Pearl marketer Atlantic Ltd
(ASX:ATI) has entered into a heads of agreement with Mineral Resources Ltd
(ASX:MIN) to re-launch the Windimurra Vanadium project in Western Australia.
Under the terms of the agreement, Atlantic will become a 25% equity holder in the project vehicle Midwest Vanadium and arrange the new secured debt funding required to complete the commissioning of the project.
The final funding amount is to be determined, but Atlantic says it is expected to be sufficient to complete the plant construction and ramp-up to full production.
Atlantic Managing Director Michael Minosora says the Windimurra Vanadium project is a highly attractive project that in the past has suffered from a combination of adverse factors and circumstances, including high gearing, construction cost over-runs and variable commodity prices.
Earlier this week Atlantic announced that it had signed a memorandum of understanding with Vietnamese state-owned enterprise T-MV to develop a bauxite mine in Vietnam.
Atlantic posted a loss in fiscal 2009.
