Equinox Resources (ASX:EQN) has entered into a non-binding memorandum of understanding (MoU) with US-based downstream processor Alaska Antimony Corporation and Singapore-based antimony trader SB51 for the Alturas Project in Canada as part of the group’s commercialisation strategy.
The MoU establishes a framework for potential offtake and processing of antimony ore from the Alturas Project.
As part of the agreement, SB51 will be granted general marketing and trading rights over ore and concentrate from Alturas, while Alaska Antimony will negotiate a definitive right of refusal over ore and concentrate supply, subject to technical due diligence, pricing, and qualification requirements.
The companies will cooperate on metallurgical testwork and sample analysis to confirm the suitability of Alturas’ ore for direct shipping or downstream processing. This includes smelter qualification, impurity assessment, and flowsheet compatibility.
Equinox, which has a market capitalisation of $11.5 million, adds that the companies will also progress commercial terms, including indicative pricing, logistics, offtake structures, and potential collaboration on downstream refining or processing infrastructure.
For the remainder of the year, Equinox will prioritise several activities in support of the Alturas Project. These activities include completing a LiDAR survey and fieldwork to define structural controls and refine priority targets.
The company will also complete an assessment of the historical open-cut zone, execute exploration drilling to test high-priority zones, and initial cobbling and ore sorting trials from the historical open pit.
Upon completion, the company will evaluate extraction methods and logistics associated with potential direct shipping ore export and progress a notice of work application and associated approvals for exploration drilling, bulk sampling and site access.
Managing Director Zac Komur says this agreement is a strategic alignment between three companies with a shared objective to unlock antimony opportunities and deliver it into the most supply-constrained market environment that has been seen in decades.
“With Antimony Corp developing critical downstream capacity and SB51 connected to buyers across the globe, we have the right partners to take Altura from bulk sample to commercial reality,” Komur says.
“Canada offers the right geology, the right jurisdiction, and the right timing. As antimony prices continue to surge and buyers urgently seek secure feedstock, Alturas is positioned to become a meaningful contributor to the North American critical minerals supply chain.”
Alaska Antimony Director Caspian Tavallali says the global antimony supply chain remains vulnerable, with over 80% of production concentrated in China and Russia.
“This creates a structural supply risk that has been exacerbated by recent export controls and geopolitical tension,” Tavallali says.
“At the same time, downstream processing capacity is under significant pressure with western smelters currently operating at a fraction of their nameplate capacity due to a lack of consistent, high-quality feedstock.”
Equinox notes that recent pricing data confirms a structurally robust market, as antimony metal with minimum purity of 99.65% is trading in the range of US$56,000 to US$59,800 per tonne, as of 14 April.
Antimony metal is the refined form of the element used in ammunition, battery technologies, flame retardant systems, and high-performance alloys, applications where purity and security and supply are paramount.
In contrast, antimony trioxide is priced between US$32,000 and US$33,200 per tonne.
Write to Aaliyah Rogan at Mining.com.au
Images: Equinox Resources
