Brisbane-based silica sands developer and explorer Diatreme Resources has signed a new MOU for offtake from its Galalar Silica Project in Far North Queensland.
High-purity silica sand has become an increasingly strategic resource due to its usage in photovoltaic panels and other high-tech applications. Similarly, increasing demand from Asia’s infrastructure and automotive sectors for mineral sands has added to the positive outlook for Diatreme’s Galalar project.
Diatreme said the MOU with Jiangxi Kangjia – a subsidiary of Chinese of electronics products manufacturer Konka Group – concerns the supply of 250,000 tpa of photovoltaic grade from the Galalar project at mine start?up, with potential for further offtake volume post start?up, subject to mutual agreement.
Diatreme’s CEO, Neil McIntyre said the agreement adds to previous MOU’s signed with Fengsha Group and Wan Zhong Investment Group, demonstrating the strength of demand from Asia’s top solar PV market for Diatreme’s premium silica product.
“We welcome this agreement, which should give our investors and other project partners increased confidence in the future of our key project,” Mr McIntyre said.
“Galalar is now positioning itself as a leading supplier of premium?quality silica product to Asia amid a global solar energy boom that shows no sign of slowing.
“We look forward to cementing these MOU’s into binding agreements that deliver mutually beneficial outcomes for all parties, together with valuable new jobs and investment for the Hope Vale/Cooktown region.”
