India Globalization Capital, Inc. (IGC) announced on Jul 8 the signing of an iron ore sale and purchase agreement with Mon Resources International LLC. Mon Resources supplies iron ore mined in Mongolia. The contract encompasses an aggregate shipment of up to 126,000 metric tonnes of iron ore and is effective through December 31, 2013, and can be extended via mutual agreement. |
IGC will purchase an aggregate of 126,000 metric tonnes of 54% Fe content ore delivered to the IGC hub at the border of Mongolia and China. IGC's subsidiary in China will then beneficiate this ore to 66% Fe content, which is then sold to the steel mills. The shipments are expected to commence in August.