Gulf Manganese Corporation Ltd (ASX:GMC) has finalised an agreement with South African-based Transalloys (Pty) Limited for the acquisition and relocation of two ferromanganese smelting furnaces.
Consideration is $1 million.
The smelters are proposed to be shipped from their current location in South Africa in October, with an anticipated arrival at the Kupang site in November 2016.
Hamish Bohannan, managing director for Gulf, commented:
"Following the recent securing of a US$10 million cornerstone investment, Gulf now has the requisite financial flexibility to execute a number of near-term objectives in the development of the Kupang Smelting Hub Project."
The acquisition of the company's first two smelting furnaces is a key milestone for Gulf, and represents a significant step forward in its evolution as a manganese alloy producer.
Shares in the company recently hit a high of $0.016, or around five-times their value from just a month ago.
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