The company has reached an agreement with the owners of the Mae Lama mine, formerly one of Thailand's most significant tungsten producers, whereby the company acquires 100 per cent of the mining and development rights.

The mine is near the border with Burma about 350 kilometres northwest of Bangkok. During the 1970s it was an important producer of wolframite and scheelite, producing several hundred tonnes of high-grade concentrates a year.

Amanta has agreed to make an initial payment of Bt2.5 million upon signing a formal agreement, followed by a second payment of Bt2.5 million upon renewal of the mining licences.

A third payment of Bt5 million will be paid if the company concludes a positive feasibility study and decides to reopen the mine.

With the exception of the initial payment, the agreement is subject to government approval of the renewal of the Mae Lama mining licences, for which the owners applied in October and expect approval by the end of this year.

The company's objectives are to consolidate several former tungsten producers in northern Thailand, gain a dominant industry position and reposition Thailand as an important tungsten producer.