Sales & Logistics
SALES & LOGISTICS
The DeGrussa Project produces a high-quality “clean” copper concentrate with broad customer acceptance and a very marketable 25% copper grade with notable gold and silver credits.
The copper concentrate is transported 700km by road. Sandfire is in an enviable position of having the option to export through either the Pilbara port of Port Hedland or the Mid West port of Geraldton. This results in the ability to redirect haulage based on port conditions, thereby reducing possible lengthy delays.
In March 2016, Sandfire celebrated a significant milestone in the short history of the DeGrussa operation as Qube loaded and trucked our millionth (wet) tonne of concentrate from the mine site to port. View Sandfire Celebrates One Million from DeGrussa, The West Australian, 31 March 2016.
DeGrussa copper concentrate is offered via a competitive tender process and current production is sold under various sales agreements each with staggered terms. These agreements are with major international trading companies and various smelters with shipments to China, Korea, Philippines, India and Japan.
Due to the extensive number of enquires for DeGrussa copper concentrate, Sandfire has stringent pre-qualification criteria for tender participants and rigorous due diligence is performed prior to contracting sales.
Sandfire’s marketing strategy is to contract up to 85% of annual copper concentrate production from DeGrussa, with the remainder available for delivery into the spot market and allowance for production variances.