Australian miner Gindalbie Metals Ltd. and Sinosteel Midwest Corp., subsidiary of China's state-owned Sinosteel Corp., have announced the signing of an agreement on sharing infrastructures in the midwest region of Western Australia.
The signing of the agreement provides a framework for sharing access to rail line, accommodation facilities, water infrastructure and other key items. The agreement, between Sinosteel Midwest and Gindalbie's joint venture company Karara Mining Limited, is designed to enhance project economics and unlock synergies between the Karara Iron Ore Project and Sinosteel Midwest's nearby Koolanooka/Blue Hills Project.
Both parties claim that the agreement will reduce capital costs and lead to lower operating costs through economies of scale.