Cameroon’s government has signed a $675.96 million high-grade iron ore mining deal with a subsidiary of Sinosteel Corporation Limited, as China seeks new sources of the steel-making ingredient, reports Reuters.
Sinosteel Cam S.A., the Cameroonian subsidiary of the state-owned Chinese miner, will develop the Lobe iron ore mine in the central African nation, helping China to diversify its sources of iron ore beyond Australia, with which it is in a trade war, and Brazil.
Under an initial 20-year mining convention, concluded on May 6 in the capital Yaounde and seen by Reuters on Thursday, Sinosteel Cam aims to mine 10 million tonnes of ore with 33% iron content annually.