Ausmelt Inks Deal with Leading Chinese Metals Producer

Ausmelt Ltd has signed a major new contract with a leading Chinese metals producer to provide Ausmelt TSL Technology for a new copper smelter to be built in the People's Republic of China.

The client company has requested confidentiality until its Board of Directors has approved a suitable starting date for the project.

Work on the new project is expected to begin towards the end of the March quarter. When completed, the project will be the ninth Ausmelt Technology smelter operating in China. Ausmelt Managing Director, Mr Paul Abbott, said today: “The growing Chinese metals market and China’s requirement for environmentally sustainable smelting technology are creating new business opportunities for Ausmelt technologies.

“The company is currently working on six Chinese smelting projects and Ausmelt technology is becoming the technology of choice for many Chinese metals producers.”

Mr Abbott said Ausmelt’s top submerged lance smelting technology had now been adopted in China to produce copper, nickel, lead and tin.

The latest signing brings the value of new contracts and work orders signed this financial year to over A$19 million – a record amount for a half-year.

Mr Abbott said the latest contract would begin contributing to earnings during the June quarter of 2008.

Details of the client company and project specifications will be released as soon as possible.

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