-- Hastings Technology Metals (ASX:HAS) said it has executed a framework offtake agreement with Enuo Holdings for the supply of a minimum 5,000 metric tonnes per year of African monazite concentrate to its hydrometallurgical plant in Thailand, according to a Tuesday Australian bourse filing.
The company said the agreement provides for a two-year supply term with an option for a one-year renewal prior to the Yangibana project coming online, with commissioning of the hydromet plant expected to commence in June.
The monazite concentrate contains magnet rare earth elements of neodymium and praseodymium of about 20% of total rare earth oxide (TREO), alongside dysprosium and terbium of about 1% to 1.3%, the filing added.
Following Hastings' recent acquisition of a 49% interest in the hydromet plant, the agreement secures the raw material feedstock required to commission and operate the plant, with production planned to commence by the fourth quarter, the filing added.
The company said that Enuo is its existing partner under a January technical services and research agreement covering Yangibana and Brockman ore test work, and the offtake agreement extends that relationship to the physical supply of concentrate for production.
The company's shares rose 2% in recent Tuesday trade.