Company invests in emerging Australian producer of high-grade mineral and silica sands
SIBELCO have today committed to invest A$49 million (€32 million) in Diatreme Resources Ltd, an emerging Australian producer of mineral and silica sands based in Brisbane. The partnership will support Sibelco’s vision of becoming the global leader in silica sand, extending access to silica sand reserves across the globe.
The investment, which is subject to approval by Australia’s Foreign Investment Review Board (FIRB), consists of the purchase of Diatreme shares through a private placement and investment in a silica sand joint venture between Diatreme and Sibelco in Cape Flattery, northern Queensland.
Diatreme’s low-iron silica sand projects are strategically located to service fast-growing Asian markets for solar PV, engineered stone, and other applications. The company’s key projects consist of the Galalar Silica Project and Northern Silica Resource Project in far north Queensland, located next to the world’s biggest silica sand mine at Cape Flattery.
Diatreme, who have an experienced board and management, with expertise across all stages of project exploration, mine development, and project financing, together with strong community engagement skills, say their silica sand resources will contribute to global decarbonization by providing the necessary high-grade silica for use in the solar PV industry.