Tri-Star Resources Plc Commercial Grade Antimony Metal Produced

 
TIDMTSTR 
 
Tri-Star Resources PLC / AIM: TSTR / Sector: Natural Resources 
 
19 November 2019 
 
             Tri-Star Resources plc ("Tri-Star" or the "Company") 
 
                   Commercial Grade Antimony Metal Produced 
 
Tri-Star Resources plc (AIM: TSTR), the minerals processing company, is pleased 
to provide an update on its antimony-gold processing facility in the Port of 
Sohar Free Zone, located in the Sultanate of Oman, held through its 40% 
interest in Strategic & Precious Metals Processing LLC ("SPMP"). 
 
Highlights 
 
  * Produced antimony metal at the world standard commercial grade of 99.65% 
  * Focus now on rapid scaling of production having proven the plant's 
    technology 
  * Expressions of interest from potential customers equal to almost double the 
    annual combined capacity of 20,000 tonnes of antimony metal and  antimony 
    trioxide 
  * Advanced agreement for the supply of approximately one third of the 
    feedstock required for 2020 and in discussions with other suppliers for the 
    balance 
  * Producing gold dore at grade in excess of 25%, up from 5% in October 2019, 
    and first sales made 
 
Adrian Collins, Chairman of Tri-Star commented: "I am delighted that the major 
milestone of producing antimony metal at a grade of 99.65% has been passed; 
this proves the metallurgy of the process and enables us now to focus on 
full-scale commercial production.  To this end, we are advancing offtake 
agreements with potential buyers keen to diversify away from their reliance on 
the current dominant Chinese suppliers; expressions of interest have been 
received equal to almost double our anticipated annual output of 20,000 tonnes 
of antimony metal.  Additionally, the gold circuit is working well, and the 
first sales of gold have now been made; SPMP is continuing to improve the grade 
and is now producing gold dore at a grade in excess of 25%. 
 
"Given the robust market fundamentals for our products including high-grade 
antimony ingots, antimony trioxide and gold dore together with the planned ramp 
up of production, SPMP is at a tipping point, which we believe will see 
shareholders rewarded for their support." 
 
Details 
 
Excellent progress continues at the antimony-gold processing facility in the 
Port of Sohar Free Zone, located in the Sultanate of Oman, which is the largest 
antimony roaster outside China and the world's first 'Clean Plant' designed to 
EU environmental standards.  It has a targeted capacity to produce in excess of 
50,000 oz. of gold and 20,000 tonnes in combined antimony metal and antimony 
trioxide ("ATO") per annum. 
 
The facility is operated by Strategic & Precious Metals Processing LLC ("SPMP") 
in which Tri-Star holds a 40% equity interest; other joint venture partners in 
SPMP include the Oman Investment Fund ("OIF") (40% equity holder) and DNR 
Industries Limited, part of Dutco Group in Dubai (20% equity holder). 
 
Operational 
 
SPMP has produced antimony metal at in excess of the world standard commercial 
grade of 99.65%  and is now focused on moving swiftly to full-scale commercial 
production.  To this end, it is confident that it will be able to reach 50% of 
capacity by mid-2020 and 100% of capacity by the end of 2020, subject to the 
successful completion of the current financing round, which will also secure 
the necessary working capital finance.  Additionally, it is producing 
marketable levels of gold dore at a grade of in excess of 25%, up from 5% in 
October 2019, which it has commenced selling. 
 
Supply 
 
SPMP has reached an agreement, subject to contract, for the supply of 
approximately one third of the feedstock required for 2020 and is in 
discussions with other suppliers for the balance.  SPMP is confident that now 
the plant's technology has been proven and as production begins to ramp up 
supply contracts on appropriate terms will be reached. 
 
Offtake 
 
SPMP has received expressions of interest from potential customers equal to 
almost double the annual combined output of 20,000 tonnes of antimony metal and 
 antimony trioxide.  Accordingly, SPMP has confidence that there will be high 
demand for its antimony output as customers wish to diversify away from their 
reliance on the currently dominant Chinese suppliers of antimony and antimony 
trioxide. 
 
Financing 
 
Discussions relating to the financing of SPMP are progressing and the market 
will be updated as these are concluded.   It is expected that the financing, 
once completed, will be sufficient for SPMP to move to full production and 
sustainable positive operating cash flow. 
 
Certain information contained in this announcement would have been deemed 
inside information for the purposes of Article 7 of Regulation (EU) No. 596/ 
2014 until the release of this announcement. 
 
                                   **ENDS** 
 
For further information please visit www.tri-starresources.com or contact: 
 
Tri-Star Resources plc                                              c/o SBP 
David Facey, CEO/ CFO                              Tel: [phone] 
 
St Brides Partners (Financial PR) 
Isabel de Salis/ Beth Melluish                     Tel: [phone] 
 
SP Angel Corporate Finance (Nominated 
Adviser)                                           Tel: [phone] 
Robert Wooldridge/Jeff Keating/Caroline Rowe 
 
finnCap Ltd (Broker) 
Scott Mathieson/Camille Gochez                     Tel: [phone] 
 
Notes to Editors: 
 
Tri-Star's principal interest is in an antimony and gold production facility 
(the "SPMP Project"). The SPMP Project is based in Sohar, Sultanate of Oman, 
and is being developed by Strategic & Precious Metals Processing LLC ("SPMP"), 
an Omani company in which Tri-Star has a 40% equity interest. 
 
 
 
END 
 

(END) Dow Jones Newswires

November 19, 2019 02:00 ET (07:00 GMT)