Titanium Corp. signs project coordination agreement
Deal involves the 2020 engineering Phase of the CVW? Horizon Proj
Titanium Corporation Inc. and Canadian Natural Resources Ltd. have signed a 2020 Project Coordination Agreement (PCA) which governs the 2020 engineering phase of the CVW Horizon Project.
The PCA, effective January 1, 2020, sets out the rights and responsibilities under which the parties have been operating during the year with respect to the 2020 Program. Under the PCA, the 2020 Program includes validation of the previously completed front end engineering design study, optimization of the overall plant design and the updating of the capital cost estimate for the concentrator plant, tailings thickener and associated utilities.
Canadian Natural and Titanium
The PCA provides that Canadian Natural and Titanium shall be responsible for 70% and 30%, respectively, of the total cost of the 2020 Program and government grant proceeds related to the 2020 Program shall be shared between the parties on the same ratio. Titanium has incurred costs of $1.1 million under the PCA for the nine months ended September 30, 2020 and the final details of each party’s contribution will be determined in the first quarter of 2021.
The PCA provides that ownership of the 2020 Program and intellectual property rights developed during the program shall be jointly owned pro rata in accordance with each party’s contribution. The PCA also sets out the management structure, responsibilities, administration and certain other customary terms and conditions for the conduct of the 2020 Program.