Australia based Aurox Resources Limited has announced the signing of a 15-year term iron ore sales agreement with Chinese steelmaker RockCheck Steel Group Company Ltd (RockCheck Steel).
According to the agreement, Aurox will supply three million mt per annum of iron ore to RockCheck Steel from Balla Balla mine over a period of 15 years.
Aurox had also signed a 15-year term agreement with another Chinese steelmaker, Chengde Iron & Steel Group Company (Chengde) in March 2007 for the same quantity. With these two agreements, Aurox will produce six million mt of iron ore per annum at its Balla Balla project.
The price for both contracts shall be determined according to ’Hamersley Premium Fines price', which is negotiated annually between the world's major steel producers and Australian iron ore suppliers.
RockCheck is a privately-owned steel company in China's Tianjin city, with more than three million mt per annum steel production capacity.