Pele Mountain Resources has entered into a Memorandum of Understanding (MoU) with Sheng Kang Ning (Shanghai) Mining Investment Co Ltd (SKN) to jointly pursue the opportunity of developing rare earth processing facilities at Pele’s Eco Ridge property in Elliot Lake, Ontario.
SKN is a foreign investment platform, and 90%-owned subsidiary, of Shenghe Resources Holding Co Ltd, a global leader in rare earth mining, processing and downstream chain.
SKN & Shenghe possess proprietary technologies for environmentally sustainable, low-cost, rare earth processing and have the expertise and experience to design, build, and operate rare earth processing facilities.
The MoU sets out the terms under which Pele and SKN will work together, subject to the approval from relevant Chinese and Canadian government authorities, on an exclusive basis within Canada, to negotiate a definitive agreement to establish a joint venture for the sustainable development and operation of a state-of-the-art monazite processing facility and downstream value added rare earth processing facilities, to be located on Pele's Eco Ridge property.
Pele’s president Al Shefsky said: “We are delighted to enter into this MoU with SKN. The MoU represents a strong endorsement for Pele’s monazite processing strategy, and is an important first step to bringing the experience and expertise of a proven global leader in rare earth processing to our project in Elliot Lake, Ontario.”