Resource World Magazine

42 www.resourceworld.com D E C E M B E R / J A N U A R Y 2 0 1 5 iBc advanced alloys PaRtneRs to make hiGh PeRfoRmance alloys IBC Advanced Alloys Corp. [IB-TSXV; IAALF-OTCQX] reports that its Copper Alloys division is partnering with Baoshida Swissmetal Ltd. and Avins US Inc. to manufacture a high performance alloy for use in multiple markets and applications. The initial business develop- ment focus will target North America and Europe with revenues expected to exceed $10 million in the first three to five years of production. "We are pleased that Baoshida Swissmetal and Avins have chosen us as their partner on this project and we have already begun preparation at our facilities for the first trial," said Douglas Veitch, Vice President of Business Development for IBC. Baoshida Swissmetal Ltd., headquar- tered in Reconvilier, Switzerland, is an integrated manufacturer and distributor of high quality, specialty products made from copper and copper alloys serving the electronics, aerospace, military, oil and gas exploration, automotive, and consumer goods industries. The company has 250 employees in two production facilities in Reconvilier and Dornach Switzerland. Avins US, Inc. is a family-owned com- pany specializing in the engineering and design support, supply chain management, and distribution of globally sourced high quality metal and alloy products. Avins has been the exclusive North American distributor for Baoshida Swissmetal for over 40 years and is the ideal partner for this new alloy project. IBC is an integrated manufacturer and distributor of rare metals (beryllium) based alloys and related products. IBC is headquartered in Vancouver, Canada with production facilities in Indiana, Massachusetts, Pennsylvania and Missouri. nautilus mineRals chaRteRs solWaRa 1 PRoject vessel Nautilus Minerals Inc. [NUS-TSX; NUSMF-OTCQX] has entered into an agree- ment for the charter of a vessel to be first deployed for use at the Solwara 1 undersea mining project. Marine Assets Corporation (MAC), a marine solutions company based in Dubai ,which specializes in the delivery of new support vessels for the offshore industry, will own and provide the marine man- agement of the vessel. The vessel will be chartered to Nautilus for a minimum five years at a rate of US $199,910/day, with options to either extend the charter or pur- chase the vessel at the end of five years. The vessel will first serve as the opera- tional base for the joint venture (Solwara 1 JV) to be formed by Nautilus and the Independent State of Papua New Guinea's (State) nominee, Eda Kopa (Solwara) Limited (State Nominee), a wholly owned subsidiary of Petromin PNG Holdings Limited, to support the operations car- ried out by the Solwara 1 JV to extract and to transport high-grade copper and gold material from the project site, in the Bismarck Sea of Papua New Guinea. Under the terms of the arrangement, MAC will enter into a contract with Fujian Mawei Shipbuilding Ltd., based in Fujian province, southeast China, to design and construct the vessel in accordance with Nautilus' specifications (Shipbuilding Contract). The Shipbuilding Contract is expected to be signed by no later than November 28, 2014. A US $10M deposit is payable by Nautilus to MAC following the payment by MAC of the first install- ment under the Shipbuilding Contract. A further charterer's guarantee of US $18M will be provided to MAC by the Solwara 1 JV on the commencement of the charter of the vessel. When completed, the vessel will mea- sure 227 metres in length and 40 metres in width with accommodation for up to 180 people and generate approximately 31MW of power. All of the below deck mining equipment will be installed in the vessel during the build process to minimize the equipment integration to be completed fol- lowing delivery of the vessel. The vessel is expected to be delivered by the end of 2017. Mike Johnston, Nautilus' CEO, com- mented "We are excited to achieve this significant milestone and secure a vessel contract with such an experienced ves- sel provider as MAC. We appreciate the continued support we have received from Eda Kopa, our joint venture partner, in reaching this milestone and, together with them, look forward to working with MAC and the shipyard in seeing the delivery of our first vessel and making seafloor mining a reality". In April 2014 the State Nominee signed an agreement with Nautilus electing to take a 15% interest in the project while also paying a non-refundable deposit of US $7,000,000 to Nautilus. On May 9, 2014, the State Nominee placed US $113,000,000 into escrow, representing the balance of the funding for the State Nominee's 15% inter- est in the project up to first production. Completion of the State Nominee's pur- chase of the 15% interest in the project is to occur within 10 business days after the payment by MAC of the first install- ment under the Shipbuilding Contract, which is to be made by no later than November 28, 2014, as agreed by Nautilus and the State Nominee. On completion, the State Nominee's funds will be released to Nautilus from escrow and the Solwara 1 JV formed. n MINING

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