Aricom, the Anglo-Russian developer of mineral resources, has announced that it has entered into a non-binding memorandum of understanding (MoU) with one of the largest Chinese equipment manufacturers and a leading contractor to the metals and mining industry, China Metallurgical Group Corporation (CMCC), regarding the construction of a proposed 10 million mt iron ore beneficiation plant, to be located at Aricom's Kimkan and Sutara site in Russia's Far East.
The MoU provides the basis for discussions between Aricom and CMCC concerning the signing of an engineering, procurement and construction agreement (EPC contract) based on an internationally recognized form of contract for fixed price, EPC/turnkey projects.
"Despite the current financial market volatility, I believe in the strength of our project portfolio and any resulting construction contract would be a significant step forward for the development of the Aricom project portfolio," commented Aricom's CEO Jay Hambro.
The new processing plant is to process both the run-of-mine ore from the Kimkan and Sutara pits and the preconcentrated ore from Garinskoye.