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AL CIRCLE

Metro signs bauxite supply agreement with SPIC

EDITED BY : 2MINS READ

Metro Mining Limited signed a non-binding Memorandum of Understanding regarding a bauxite offtake agreement with the Chinese State-owned Enterprise, SPIC Aluminium and Electric Power Investment Co. Ltd. Metro will supply 6.5 million tonnes of bauxite over a period of four years from May 2018.

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Metro Mining Managing Director Simon Finnis said: “Once again this demonstrates the strong appetite for our bauxite in the Chinese refining market, and validates our mining and marketing strategy.”

“Construction at the Bauxite Hills Mine is virtually complete, and is on schedule to commence production in April 2018, following the end of the Cape York wet season.”

Metro Mining will initially supply 500,000 tonnes of bauxite in 2018, 1 million tonnes in 2019, 2 million in 2020 and 3 million in 2021.

The parent company of SPIC, State Power Investment Corporation, was established through the merger of China Power Investment Corporation and State Nuclear Power Technology Corporation. The aluminium division, SPIC Aluminium and Electric Power Investment Co. Ltd, has annual aluminium smelting capacity of 2.5 million tonnes, and alumina refining capacity of 2.6 million tonnes.

This MoU complements Metro’s existing binding Offtake Agreement with Xinfa for 7 million tonnes over 4 years and Metro’s non-binding Letter of Intent with Lubei Chemicals. A binding Offtake Agreement with SPIC is under negotiation.


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EDITED BY : 2MINS READ

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