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Alkane unit inks processing deal for Dubbo zircon project

AlkaneResources Ltd. unit Australian Zirconia Ltd. inked a letter of intenttapping Vietnam-based firm Vietnam Rare Earth JSC to toll process material fromthe Dubbozircon project in New South Wales, Australia.

The deal also allows Vietnam Rare Earth to further processraw materials into alloys and other value-added products, according to an April7 release. Further, Australian Zirconia and Vietnam Rare Earth will form ajoint marketing company to help the latter expand to non-Asian markets andpromote its products.

Australian Zirconia has an exclusive right for 12 months tocomplete its due diligence and finalize the agreement's terms. The deal isinitially expected to last until the end of 2027 and may be extended.Australian Zirconia also has an option to acquire equity in Vietnam Rare Earth.