Australian phosphate producer Centrex has inked an offtake agreement to supply phosphate from its Ardmore mine in Queensland to New Zealand farming co-operative Ravensdown.
The agreement is valid for 2½ years and Ravensdown aims to buy approximately 15,000t of phosphate in the first year, Centrex said on 3 July. The parties will then convene after each contract year's end to mutually determine the volumes for the following contract year.
Ravensdown is expected to receive its phosphate rock supplies from 1 July.
Centrex has allocated 20pc of its production from the project to fulfil this agreement.
Centrex signed the agreement through its wholly owned phosphate-producing subsidiary Agriflex, which manages the company's phosphate project at Ardmore in northwest Queensland.
"This agreement also continues our expansion of sales of product into the lucrative New Zealand agricultural market," Centrex managing director Robert Mencel said.
Centrex's offtake with Ravensdown is the third agreement signed, following the binding offtake agreements with fertilizer distributor Ameropa Australia and New Zealand's co-operative Ballance for phosphate rock produced at Ardmore.
