Intec Ltd (INL) signed a Subscription Agreement with Green Resources (Asia Pacific) Holding Limited for the rapid development of Intec Process-related projects in China. Green Resources is a special purpose vehicle incorporated in Hong Kong for the purpose of implementing primary and secondary resources projects using the Intec Process, combined with other advanced sustainable international technologies as appropriate, to exploit the many metalliferous waste recycling opportunities in China, several of which have already been identified and advanced through Intec’s Chinese representative office.
Stage 2 of Subscription Agreement include the grant to Green Resources of a royalty-free 20-year Intec Process technology licence in China, subject to Intec’s existing licensing arrangements and specified performance conditions; and Intec’s investment in Green Resources of RMB 2,000,000, (approximately A$325,000 at current exchange rates), which funds will be satisfied by the issue of approximately 21.7 million Intec ordinary shares at a price of A$0.015 each to Green Resources. These and other funds will be applied by Green Resources to complete the feasibility study for the furnace dust project in Liuzhou City . Stage 2 of Subscription Agreement provides for the issue to Intec of a further 13% equity interest in Green Resources, thereby bringing Intec’s shareholding to 20%, for an investment of RMB 13,000,000 (approximately A$2,110,000 at current exchange rates). Stage 2 is expected to be completed by 30 June 2010.
Stage 3 of the Subscription Agreement involves a cross- investment between Intec and Green Resources for the equivalent value of RMB 10,000,000 (approximately A$1,625,000 at current exchange rates), so that at completion of Stage 3, Intec will hold a 30% interest in Green Resources. In return, Intec will allot to Green Resources, the appropriate number of Intec shares for an A$ equivalent of RMB 10,000,000 at an issue price which will be the 20-day volume weighted-average price for Intec shares on the ASX immediately prior to completion of Stage 3. Stage 3 of the Subscription Agreement is expected to be completed by 30 September 2010.
Intec Ltd is an Australian company which owns the Intec Process for superior and sustainable metals production. The Intec Process comprises a set of patented chloride-based hydrometallurgical processes that have been demonstrated to produce high purity base and precious metals from concentrates of sulphide and oxide ores, tailings and industrial wastes. The Intec Process has substantial environmental and cost advantages over both the widely used conventional smelting and refining processes and other known hydrometallurgical processes. It is also expected that Intec’s intellectual property derived from its waste metals recovery technology will have broad application for mine tailings water, industrial waste water and waste sludge treatment, both nationally and internationally.
