KWG and China Railway First Survey & Design Institute Group Co., Ltd. Sign Memorandum of Understanding19 Jan 2016
XI’AN SHAANXI, CHINA-(Jan. 19, 2016) – KWG Resources Inc. (CSE:KWG) (FRANKFURT:KW6) (“KWG”) and China Railway First Survey & Design Institute Group Co., Ltd. (“FSDI”) have signed a Memorandum of Understanding today setting out the terms for mutually proceeding with a feasibility study for the design and financing of a railroad. The parties have agreed that a delegation of FSDI professionals will travel to Ontario for initial consultations prior to mid-March 2016. The Memorandum of Understanding was facilitated by Golden Share Mining Corporation (TSX VENTURE:GSH), KWG’s agent in China.
KWG has engaged Intercedent Limited, of China and Canada, to advise globally on the transaction.
The right-of-way staked and assessed by KWG subsidiary Canada Chrome Corporation will provide the alignment for the route. The First Nations whose traditional territories are traversed by the route will first be consulted to insure that their interests are accommodated, prior to further definitive agreements being undertaken by the parties.
Established in 1953, China Railway First Survey & Design Institute Group Co., Ltd. (“FSDI”) holds 26 national Grade-A complex qualification certificates for engineering survey, design, supervision and consultation.
Over the past 60 years since establishment, FSDI has led the design and construction of over 48,000 km of railways represented by western China’s railway network, and undertaken over 5,000 km of high-speed railways which have been in operation or are under construction in China.
FSDI has undertaken rail transit projects in over 30 cities of China, fully covering the whole process or industrial chain of planning, design, consultation, supervision, EPC and general property development of means of transport such as subway, light rail and tramcar. It has also undertaken railway, highway and subway consultation and design projects measuring a total of over 2,000 kilometers in over 40 countries.
FSDI’s complete survey & design technologies have been up to domestic or world advanced standards in fields such as mountain railways, plateau permafrost railways, desert railways, electrified railways, super long tunnels, large railway hubs or marshalling stations, wireless train control, command scheduling systems, and large interchange engineering.
KWG has a 30% interest in the Big Daddy chromite deposit and the right to earn 80% of the Black Horse chromite where resources are being defined. KWG also owns 100% of CCC which has staked claims and conducted a surveying and soil testing program, originally for the engineering and construction of a railroad to the Ring of Fire from Aroland, Ontario. KWG subsequently acquired intellectual property interests, including a method for the direct reduction of chromite to metalized iron and chrome using natural gas. The Company is prosecuting patent applications for both the direct reduction method and for a method of producing high purity chromium metal by continuous smelting.
Shares issued and outstanding: 871,418,968
Download PR228 Jan 19 2016