London Mining

LONDON MINING AND CSN SIGN MEMORANDUM

London Mining Developing Mines

London Mining  PLC (LOND.L)

London Mining Plc is developing mines to supply the global steel industry. The Company has iron ore exploration and development projects located in Sierra Leone, Saudi Arabia, Greenland, China and Chile, and a coking coal project in Colombia. The Company’s products include pellet feed, P1 sinter feed / P2 sinter/pellet and DR pellets. The Marampa mine is a 13.82 square kilometers brownfields site. The Company focuses to develop Marampa in two phases. The Wadi Sawawin Project is located in the north-west corner of Saudi Arabia, 125 kilometers from Tabuk and 60 kilometers from the Red Sea port of Duba. Greenland includes the Isua Project. Isua is located 150 kilometers Northeast of Nuuk. Isua will produce a 70% Fe pellet feed concentrate. London Mining had completed three seasons of exploration drilling on the Isua Project.

LONDON MINING SIGN A NEW LONG TERM OFF - TAKE AGREEMENT

 LONDON MINING SIGN A NEW LONG TERM OFF - TAKE AGREEMENT

London Mining Plc is pleased to announce that it has signed a long term off-take agreement for 4 million tonnes of iron ore per annum with Suns Trading Ltd, a wholly owned subsidiary of Suns International Holdings Ltd.

London Mining has signed a long term iron ore purchasing agreement with Suns Trading Ltd. whereby Suns will purchase on a "take or pay" basis the Company's available production exports up to a committed quantity of 4 million tonnes per year. The contract pricing is based on CVRD benchmark prices and an additional marketing fee will be payable for managing the ongoing commercial and supply arrangements with steel mills in China directly on behalf of London Mining. Suns and its end-users have expressed demands of more than 4mtpa which will be at the Company's discretion.  Suns Trading currently manages iron ore buying for over 12 steel mills in China and supplies approximately 15m tonnes of iron ore lump and fines per year to mills in various provinces in southern and northern China.

Suns Chairman, Wilson Chen said: "We are very happy to have agreed this important purchasing contract with London Mining.  We have high and rapidly growing demand for this essential commodity amongst our steel mill clients and the relationship with and supply from London Mining is important for meeting their expanding needs for high quality iron ore in the future."

Graeme Hossie, Corporate Development and Deputy Managing Director for London Mining said: "This deal gives London Mining multiple customers in China providing a diversified purchasing base so as not to be reliant on one steel group. It also provides capable and seasoned commercial management of the end user relationships allowing London Mining to focus on expanding production in its mines worldwide.  As Suns is a Hong Kong based group long established in international business and supplying Chinese companies, the relationship resolves cultural, language and bureaucratic issues for London Mining in supplying Chinese customers and extends London Mining's customer reach and relationships within China."

London Mining images

London Mining Images