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Australia's ioneer signs boric acid off-take deal with China's Dalian Jinma

Australia's ioneer Ltd. entered into a binding agreement to supply China's Dalian Jinma Boron Technology Group Co. Ltd with 105,000 tonnes per annum of boric acid for five years from the Rhyolite Ridge lithium-boron project in Nevada.

The off-take deal covers over 50% of the project's targeted annual production of about 170,000 tonnes of boric acid. Initial supply is expected in the first quarter of 2023.

Pricing will be based on prevailing market prices and will be fixed for the first six months of delivery; subsequent adjustments will be negotiated.

As part of the deal, Dalian Jinma agreed to act as ioneer's exclusive distributor and representative for customers in China and Taiwan, excluding large multinationals, with which ioneer will deal directly.

The agreement is conditional on ioneer making a positive final investment decision, expected in early 2021, according to a Dec. 18 news release.

The company signed a sulfur supply deal earlier this month for use at Rhyolite Ridge, which started producing boric acid in July.