Shipment term

Australia Centrex Limited signs trial shipping agreement with Ameropa

HOUSTON (ICIS) – Australian fertilizer developer Centrex Limited announced that its Agriflex has signed an agreement for a test shipment of enriched phosphate rock with Ameropa Australia.

The company said the terms provided for the sale of a 5,000 wet tonne shipment of enriched phosphate rock to Ameropa and included a first right of refusal to purchase 10% of the Ardmore mine’s annual production for the first three years. .

The trial shipment was sold on an FOB basis and is expected to load in November 2022, with pricing to be finalized 6 weeks prior.

If Ameropa does not choose to exercise the first right within the specified time, it will expire for available production and Ameropa will have no further obligation to Agriflex under the agreement.

Centrex said the trial shipment is conditional on Agriflex upgrading the processing plant to its satisfaction to sufficiently produce the product.

It is also conditional on obtaining all necessary approvals to fulfill the company’s delivery obligations.

Last month the company said mining operations were hitting the planned pace of 27,000 tonnes of ore per month and the crushing contractor had begun efforts to create both a direct application product and a feed for the Ardmore enrichment plant.

The production rate is expected to gradually increase over the next six months as the milling and beneficiation plant is optimized.

“Agriflex is proud to enter into this agreement with Ameropa, a respected, world-class company, while helping to improve Australia’s security of phosphate rock supply,” said Robert Mencel, Managing Director of Centrex Limited.

“With the signing of this agreement, the Ardmore project has 100% of its first three years of production allocated to major customers in Australia, New Zealand and Asia.”