REG - Capital Metals PLC - Offtake MoU Extended

Capital MetalsAnnouncement

24/08/2023 09:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230824:nRSX3509Ka&default-theme=true

RNS Number : 3509K  Capital Metals PLC  24 August 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH
LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED.  ON
PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

24 August 2023

 

Capital Metals plc

 

("Capital Metals" or the "Company")

 

Offtake MoU Extended

 

Agreement with world's No. 1 manufacturer of high-performance titanium dioxide
pigments to fund the Eastern Minerals Project into production

 

Capital Metals (AIM: CMET), a mineral sands company approaching mine
development stage at the high-grade Eastern Minerals Project in Sri Lanka (the
"Project"), is pleased to announce that the Company has agreed an extension
until 31 December 2023 of its Memorandum of Understanding ("MoU") with LB
Group (https://www.lomonbillions.global/) (002601:SHENZHEN; Market Cap: US$5.7
billion), the world's leading manufacturer of high-performance titanium
dioxide pigments and sponge, to fund the Project into production.

 

The key terms of the MoU remain as announced on 9 May 2023.

 

Greg Martyr, Executive Chairman, commented:

 

"We continue to have a constructive relationship with our prospective future
partner in the Project which is reflected in their renewed commitment and our
mutual desire to extend the MoU while we work to have the suspension of our
mining licences lifted. Sri Lanka will benefit enormously from the involvement
of the world's leading titanium dioxide pigment manufacturer in the Project
through value addition in-country, knowledge transfer and significant export
income generation. We look forward to getting the Project back on track and to
concluding this offtake agreement with LB Group."

 

For further information, please visit www.capitalmetals.com
(http://www.capitalmetals.com) or contact:

 

 Capital Metals plc                           Via Vigo Consulting

 Greg Martyr (Executive Chairman)

 Vigo Consulting (Investor Relations)         +44 (0)20 7390 0234

 Ben Simons / Peter Jacob                     capitalmetals@vigoconsulting.com (mailto:capitalmetals@vigoconsulting.com)
 SPARK Advisory Partners (Nominated Adviser)  +44 (0)20 3368 3554

 Neil Baldwin / James Keeshan
 Tavira Financial                             +44 (0)20 7100 5100

 Jonathan Evans / Oliver Stansfield

 

About Capital Metals

 

Capital Metals plc is a British company listed on the AIM segment of the
London Stock Exchange and one of only a few foreign investors in Sri Lanka's
mining industry. After investing US$11 million in exploration and development
activities including detailed environmental assessments between 2017 and 2022,
the Company's Sri Lankan subsidiary, Damsila Exports (Pvt) Limited, was issued
an initial two licences in August 2022 to mine heavy mineral sands in the
Eastern Province, containing industrial minerals including ilmenite, rutile,
zircon, and garnet.

 

About LB Group

 

LB Group is the world's No. 1 manufacturer of high-performance titanium
dioxide (TiO2) pigments. The group has an annual production capacity of 1.5
million tonnes of titanium dioxide pigment and 50,000 tonnes of titanium
sponge.  In addition, LB Group has a number of its existing mining operations
supplying ilmenite, rutile and zircon minerals and is the largest consumer of
ilmenite globally.

 

LB Group has over 30 years of TiO2 pigment manufacturing experience and
supplies a wide range of TiO2 pigments for all major applications using the
sulfate process and the chloride process. LB Group's high performance TiO2
products are key ingredients used to produce a wide range of products
worldwide including paints, plastics, inks, and paper, including its
BILLIONS™ TiO2 pigment brands which are established worldwide.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCPPUBPRUPWURC