Red River Resources Ltd (ASX:RVR) has now received the first payment for the sale of zinc concentrate from the Thalanga Mine, located in Central Queensland.
The payment marks the commencement of strong ongoing cash flow from the project.
Zinc and lead concentrates from Thalanga are sold under an offtake agreement to Trafigura Pte Ltd.
The off-take is in respect of 122,000 dry metric tonnes of zinc concentrate and 27,400 dry metric tonnes of lead concentrate, with pricing being determined by reference to the applicable metal prices on the London Metal Exchange at the time of shipment.
The concentrate tonnage is expected to be shipped in the first 36 months following commencement of commercial production.
The broker community has also been watching the stock closely.