Oct 14 2010
White Mountain Titanium Corporation ("White Mountain" or the "Company") (OTC Bulletin Board: WMTM) reports that following testing by pigment and welding rod producers of its proposed range of Cerro Blanco rutile concentrates, the Company has signed its first Letter of Intent off-take agreement with a major pigment producer for the supply of standard grade rutile concentrate.
The Letter of Intent, which at this stage is non-binding on the parties and subject to the successful completion of a bankable feasibility study, is covered by a non-disclosure agreement.
White Mountain is seeking additional Letter of Intent off-take agreements and intends to advance discussions with interested parties during a Titanium Convention to be held in Hong Kong during the first week of November, 2010. The Company expects to be making further announcements relating to its progress in this regard over the coming weeks.
Off-take supply discussions with pigment producers have principally focused on standard grade rutile concentrate, the coarsest of the three concentrates proposed for Cerro Blanco. The concentrates being tested by pigment and welding rod producers were all derived from the Company's Pilot Plant program carried out in late 2009 at the SGS Lakefield facility in Ontario, Canada.
"This first Letter of Intent is a resounding vote of confidence from a potential customer, both for the quality of our proposed standard grade rutile concentrate and the potential viability of our Cerro Blanco project. In terms of off-take supply volume, the initial interest speaks to a significant proportion of Cerro Blanco's anticipated production in the early years," said Michael Kurtanjek, the Company's President and CEO. "Management will aggressively seek to increase off-take commitments at a time when the market for high grade titanium feedstock such as the Cerro Blanco standard grade rutile concentrate continues to firm."
Source: http://www.wmtcorp.com/