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Rio Tinto's subsidiary Rio Tinto Mining Commercial (Shanghai) Co., Ltd. and Dalian Port Co. Ltd. signed a Memorandum of Understanding (MOU) on cooperation in port handling, storage, blending, and transshipment of iron ore.
They will also cooperate in bonded-area operations and trade and jointly build an iron ore blending and distribution center in northeast Asia, according to the MOU.
Following the inking of the MOU, the blending iron ore started within the bonded area at the port. It was the first time for Rio Tinto to begin bonded area operations for blending iron ore at a Chinese port.
"The (blended) iron ore will be sold to steel enterprises in northeast China, Japan and the Republic of Korea," said Chen Sheng, general manager of Rio Tinto Iron Ore China, adding that the operations can cater to various demands of the customers and offer them more cost-effective choices.
The cooperation will not only enable high-quality products to move closer to markets but also effectively reduce costs at both ends of the supply chain, said Tai Jingang, vice general manager of Dalian port.
Dalian port owns a specialized ore terminal that can handle ore ships with a loading capacity up to 400,000 tonnes. It has blended more than 46 million tonnes of iron ore since it started the business in 2016.
Source: Xinhua
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