Orbite Aluminae Inc. (TSX:ORT,OTCQX:EORBF) entered into an offtake agreement with Glencore International AG, a subsidiary of Glencore Xstrata plc. The agreement is for the purchase of smelter-grade alumina from the Company’s proposed smelter-grade alumina (SGA) plant in Quebec.
As quoted in the press release:
The Agreement provides for the purchase by Glencore of 100% of the smelter-grade alumina, from the Corporation’s first proposed SGA plant in Quebec, Canada, for an initial term of 10 years from the commencement of commercial production. The Agreement also foresees that Orbite and Glencore will undertake negotiations relating to Glencore’s potential financial participation in the ownership and operation of the Corporation’s proposed SGA plant in Quebec. The Parties have not set any timetable for the commencement or conclusion of these negotiations. All other terms of the Agreement, including pricing and renewal rights, are confidential for competitive reasons.
Orbite Aluminae Inc. Chief Operating Officer, Glenn Kelly, said:
We are definitely pleased to be executing our first offtake agreement with a company of Glencore’s stature and experience in the alumina industry.