China Gengsheng Minerals, Inc., a materials technology company in China which produces products capable of withstanding high temperature for certain industries such as steel and oil, and makes its main business through its BVI-registered subsidiary China Gengsheng Minerals Inc., has reported on the forming of supply partnership with Aluminum Corporation of China’s Gongyi Division for bauxite from a mine that it owns in the province of Henan.
Under the terms of this partnership, Aluminum corporation will ensure the annual supply of 150,000 to 250,000 tons of bauxite to Gengsheng, which in its turn will pay a slightly-below-market price for this.
Aluminum Corporation of China is the world’s largest alumina producer and the parent company of Chinalco Gongyi. The bauxite mine has a reserve of 12 mln tons, with an average alumina grade of over 70%, and an estimated life of 25 to 30 years.