London Mining in talks with Glencore on Ore sales - CEO

London Mining Plc, studying a $2.2 billion iron ore mine expansion in Sierra Leone, said it’s in talks with Glencore Iequipamento para extracao de ouronternational Plc to extend sales of the steelmaking raw material from its Marampa deposit.

“They would like to extend their off-take rights to more of our production, which is in line with their strategy to grow their presence in the iron ore market,” Graeme Hossie, chief executive officer of the London-based company, said in a phone interview from the city. Glencore agreed to a five-year sales accord for ore from the first stage of the mine in January. Prices for iron ore delivered to China, the world’s biggest buyer, have jumped 21 percent in the past year. The first shipment from the $199 million mine, which has a production capacity of 3.6 million metric tons a year, is expected in October, Hossie said today. London Mining’s agreement with Glencore covered all output from the initial production phase and an option for the next stage, the company said in a statement today...