CNMC Goldmine enters into 10-year sales contract with Yuchen Resources

Yuchen will purchase all lead, zinc and other concentrates or ore produced by CNMC at its Ulu Sokor concession from Jan 1, 2024.

CNMC Goldmine Holdings 5TP has announced that its wholly-owned subsidiary CMNM Mining Group has entered into a 10-year sales contract with Yuchen Resources Co. on Dec 22.

The contract, which lasts over a 10-year period from Jan 1, 2024 to Dec 31, 2033, will see Yuchen purchase all lead, zinc and other concentrates or ore produced by CMNM at its Ulu Sokor concession at prevailing prices.

Yuchen is a commodities trading company incorporated in Hong Kong and has, through an affiliated company, been purchasing lead and zinc concentrates from CNMC since early-2023.

CNMC expects the contract to have a positive impact on its earnings per share (EPS) and net tangible asset (NTA) per share for the FY2024 ending Dec 31, 2024. 

Shares in CNMC closed 0.3 cents higher or 1.52% up at 20 cents on Dec 22.