TerraCom Limited (TerraCom or Company) announced that an offtake agreement (Agreement) has been signed with its long-term Japanese trading partner for the delivery of up to 1.25 million tonnes over thirteen (13) cargoes from the Blair Athol (BA) operation during the period August 2022 to August 2023 (Offtake Term). Key terms of the Agreement are as follows: One (1) cargo per month during the Offtake Term; Each cargo to deliver between 67,000 and 88,000 tonnes (+/- 10%), subject to the tonnage as nominated by the offtake partner; Total tonnes to be delivered between 0.78 and 1.25 million tonnes over the Offtake Term; and Pricing linked to the globalCOAL Newcastle Index.
The Blair Athol operation continues to perform well and remains on track to achieve coal sales of 2.3 million tonnes for the financial year ending 30 June 2022.