Centrex Metals Ltd. signed its first contract with a major regional fertilizer manufacturer for a 5,000-wet-tonne trial shipment of phosphate rock concentrate from its Ardmore project in Queensland, Australia.

Centrex's start-up operation will produce the concentrate. The operation will aim to produce about 30,000 wet tonnes to provide a number of customers with trial shipments in mid-2019.

The company said Oct. 16 that trial shipments will support long-term off-take agreements to underpin project financing, targeted for late 2019, for full-scale operations designed to produce 800,000 wet tonnes per annum.

The contract is conditional on Centrex successfully building and operating the start-up and providing the shipment before September 2019.

Centrex said it is negotiating with other customers for additional trial shipment agreements.

Earlier this month, the company announced that a definitive feasibility study for Ardmore pegged a posttax unleveraged net present value, discounted at 10%, of A$109 million, an internal rate of return of 30% and a four-year payback period.