Australia’s Metro Mining has secured multi-cargo offtake agreements for bauxite shipments from its Bauxite Hills Mine in Queensland, covering the years 2025 and 2026. The agreements total 6.9 million wet metric tonnes (WMT) in 2025 and 6.1 million WMT in 2026, ensuring a robust demand for its bauxite supply.
These agreements include partnerships with key Chinese companies such as Xinfa Aluminium Group and China Aluminium International Trading Group. The deal with Xinfa Aluminium Group, Metro’s longest-term customer, also includes extending their contract. Additionally, Metro has signed a new agreement with China Aluminium International Trading Group, the trading arm of the Aluminium Corporation of China, as well as a contract with Shandong Lubei Enterprise Group General Company, a diversified chemical manufacturing group from Shandong Province.
This strategic expansion further strengthens Metro Mining's global position as an Australian mining and exploration company.
Simon Wensley, CEO of Metro Mining, a proven leader with 30+ years’ experience in the metals and minerals industry, said, "This high-quality portfolio of customers is a testament to Metro bauxite's competitiveness and its technical service, commercial flexibility and efficient and large-scale logistics to establish a robust and low-risk market positioning."
Metro indicates that while the detailed contract tenor, volume, and pricing terms remain confidential, the offtake based on shorter-term pricing quotation periods is set at 80 per cent for 2025 and 93 per cent for 2026.
The contracts are a blend of FOB and delivered (CIF), and some contracts contain mutual options for additional spot cargo.
Contracts of affreightment containing fixed charter and bunker rates with first-class owners have already been agreed upon for over 85 per cent of the agreed delivered (CIF) volume each year to manage freight rate risk.
Image credit: Metro Mining website
Information credit: Metro Mining Press Release
Edited By: Rupankar Majumder
