Galaxy Resource has announced the finalisation of a long term shipping contract for its spodumene concentrate.
The lithium producer will ship the concentrate from Esperance to China with Pacific Basin Shipping following the five year fixed price agreement.
The concentrate mined from Galaxy’s Mt Cattlin Spodumene project will be shipped to the Jiangsu province in China where Galaxy is currently developing a wholly owned lithium carbonate plant.
The miner released a statement saying that the contract delivered both cost efficiencies and long term security for Galaxy customers and shareholders.
Galaxy managing director Iggy Tan said the rates agreed are below the miner’s definitive feasibility expectations.
Galaxy is aiming to produce 15 million tonnes of ore over the next 16 years.
The lithium miner saw a 7.5% jump in share price on the back of the announcement.