Larvotto Resources has signed a binding offtake agreement with Glencore for the sale of gold concentrate from the Hillgrove Antimony-Gold Project in New South Wales, Australia.
The deal covers the project’s gold concentrate production for the first seven years of operation.
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Larvotto announced that commissioning and first production at Hillgrove are scheduled for August 2026, with the project adhering to both budget and timeline.
Under the agreement, Glencore will purchase approximately 15,000 dry tonnes per annum (dtpa) of gold concentrate.
The arrangement is structured on a mine-gate basis, assigning Glencore responsibility for logistics from the site to the final customer.
Larvotto will be paid according to London Bullion Market Association gold prices, adjusted for the contained gold content in the concentrate.
The company stated that the offtake is agreed on normal commercial terms and is subject to execution of final agreements.
Larvotto previously signed an antimony concentrate offtake agreement with Wogen Resources.
With the addition of the Glencore deal, Larvotto says it has now completed its core marketing strategy for Hillgrove’s main concentrate products.
Larvotto selected Glencore as the preferred offtake partner following a competitive process involving several international trading houses.
The company highlighted Glencore’s broad expertise in concentrate marketing, logistics and downstream customer networks, as well as its public listings in London and Johannesburg and market capitalisation of around £70bn ($93.37bn).
Both gold and antimony concentrates are expected to provide key revenue streams for the Hillgrove project.
Larvotto managing director Ron Heeks said: “As we move closer to first production at Hillgrove, securing a globally recognised offtake partner for our gold concentrate is another important milestone in the transition from development to operations.
“As expected with the strength in the gold price, there was a high level of interest for the offtake during the tender process from all major commodity houses. Glencore’s global presence and established customers stood out as an ideal partner, and we are looking forward to working together.
“Having already partnered with Wogen for the antimony offtake from Hillgrove, we have now established the key offtake arrangements for the project’s concentrate products, which creates certainty around revenue.
“Metallurgical testwork continues for the potential production of a tungsten concentrate byproduct from Hillgrove, with offtake discussions expected to progress as development activities advance.”
Last month, Larvotto conducted initial metallurgical flotation test-work on Tailings Storage Facility 1 at the Hillgrove project.
