Japan-based Marubeni Corporation has announced that its wholly-owned subsidiary Marubeni Iron Ore Australia Pty. Ltd. (MIOA) has signed a loan agreement for A$1.06 million financing with Japan Bank for International Cooperation, in relation to the acquisition of a 12.5 percent equity interest in Australia-based Roy Hill Holdings in March 2012. Other loan facilities from private financial institutions are also planned to be arranged.
According to Marubeni, the expected high quality iron ore product from Roy Hill is much anticipated by steel mills including those in Japan. Marubeni intends to continue developments in the project jointly with the project partners to further contribute to securing supply of iron ore to Japan.