Hastings Technology Metals Ltd (ASX:HAS) signed a Memorandum of Understanding with Baotou Sky Rock Rare Earth New Material Co. Ltd earlier in the month,
The agreement outlines the companies intent to enter into a binding commercial offtake agreement for the sale by Hastings and purchase by Sky Rock of Mixed Rare Earth Carbonate (MREC).
This will be produced Hastings’ Yangibana project, which is located in Western Australia.
Hastings estimates an annual production quantity of 15,000 tonnes of MREC, which it will sell to offtake partners, with production projected to commence in the second half of 2019.
The company has now been granted a trading halt by the ASX to prepare details regarding a capital raising.
The halt will remain in place until the opening of trade on Monday 21st August 2017, or earlier if an announcement is made to the market.