Diatreme Resources to provide its high purity silica to the world’s largest manufacturer of PV grade glass

Emerging silica sands developer and producer Diatreme Resources (ASX:DRX) will provide its high purity low iron silica to one of the world’s largest manufacturer of photovoltaic (PV) grade glass, FLAT Glass.

The companies have signed a memorandum of understanding (MoU) which will see the supply of high purity silica from Diatreme’s Northern silica project (NSP) to FLAT’s glass manufacturing operations in China.

The non-binding MoU provides the template and mechanisms for co-operation and allows the exchange of mutually sensitive operational and commercial information between the companies.

It also includes FLAT examining the potential to site onshore PV glass manufacturing in Queensland, amid surging demand from the solar power industry.

Diatreme chief executive Neil McIntyre welcomed the agreement.

“We are highly encouraged that one of the world’s leading PV grade glass manufacturers is negotiating directly with Diatreme over silica supply from our Far North Queensland project,” he said.

“This is a strong vote of confidence in the NSP and its capacity to meet FLAT’s highly exacting offtake requirements.

“Diatreme’s potential supply of product for FLAT’s planned future expansion confirms our belief that the NSP is truly a world class project, with an important role to play in the global renewable energy drive.”

PV glass generate free and clean electricity by using solar cells to convert solar energy into electricity.

The panes are made of layers of heat-treated safety glass which can provide the same thermal and sound insulation as conventional architectural glass.

It lets natural glass go through with up to 99% of ultraviolet radiation and 95% of infrared radiation absorbed.

FLAT deputy chairman and deputy general manager Jinhua Jiang said the company is pleased to sign the MoU with Diatreme.

“We are pleased to sign this MoU with Diatreme, an emerging supplier of high-purity silica products,” she said.

“Diatreme’s commitment to sustainable development, its strong community engagement and proximity to Asian markets, together with its ability to deliver the required product specifications make it an excellent partner of choice for our future expansion plans.”

The MoU will remain active for 12 months.