Sydney’s Australian Bauxite Limited announced yesterday that it continues to sell fertilizer-grade bauxite, and it boasts that the sales the firm has been making in recent months have been above prices in the fertilizer-grade bauxite markets that they characterize as being oversupplied.
Although the firm points out that fertilizer-grade bauxite sales are seasonal and affected by weather trends, the firm has sold almost 3,600 metric tons of the ore to this point in 2016, and are planning to close on sales for another 1,500 metric tons prior to the year’s end.
In addition, ABx says an unnamed potential client is currently testing 90 metric tons of cement-grade bauxite for suitability for its specific purposes, but the sale and shipment of a large portion of ABx’s 18,400 metric ton stockpile is still planned for completion by the end of the year. ABx has sold just over 42,000 metric tons of cement-grade bauxite in 2016.
ABx has been working with RawMin in coming to an agreement on two other offers involving five-year deals for sales to firms in the Mideast and Europe. The firm has yet to announce the identity or identities of the parties involved in those offers.
“As the Chinese market for metallurgical bauxite remains subdued, the cement and fertiliser markets are growing strongly,” said ABx’s CEO Ian Levy. “ABx’s recent announcement of a 5-fold increase in the resource tonnages at its Fingal Rail Project to 6.3 million tonnes shows that ABx can enter into long-term contracts with major cement-grade customers.”
“In recent months, several customers have approached ABx seeking metallurgical-grade bauxite for supply to several countries and ABx will work with Rawmin on these opportunities,” he went on. “In response to these early signs of a strengthening market, ABx has increased its testing of the TasTech technology that separates ABx’s bauxite into its 3 product-components: metallurgical-grade, cement-grade and fertiliser-grade bauxite. Once the robustness of TasTech technology is confirmed, ABx will commence large-scale field trials.”