July 5, 2010
Polaris Minerals Corporation has entered into a lease, with L.G. Everist, Inc. for Berth D-44 in the Port of Long Beach, California, with an initial term of five years and three additional five-year extension options, exercisable by Polaris, which would extend the tenure to June 30, 2030.
The 8.3 acre Berth D-44 terminal has an existing entitlement for a throughput of 3 million tons per year and Polaris is now focused on securing the permit changes required to enable materials to be delivered by Panamax vessels. The terminal is adjacent to a deep water channel, has highway access to the nearby Interstate 710, the major freeway servicing the Port of Long Beach and is ideally placed for sales into the Los Angeles market. First deliveries to the terminal from the Orca Quarry are anticipated towards the end of 2012 reflecting the lead time required for permitting and equipment installation. This development timetable is expected to coincide with the industry’s anticipated improvement in market demand.
As a consequence of securing this lease, Polaris, together with its Strategic Alliance partner, is marketing the 12.4 acre freehold site that the company purchased in 2008 on Pier B in the same port.
Herb Wilson, President and CEO, said: “We are delighted to have secured access to this permitted marine aggregate terminal within the Port of Long Beach. The terminal will serve the highly populated Los Angeles market area which has always been a key target in our strategic plans. Berth D-44 will require much lower capital investment for development than the Pier B site and offers lower operating costs. As a consequence, we commenced the marketing of the Pier B site during the second quarter of 2010 and are encouraged by the significant interest received to date.”