AZTEC Resources has signed its third memorandum of understanding with Sinom (China) Ltd taking the amount of its iron ore secured by MOUs to more than 22.5 million tonnes.
Agreement terms are based on:
• The project being considered viable by both parties;
• Mutual agreement of the detailed conditions on the purchase of Koolan ore; and
• Approval by the purchaser’s board.
Under the latest MOU iron ore tonnage supplied to Sinom will be a minimum of 10.5 million tonnes of ore over a period of 15 years at a guaranteed rate of 700,000 tonnes a year for the mine’s 15-year expected life.
Subject to mutual agreement on the conditions of the purchase and the viability of the project, Sinom will make finance available for the development and construction of the project.
Sinom is a shipping, trading and resource investment company based in China and Hong Kong that supplies iron ore and other commodities to major Chinese steel mills.