White Mountain Enters Into First Off-Take Agreement With Major International Pigment Producer White Mountain Receives Progress Report on Titanium Metal Test Work
SANTIAGO, Chile, July 28, 2011 /PRNewswire/ -- White Mountain Titanium Corporation ("White Mountain" or the "Company") (OTC Bulletin Board: WMTM) reports that it has entered into its first off-take agreement with a major international pigment producer for the supply of natural rutile concentrate from the Cerro Blanco project
Under the agreement, the pigment producer will purchase 25,000 tonnes per annum of White Mountain's standard grade, natural rutile concentrate at $1200 per tonne FOB port. This price is reflective of current market competitive pricing. Deliveries must commence no later than September, 2014 and would run to December, 2016. The term of the agreement may then be extended by mutual agreement.
White Mountain management are in active discussions with other titanium pigment as well as metal and welding rod producers for the supply of all three grades of Cerro Blanco concentrate. Further announcements will be made in due course.
Commenting on this development, Mike Kurtanjek, the Company's President and CEO said, "Signing this first off-take agreement represents another important milestone for the Company. Whilst off-take deliveries are dependent on us completing a positive feasibility study and arranging production finance, our product is finding acceptance in the market place and this acceptance is coming at a time of feedstock supply shortages and robust rutile prices."
About White Mountain Titanium Corporation
The Company holds mining concessions on the Cerro Blanco property currently consisting of 33 registered mining exploitation concessions and five mining exploration concessions in the process of being constituted, over approximately 8,225 hectares located approximately 39 kilometres west of the City of Vallenar in the Atacama, or Region III, geographic region of northern Chile. The Company's principal objectives are to advance the Cerro Blanco project towards a final engineering feasibility, and to secure off-take contracts for the planned rutile concentrate output. It would be the intention to sell the rutile concentrate to titanium metal and pigment producers. Work also continues to investigate the commercial viability of producing a feldspar co-product. The feldspar could find applications in the glass and ceramics industries.
The OTC BB has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and, therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
Cautionary Note to U.S. Investors—The United States Securities and Exchange Commission permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We may use certain terms in our press releases and on our website, such as 'reserves,' 'resources,' 'geologic resources,' 'proven,' 'probable,' 'measured,' 'indicated,' and 'inferred,' that the SEC guidelines strictly prohibit us from including in our filings with the SEC. U.S. investors are urged to consider closely the disclosure in our annual report on Form 10K for the year ended December 31, 2007, File No. 333-129347, and in subsequent filings with the SEC. You can review and obtain copies of our filings from the SEC's website at http://www.sec.gov/edgar.shtml.
White Mountain Titanium Corporation
Michael Kurtanjek, President
(56) 2 657-1800
Brian Flower, Chairman
SOURCE White Mountain Titanium Corporation