Nickel Asia Corp. (NAC) has been named the exclusive service contractor for two mine properties in Davao Oriental.
In a disclosure to the Philippine Stock Exchange (PSE), NAC said that Hallmark Mining Corp. and Austral-Asia Link Mining Corp. have accepted its letter of intent to become their exclusive mining service contractor.
Following this, NAC or the wholly owned subsidiary will be the sole mining service contractor for Hallmark’s mineral production sharing agreement (MPSA) that covers about 5,000 hectares in Mati and San Isidro, Davao Oriental, and Austral-Asia’s MPSA covering 5,000 hectares in Mati and Gov. Generoso, Davao Oriental.
Hallmark and Austral-Asia, which are both under the management of Asiaticus Management Corp., have control of the Pujada Nickel Project.
“NAC’s commitments under the LOI are subject to NAC’s conduct of due diligence and exploration activities as well as the execution of definitive agreements among the parties,” the listed firm said in a statement.
In related developments, NAC is conducting a feasibility study to establish a High Pressure Acid Leach (HPAL) or equivalent mineral processing plant in the mine sites.
“The LOI also permits the conduct of a feasibility study to determine the economic and technical viability for NAC to establish a High-Pressure Acid Leach (HPAL) or equivalent mineral processing plant within the MPSA area,” NAC said.
