These arrangements, according to Melbourne, Australia-based Citadel, represent an important milestone, underpinning the company’s share price at a premium to current market prices and providing Citadel with the additional funding to enable the ongoing development of the Jabal Sayid copper-gold project, where first production is targeted for 2011.

At full production, the Jabal Sayid project is expected to produce approximately 240,000 dmt/y of copper concentrate containing 60,000 mt/y of copper with payable gold and silver. The off-take arrangement agreed with Transamine represents a sale of just over 20% of the project’s forecast annual production at what Citadel described as “attractive commercial terms.”