It has incorporated a joint venture company that proposes to operate the Luapula Processing Facility in the DRC.
During the September quarter, Winmar entered a binding heads of agreement to acquire a 50% interest in the Luapula Cobalt Processing Facility and a portfolio of exploration licenses.
The Luapula Processing Facility was constructed in 2014 at an estimated cost of US$80 million.
It is a permitted, conventional copper-cobalt leaching plant, built with a design throughput of 250,000 tonnes per annum (tpa) of run-of-mine feed.
This gives it the capacity to produce up to 12,000tpa of a high grade, 30%-40% cobalt hydroxide product and a 15%-20% copper hydroxide product for sale into the international markets.
Winmar has also confirmed that this new joint venture company has received all necessary permits, approvals and licenses to operate as a company in the DRC.
Furthermore, an application has been lodged for the new joint venture company to hold the requisite license necessary to operate the facility, which is expected to be issued in the next 4-6 weeks.
Latest achievements to support reinstatement to ASX
The transaction entered earlier this year regarding the Luapula Processing Facility was considered transformative for the company from an ASX Listing Rules perspective.
As can be expected when transformative transactions are entered into, Winmar must satisfy a number of queries with the ASX.
Winmar believes these latest achievements go a long way towards addressing recent concerns raised by ASX.
These achievements include the incorporation of the new joint venture company, confirmation on the status of the permits, approvals and licenses, recent progress in the DRC on potential high-grade cobalt and copper ore supply agreements and concentrate off-take agreements for the facility.
The company is of the view that it can adequately address the items of concern raised by ASX and for this reason it will continue to seek reinstatement of its securities to official quotation.