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Carpentaria secures another potential Hawsons pellet feed customer

Carpentaria Exploration Ltd. said May 30 that it entered into a letter of intent with major Chinese steelmaker Shagang International for the sale of 2.5 million tonnes per annum of supergrade pellet feed from the Hawsons iron ore joint-venture project in New South Wales, Australia.

The offtake agreements for the Hawsons project now total 11.4 million tpa, more than the rate that is being studied for the purposes of the current pre-feasibility study, which is on track to be released by the end of June.

The company also plans in later studies to assess an increased scale of production at Hawsons.

Just a day earlier, Carpentaria announced an LOI with United Steel Industrial Co., or Kuwait Steel, for the sale of 1 million tpa of supergrade pellet feed from Hawsons, adding that nearly 90% of the initial planned production from the project is now assigned to buyers from across Asia and the Middle East.