Atlas Signs New Offtake Agreements for 2.2MTPA
Perth, Dec 14, 2012 AEST (ABN Newswire) - Atlas Iron Limited (
ASX:AGO) is pleased to announce that it has signed three new term offtake contracts covering ~2.2 million tonnes of iron ore a year.
The three contracts, which have durations of 1 to 3 years, were signed with two Chinese steel mills and a major international trading house.
Atlas is also pleased to announce that it has recently shipped its first cargo outside of China via a spot sale to a major Asian steel mill with a view to growing the relationship with the purchaser.
Pricing for these recent term contracts are based on the benchmark 62% Fe index, adjusted for iron content and discounted for impurities in line with normal market practice.
Atlas Managing Director Ken Brinsden said the new contracts and Asia-wide interest reflected strong demand for Atlas' product and the Company's growing reputation as a reliable producer.
Atlas advises that negotiations are ongoing with a number of its existing customers about increasing sales tonnages under further term contracts. Atlas also continues to have discussions around new term contracts with a variety of other parties both inside and outside of China.
View the Atlas Iron announcement below:
http://media.abnnewswire.net/media/en/docs/ASX-AGO-618593.pdf
About Atlas Iron Limited
Atlas Iron Limited (ASX:AGO) is an independent Australian iron ore company, mining and exporting Direct Shipping Ore (DSO) from its operations in the Northern Pilbara region of Western Australia. Since listing on the ASX in late 2004, Atlas has grown rapidly and is now a member of the ASX100 index.
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