SILICA sands developer and explorer Diatreme Resources has partnered with a European material solutions company to progress the development of the emerging silica sand projects near Cooktown and Hope Vale.
Belgium-based silica miner and glass recycler Sibelco has become a major shareholder in Diatreme.
Under the partnership, Sibelco will invest $13.97 million in strategic placement with Diatreme through the sale of 559,465,000 new ordinary shares at a combined issue price of 2.5 cents per share.
The European company is expected to use its global networks to assist with product marketing, downstream processing and project finance.
Diatreme Resources chief executive officer Neil McIntyre said the “confidence building” partnership now had the potential to propel the emerging miner onto the world stage.
“Having access to Sibelco’s world-leading technical, processing and marketing expertise is a step change for Diatreme that propels us onto the global stage, enhancing the successful development of our projects,” he said.
“Sibelco is the perfect partner for us to unlock the value of our world-class silica sand deposits for the benefit of both companies and all our stakeholders, including our First Nations partners and other local communities.
“Having grown our silica sand resource base to around 200 million tonnes and with room for further expansion, we are now perfectly placed with Sibelco’s support to secure a leading position in the fast-growing global high-quality silica sands industry and assist in powering Asia’s solar energy revolution.”
Sibelco chief executive officer Hilmar Rode said the company would benefit from Diatreme’s strong local presence and relationships while sharing its expertise in the silica sand business.
