Arafura chairman Ian Kowalick said the agreement is a very important endorsement of Arafura and the Nolans Project.
The MOU is aimed to arrange for a sale and purchase agreement between the companies for the rare earths from Arafura’s wholly owned Nolans project, and jointly develop facilities in the countries to separate the rare earths.
"Execution of an MOU with this key strategic customer confirms both parties’ intention to work together to develop a strong, long-term relationship in Rare Earths," said Kowalick.
"This highly successful Group brings substantial experience in major construction projects, and its associated organisations have vast exposure to both the chemicals industry and Rare Earth end users in a key, globally significant market in Asia."
"Furthermore, the Group has agreed to work with Arafura to pursue project funding which will be a key component of our overall Project Financing plan.
The MOU also focuses on funding the Nolans project to production apart from sharing the technology and organizational capacity.
A commercial agreement may result in minimum sales of 3,000t per annum from the Nolans project.
