Western Australia-based Suvo Strategic Minerals and C&D Logistics Group have agreed to work together to develop and grow specific kaolin product markets, with a view to forming long-term relationships with downstream customers in a range of industries and locations.
C&D focuses on resources and minerals, providing a one-stop shop supply chain service to both upstream and downstream users of the industrial supply chain.
The agreement was signed after Suvo sent technical data sheets to C&D from its 100 per cent-owned Pittong hydrous kaolin operation in Victoria for further evaluation.
Under the terms, Suvo and C&D will seek to negotiate a sales and purchase agreement in good faith, with a target minimum offtake of 80,000 tonnes per annum of hydrous calcined kaolin.
The products delivered under any offtake agreement could be produced from the company’s existing Pittong operation and/or other kaolin projects.
The deal marks another milestone in Suvo’s ongoing work to scale up the Pittong operations, where an expansion project is underway to more than double its current plant capacity to about 60,000 tonnes per annum through the installation of new press decks and automated equipment.
Suvo is also progressing work at its Gabbin kaolin deposit in Western Australia, where the company recently produced a bulk sample of high reactivity metakaolin.
Suvo‘s exploration focus is on near-term kaolin and high purity silica assets with the Gabbin (kaolin), Eneabba and Muchea (silica sands) projects in Western Australia.
The Pittong operations is the sole wet kaolin mine and processing plant in Australia and has been in operation since 1972. Pittong comprises the Pittong, Trawalla and Lal Lal deposits.