Tin International signs binding JV agreement
Tin International AG, 61.5% owned by Deutsche Rohstoff AG, has announced that it has signed a binding Memorandum of Understanding with Lithium Australia NL to establish a Joint Venture Company (JV). Tin International's Sadisdorf tin deposit in the Erzgebirge region of Saxony, Germany, will become the new company's core asset.
Lithium Australia NL has developed economically viable processing technology for some lithium ores as well as holding a global portfolio of lithium deposits. The company will be able to earn 15% of the newly established company by spending €750,000 on exploration at Sadisdorf or paying the outstanding amount to Tin International by the end of 2017. The company can increase its interest in the JV to 50% by investing a further €1.25 million over a 3-year period.
The initial aim of the JV will be to extend and upgrade the 2012 resource at Sadisdorf (3.36 Mt inferred resource at 0.44% Sn, or some 15,000 tonnes contained tin) and to define a lithium resource for the site.
Thomas Gutschlag, CEO of Deutsche Rohstoff, commented: "We are pleased with the signed MoU. Lithium Australia brings a wealth of processing technology and knowledge that will potentially enable the extraction of lithium as a by-product from the tin production and will make Sadisdorf an economically viable project."