Queensland-based Metro Mining began bauxite mining operations at its Bauxite Hills site on April 13, with its first shipment of 60,000 tonnes earmarked for a Chinese buyer, the company announced on Monday April 16.
The Australian miner has brought the Bauxite Hills asset online to join its existing operations at the Skardon River bauxite project, previously owned by Gulf Alumina.
Metro is now mining at an initial rate of 2 million tonnes per year and plans to ramp up its output to 6 million tpy in the first four years of operation. The ramp-up will be, “subject to expansion capital,” the company said, adding that, “government approvals are in place to mine as much as 10 million tpy.” The first 60,000-tonne cargo is booked for collection on April 19 and is bound for China’s Shandong province to supply Xinfa Group.
Xinfa is an alumina and aluminium producer that has refining and smelting operations in Shandong, Shanxi, Guangxi and Xinjiang provinces. The company signed a binding offtake agreement with Metro for 1 million tonnes of bauxite in the first year of operation, followed by 2 million tpy over the subsequent three years.
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