ZincOx Resources logo

ZOX - ZincOx Resources News Story

0.45p 0.0  0.0%

Last Trade - 28/10/16

Basic Materials
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £482k
Position in Universe th / 1833

ZincOx Resources PLC - Joint Venture Agreement with Korea Zinc

Mon 23rd January, 2017 9:44am
RNS Number : 8355U
ZincOx Resources PLC
23 January 2017

23 January 2017

ZincOx Resources plc
("ZincOx", the "Company" or the "Group")

Joint Venture Agreement with Korea Zinc
regarding Vietnamese Recycling Project Joint Venture

ZincOx Resources plc ("ZincOx" or "the Company") is pleased to announce that on 19th January it entered into a Joint Venture Agreement ("JVA") with Korea Zinc Company Limited ("KZC") for the joint development of a recycling plant in Vietnam, the terms of which were set out in an MoU, previously announced on 24 November 2016.

Under the JVA, KZC will fund 100% of a Definitive Development Study (DDS) in sufficient detail to enable the raising of project finance for the construction of the project. The DDS is expected to cost about US$2.5 million. KZC will own 51% of a special purpose company which has been set up to develop the recycling plant, with the remaining 49% held by ZincOx. In the event that the DDS costs more than US$3m, the interest of ZincOx in the joint venture shall be diluted proportionately accordingly to the additional funds that KZC has contributed, however ZincOx will be able to buy back its interest to 49% on the same terms in the following six months.

The recycling plant will be based on the Rotary Hearth Furnace (RHF) technology developed by ZincOx in Korea, and now owned by KZC. The Korean Recycling Plant is one of the world's largest facilities recycling the waste dust (EAFD) generated by recycling galvanised steel scrap and has a design capacity of 200,000 tonnes per annum.

The Vietnamese recycling plant is planned to treat up to 100,000 tpa of EAFD and, in addition, to upgrade both the iron and zinc intermediate products of the RHF to final products.

This announcement contains inside information for the purposes of Article 7 of regulation 596/2014.

For further information, please go to: www.zincox.com or contact:

ZincOx Resources plc

Tel: +44 (0) 127 645 0100

Andrew Woollett

Peel Hunt LLP (Nominated Adviser and Broker)

Tel: +44 (0) 207 418 8900

Richard Kauffer

Euan Brown

This information is provided by RNS
The company news service from the London Stock Exchange
© Stockopedia 2020, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.