Surefire Resources (ASX:SRN) has signed a second non-binding memorandum of understanding (MoU) with Saudi Arabia-based Rasi Investment in regard to investing and participating in the development of the Victory Bore Vanadium Project.
Following the MoU signing with Ajilan & Bros. Mining and Metals for a joint venture, the $21.59 million market capitalisation company says the MoU with Rasi further develops its business plan to engage with Saudi partners to develop Victory Bore.
The MoU allows Rasi to consider investment into Surefire and or the Victory Bore project, as well as the opportunity for both parties to explore joint-participation or co-developer structure to assist in the development of the downstream processing facilities, alongside joint venture discussions that are already occurring with Ajilan.
Further, the MoU enables the parties to discuss terms for an offtake agreement.
Surefire says Rasi already produces titanium slag and iron ingots.
Rasi started as a small establishment of entrepreneur engineer Meshary AlAli in 2006 and has since been expanding among several investments. The firm makes investments in line with market needs and the aspirations of investors and partners that also align with the Kingdom’s Vision 2030.
Meanwhile, Surefire plans to produce up to 6 products from a processing facility in the Kingdom of Saudi Arabia, including high-purity vanadium pentoxide, ferrovanadium, pig iron, iron ore, iron oxide pigment, and titanium slag.
Managing Director Paul Burton says this is another step for Surefire in its approach to develop Victory Bore.
“This MoU will be worked through concurrently and further announcements will be provided once matters progress with Rasi.”
Rasi Chairman Meshary AlAli AlDehashi says: “This MoU for investment will contribute to achieving Surefire – Rasi goals to support and enhance local content by localising some mining services.
This will help realise the goals of Saudi Vision 2030, which focuses on transforming the Kingdom into a major mining hub.”
The Victory Bore project is one of the ‘largest’ vanadium projects in Western Australia and the company has a development plan to mine and beneficiate the ore to produce a magnetite concentrate and to then process this in Saudi Arabia.
Surefire Resources is an Australian mineral explorer based in Perth, Western Australia. The company holds mineral exploration licences over vanadium, magnetite, and gold.
As of 31 December 2023, the company had $2.655 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Surefire Resources
