Poseidon Nickel has announced a new partnership with Encore Minerals to develop the Windarra gold and nickel tailings project in WA.
Encore intends to use proprietary glycine leaching technology (GLT), specifically the GlyCat and GlyLeach, to process valuable minerals from Windarra tailings, including gold and nickel.
Poseidon Nickel chief executive officer Brendan Shalders said he looks to monetise the Windarra project using Draslovka’s technology.
“Draslovka’s proprietary and revolutionary GLT and other technology … has been developed to extract minerals such as gold, copper, cobalt and nickel by using amino acids such as glycine to leach tailings and ores,” he said.
“We are pleased to see that Draslovka has applied and expanded the use of glycine leaching technology successfully at a number of operations worldwide.”
Encore Minerals will be responsible for the entire lifecycle of the project, including funding, development, operation, closure, and rehabilitation under this agreement.
Poseidon will receive a total of $1.25 million in cash payments, comprising an initial non-refundable payment of $250,000 upon execution, and additional payments totalling $1 million upon the commencement of development and production periods.
Additionally, Poseidon will earn a three per cent net smelter return (NSR) royalty on production. Encore Minerals will also contribute $1.6 million towards the environmental bond held by Poseidon for the Windarra project.
Shalders said he was excited about the partnership and highlighted the mutual benefits for both companies.
“This agreement provides a framework for a successful collaboration, leveraging Draslovka’s advanced leaching technology to extract valuable minerals from the Windarra tailings,” he said.
“We are excited about the potential of this project and look forward to working with Encore Minerals and Draslovka to bring it to fruition.”
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