Celsius Resources Ltd (ASX:CLA, AIM:CLA), through its Philippine subsidiary Makilala Mining Company, Inc. (MMCI), has inked a Memorandum of Agreement (MoA) with the Local Government Unit (LGU) of the Province of Kalinga to develop an essential access road.
This collaborative effort will construct a vital access road to the Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project. The 84.5-kilometre Lubuagan-Batong Buhay-Abra Road will traverse the MCB Project area.
This road project aligns with the MCB Project's infrastructure requirements, facilitating efficient transportation of materials during its construction, development and operational phases.
"Efficient use of resources"
Celsius executive chairman Atty Julito R Sarmiento expressed gratitude for the partnership with the local government, saying: “In the development of the MCB Project, we have always consulted and partnered with the local government to align our plans and programs for the efficient use of resources to achieve a common goal.
“We are grateful that the provincial government, through the leadership of governor James Edduba, is receptive in collaborating with us to pave the way for the MCB Project’s infrastructure needs, as well as those of the local communities.”
Kalinga provincial governor James S Edduba said: “We are happy to collaborate with MMCI on the development of this road project.
“We are envisioning that this road project, once implemented, will contribute to the sustainable and inclusive economic growth and rapid progress of the Province of Kalinga, attract further development opportunities and major business investments for our constituents.”
Enhanced infrastructure
Under the MoA, MMCI will finance the construction and development of some 21 kilometres of road alignment, including detailed design and construction plans that meet the MCB Project's requirements.
Meanwhile, the LGU will secure the necessary permits and approvals and undertake land acquisition procedures in compliance with relevant laws.
The MoA outlines funding guidelines, with MMCI releasing funding for each phase of the road alignment based on an agreed schedule.
This includes the detailed engineering phase, bidding and awarding of the road, and the construction phase, aligned with the MCB Project's timeline.
The collaboration outlined in this MOA is poised to significantly enhance the infrastructure necessary for the MCB Project's success and contribute to the economic growth of the region. The financial impact of this agreement will become clearer upon completion of the detailed engineering phase.