Iluka acquires stake in UK-based Metalysis for A$ 22.5 mn

Iluka Resources Ltd has agreed to acquire 18.3% stake in the UK-based Metalysis Ltd for Pound 12.2 million (approximately A$ 22.5 million). The transaction remains subject to usual conditions precedent. Metalysis has demonstrated that it is able to produce titanium powder directly from Iluka’s main high grade titanium feedstock products of rutile.
 
David Robb, Managing Director, Iluka, said, “Iluka’s involvement as a major shareholder and funding partner provides Iluka shareholders with access to a new, potentially disruptive technology which is close to commercialisation, and the potential benefits of a new source of high grade titanium dioxide feedstock demand, as well as a commercial involvement in a potential new growth pathway for high value metals and alloys and new manufacturing processes such as 3D printing.”
 
Metalysis, Chairman, Tony Pedder, added, “Iluka coming in as a funding partner to Metalysis is an important part of the company’s journey. Iluka’s expertise in titanium dioxide as a feedstock, process engineering experience and access to global markets can make a significant impact on Metalysis’ development. The Metalysis process has applications across metals in the periodic table including: titanium, tantalum and rare earths and with Iluka’s access to titanium dioxide feedstock there is the potential to produce titanium powder with much greater efficiency and at a much lower cost than is currently possible.”
 
In addition, Iluka and Metalysis have entered into a term sheet outlining technical services and titanium dioxide feedstock supply agreements.