Anshan, Gindalbie ink for iron ore project

Anshan Iron & Steel Group - the second largest steelmaker of China - inked agreement with Australian Gindalbie Metals yesterday to develop the $1 billion worth Karara iron ore project in West Australia. Anshan will manage 50% in of Gindalbie's magnetite and hematite production project and it will also be the main investor of the pellets factory to be built in Oakajee. The pellet factory is 250 km away from the mine. Anshan will also build a port in Oakajee. The two companies will form $300 million equity for the project, $225 million of which will be provided by Anshan.