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VRX Silica signs Native Title Agreement for Muchea Silica Sand Project

The Whadjuk People give permission to the grant of the Mining Lease and miscellaneous licences for the Muchea Sand Project about 50 kilometres north of Perth.

VRX Silica Ltd - VRX Silica signs Muchea Sand Project Native Title Agreement
The agreement provides a set of shared long-term objectives for the parties

VRX Silica Ltd (ASX:VRX) and wholly-owned subsidiary Wisecat Pty Ltd have signed a Native Title Mining Project Agreement for the Muchea Silica Sand Project near Perth, Western Australia.

The agreement has been entered into with the Whadjuk People Native Title Claim Applicants under application WAD242/2011 and the South West Aboriginal Land & Sea Council Aboriginal Corporation (SWALSC) in its capacity as agent for the Whadjuk People.

Under the terms of the agreement, the Whadjuk People give their consent to the grant of the mining lease and the miscellaneous licences for the Muchea project within the Native Title claim area as well as the conduct of silica sand mining operations at the project.

Formal process with Native Title Tribunal underway

Managing director Bruce Maluish said the company was delighted to have reached an agreement in good faith with the Whadjuk People and the SWALSC.

He said, “This agreement clears the path for grant of the mining lease and the miscellaneous licences for the Muchea project.”

Shares have been up as much as 15% to an intra-day high of 11.5 cents.

Wisecat has begun the formal process with the National Native Title Tribunal required for the grant of the mining lease by the Minister for Mines for the Muchea Project.

Shared long-term objectives

The agreement also provides a set of shared long-term objectives for the parties and a range of measures designed to achieve those objectives of over the term of the agreement, which includes:

  • The preservation and management of Aboriginal heritage within the Mining Lease area wherever possible pursuant to an agreed Heritage Protocol;
  • The promotion of awareness of the Whadjuk People’s traditional laws and customs and facilitation of cross-cultural exchange between the members of the Whadjuk People and Wisecat and its employees and contractors;
  • Ensuring the environmental impact of agreed mining operations is managed in accordance with relevant statutory obligations;
  • Maximising employment and contracting opportunities for Whadjuk People contractors in connection with agreed mining operations; and
  • The provision of agreed initial and ongoing compensation to the Whadjuk People for the effects on Native Title arising from the grant of the Mining Lease and Miscellaneous Licences within the Native Title claim area, the conduct of mining operations and the issue of agreed project approvals.

A bankable feasibility study for Muchea, which is a world-class project with high purity silica sand in situ, has been released demonstrating strong financial metrics.

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