting:
35.0¢ Sentiment: Hold Disclosure: Held
