Japanese carrier ‘K’ Line said on 22 June that it has sealed a long-term contract to ship bauxite for Dubai-based Emirates Global Aluminium.
‘K’ Line plans to use Capesizes to transport 5 million tonnes of bauxite a year, starting from the end of this decade. That would work out to three-to-four shipments a year.
Bauxite is a key aluminium-making ingredient.
‘K’ Line has been a business partner of Emirates Global Aluminium’s subsidiary Dubai Aluminium, since the latter was established in 1979.
The shipping company, led by Eizo Murakami, has continuously transported Dubai Aluminium’s cargo for the past 35 years. The latest contract is for the alumina refinery that Emirates Global Aluminium plans to build in Al Taweelah, the United Arab Emirates.
In March 2015, ‘K’ Line announced its new medium-term management plan “Value for our Next Century”.
Under this new plan, ‘K’ Line is expanding its Capesize business by securing medium to long-term contracts.
Related news:‘K’ Line to ship Hitachi rail cars
IHS Maritime understands that ‘K’ Line’s Singapore office worked on the Emirates Global Aluminium contract.
Kei Onishi, general manager of bulkers and tankers at ‘K’ Line’s Singapore office, told IHS Maritime that the bauxite cargos for this contract are likely to come from West Africa.
Guinea produces 25% of the world’s bauxite reserves and is a major exporter to China.
China’s Yantai Port Group, together with three other firms in China, Singapore, and Guinea, are currently investing in Guinea’s Boke port to further develop Guinea’s bauxite trade.
This post was sourced from IHS Maritime 360: View the original article here.