Toronto-based Frontier Rare Earths (TSE:FRO) has said that its CEO, James Kenny, is featured in an interview with Tracy Weslosky, publisher of ProEdgeWire, with the video describing the company's joint venture with Korea Resources Corp.
Last year, Korea Resources Corp (Kores) - the state-owned mining and natural resource investor - officially acquired the initial 10 per cent stake in the company's Zandkopsdrift rare earth project in South Africa.
Along with the 10 per cent interest, Kores has also acquired an off-take right and obligation for 10 per cent of Zandkopsdrift rare earth production, for a total cash payment of C$23.8 million.
Kores also has the option to increase its interest in the project to up to 50 per cent, becoming an equal partner with Frontier on completion of the definitive feasibility study, with an off-take right and obligation for up to 50 per cent production from Zandkopsdrift.
Kores is an arm of the government, whose mandate is to "secure scarce strategic raw materials required by Korean industries, rare earths, iron ore and copper," Kenny states in the video.
Frontier lauds itself as being the only junior in the rare earth business to get a strategic partner for offtake. It also has around $50 million in cash, excluding amounts owing by Kores.
Zandkopsdrift is considered one of the largest undeveloped rare earth deposits worldwide containing approximately 950,000 tonnes of total rare earth oxides (TREO). The Zandkopsdrift B Zone has the highest TREO grade and the highest grade of high value heavy rare earth oxides of significant advanced deposits outside of China.
To view the video on ProEdgeWire, please click on the link below:
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.