The merged company already has one of the biggest Chinese aluminium smelting and refining companies Xinfa on the register with a 1mtpa off-take agreement. Further off-take agreements to be announced throughout 2013. This will certainly help the funding of the Pisolite bauxite project with debt and equity. I think this is a great move medium term for MTE shareholders. Supposedly from January 2014 Indonesia will stop all exports of Bauxite to China. Of China bauxite imports, 80% came from Indonesia. Who will help fill this gap? In my opinion coal is gone until the end of the decade. Go bauxite, go aluminium!
MTE Price at posting:
3.9¢ Sentiment: Buy Disclosure: Held
