CHICAGO Orbite Aluminae Inc. has signed an offtake agreement with Glencore International AG for smelter-grade alumina from Orbites proposed plant in Quebec.
The Montreal-based company, which produces alumina from aluminous clay rather than from traditional bauxite, said June 17 that the agreement would see Glencore buy all of the smelter-grade alumina from Orbites first proposed plant in Quebec for an initial term of 10 years beginning with commercial production at the facility.
In addition, Orbite and Glencore have agreed to discuss the possibility of the Swiss trading house, a subsidiary of Glencore Xstrata Plc, potentially taking an ownership stake in Orbites plant in Quebec, the company said. No timetable has been set for the negotiations, Orbite said.
We are definitely pleased to be executing our first offtake agreement with a company of Glencores stature and experience in the alumina industry, Orbite chief operating officer Glenn Kelly said in a statement.
Orbite started shipping commercial samples of high-purity alumina (HPA) in March from its new plant in Cap-Chat, Quebec, to customers in North America, Asia and Europe. The company is also planning to build an aluminum smelter-grade alumina plant, with a feasibility study on the project slated for completion by the end of 2013 (amm.com, March 28