Arabian American set for first zinc shipment
Texas (US), August 27, 2012
Arabian American Development Company, a specialist in manufacturing of petrochemical solvents, has announced its first sales of zinc and copper concentrate from the Al Masane Al Kobra (Amak) mine in Saudi Arabia.
Amak, which is 37 per cent owned by Arabian American, will start shipping the products from the Saudi port of Jizan next month, said a statement from the company, which owns and operates a petrochemical facility in Texas, US.
A minimum of 5,000 T of concentrate is required to create a cargo for scheduling. The contract with the buyer of the copper concentrate, an Indian smelter, allows for a shipment of up to 7,000 MT of product which will generate over $11.5 million in gross revenue for the Saudi joint stock company, it stated.
The contract for the zinc concentrate, with a smelter in South Korea, allows for a shipment of up to 7,000 MT and will generate over $4.5 million in revenue if the full amount is loaded.
Nick Carter, the president and CEO expressed delight at the milestone sale and shipment of products from the Saudi mine.
'This is the culmination of a successful collaboration with our Saudi partners, the mill operator, and our sales and marketing partners after years of development,' he remarked.
He pointed out that the current market demand had made the mine's zinc concentrate attractive to the zinc smelters, and the mill was running currently at about 95 per cent capacity.
The mine, he said, was entering the stage of full and routine operation. 'Recovery of the metal from the ore is very good, the quality of the concentrate is good, and we are looking forward to establishing a good track record for quality and reliability in the world-wide marketplace,' Carter noted.
'Production at the Amak mill of the two products is continuing daily, and reliability has been greatly improved over the last several months. Typically, the Saudi mine will load a cargo hold every four to six weeks if production continues as planned,' he added.
Carter said the permanent facility for storing and loading concentrates at Jizan is nearing completion and may be used for this first shipment.-TradeArabia News Service