Forrestania Resources secures key agreements for processing hubs
Full story: https://grafa.com/en/news/australia/forrestania-resources-secures-key-agreements-for-processing-hubs
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Forrestania Resources signed operational, supply, and ore purchase contracts to advance restart readiness at its Lake Johnston and Edna May processing hubs.
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The company secured up to 2 million tonnes of third-party ore while contracting reagent supplies and essential equipment.
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The suite of agreements establishes logistics, laboratory, and supply foundations to support planned regional ore processing operations.
Forrestania Resources (ASX:FRS) executed multiple commercial agreements supporting operational restart readiness at its Lake Johnston and Edna May processing hubs.
The new contracts build on the company's recent $300 million acquisition of the Edna May operations as it transitions from mineral exploration towards gold production.
Executive Chairman David Geraghty said, "Across our business we are securing the critical ingredients required for successful operations, including ore supply opportunities, laboratory capability, haulage capacity, reagent supply arrangements, mill liners and processing consumables.
The company signed a third-party ore purchase agreement with First Au (ASX:FAU) to supply and process up to 2 million tonnes of ore over a 24-month period.
Additional agreements include laboratory services with SGS Australia, haulage logistics with Campbell Gold Haulage, and a 5-year supply agreement with Orica Australia for 5,000 tonnes of sodium cyanide.
These supply and infrastructure milestones set the foundation for processing operations ahead of scheduled equipment deliveries in November.
Following the announcement, the Forrestania Resources share price was unchanged at $0.40.
Forrestania Resources is an Australian mineral exploration and development company focused on gold, lithium, and base metals in Western Australia.
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