Korab Resources Limited and its subsidiaries reported that the company has executed an agreement with ZM Ropczyce SA regarding an off-take and co-operation with regards to funding, research and development, markets expansion and development of new products. Under the agreement, the parties want to develop a long-term strategic relationship. The agreement envisages Korab supplying up to 20,000 tonnes depending on market conditions per year of Dead Burned Magnesia to Ropczyce, and Ropczyce providing Korab with R&D support associated with the co-operation under the agreement and also aimed at broadening Ropczyce's product range and markets.

The parties allow for capital co-operation in respect of the funding required to develop and expand production of DBM. The terms of the capital co-operation have not been agreed yet. The actual pricing of DBM will be set 6 monthly and will be determined in the formal agreement which will be prepared in the future.