Generation Mining, Glencore finalize offtake deal for copper concentrate

Generation Mining (TSX: GENM; OTCQB: GENMF) has finalized an offtake arrangement with Glencore International, for copper concentrate, containing copper, palladium, platinum, gold, and silver, to be produced at Gen Mining’s Marathon palladium-copper project, located near Marathon, Ontario.

According to the term sheet, Glencore will purchase an average of 50% of the total copper concentrate to be produced from the Marathon project. It is expected that production from the Marathon Project will be treated by Glencore’s Horne smelter in Quebec. The term sheet includes anticipated specifications for the polymetallic copper concentrate expected to be produced at Marathon, treatment and refining charges, and applicable penalties, if any, for deleterious elements. Metallurgical test work has indicated that the concentrate is unlikely to incur any penalties. The term sheet remains subject to final documentation, including customary offtake terms and conditions.

This offtake agreement also provides metal payment terms for Generation Mining, credit support from Glencore for the project’s environmental reclamation financial surety requirements and working capital facilities. The company expects to enter into final, binding offtake agreements for 100% of the production in conjunction with the completion of its project financing, anticipated later this year.

“These offtake arrangements will ensure the Marathon project has customers for its production and will enable downstream processing of critical minerals in Canada. Moreover, this provides a strong commercial commitment from a highly regarded counterparty to support our expected project financing requirements. This represents just one more major milestone in the development of the Marathon project, with more to come.” said Jamie Levy, president and CEO of Generation Mining.

To learn more, visit www.GenMining.com.