Triton Minerals has signed an engineering, procurement and construction (EPC) contract with MCC International Incorporation for the mineral processing facility and infrastructure at the Ancuabe graphite project in Mozambique.
The execution of the contract follows final technical and commercial clarification meetings between Triton and MCC in China last week.
Triton anticipates that basic design activities will commence in the next quarter before MCC mobilises at the site in the second quarter of 2019.
Managing director Peter Canterbury said the EPC contract was agreed on a fixed price basis, providing certainty in relation to capital costs and construction schedule.
“We are pleased to enter the partnership with MCC, which has demonstrated a detailed understanding of the technical aspects of the Ancuabe project, in-depth knowledge of Mozambique and a commercial awareness of project financing requirements,” Canterbury said.
“MCC have been proactive throughout this process leveraging their significant banking relationships in China to assist in progressing Triton’s financing discussions which are well advanced.”
Triton views the award of the contract as a critical step in financing due diligence and enables it to accelerate debt funding negotiations for the project.
MCC vice president Wang Zhou, speaking at a contract signing ceremony, said the company would now prioritise supporting Triton with finalising a debt financing package with its preferred banking group.