The company signed its first take-take-off contract for Polyhalit-take-or-Pay: 1 mtpa for 10 years with Yunnan TCT Yong-Zhe Company Limited (Yunnan TCT). On October 26, 2017, Sirius Minerals announced the signing of a seven-year count or toll contract for the sale of POLY4 to Wilmar Group, a leading group of agricultural companies, for use and resale exclusively in Southeast Asia, with quantities reaching up to 750,000 tonnes per year. The agreement can be extended for another three years and extended by Wilmar to 1 million tpa. The supply agreement is a seven-year contract from the first production of a volume of POLY4, which increases to 350,000 tonnes per year in the fourth year, and provides for exclusive marketing rights to Nigeria. The agreement has a pricing mechanism linked to a relevant product repository that is compatible with the company`s existing portfolio of agreements. As a follow-up to the agreement, the company`s revenue increased from 4.4 Mtpa to 4.7 Mtpa. “We reaffirm our view that the short-term equity thesis will be determined by SXX`s ability to secure the next tranche of financing and to seek additional purchase contracts (MTS drive 2-3, Port, etc.) and takeover agreements as such,” says a brief research note. Last year, the company signed a seven-year acquisition agreement with a subsidiary of the Wilmar Group in Indonesia for 750,000tpa Polyhalit. Sirius Minerals Plc (“Sirius” or “the company”) announces the signing of an counting or toll contract (“the agreement”) for the supply of POLY4 to Intercontinental Trade DMCC Dubai (“ITL Trading”). 7-year delivery contract for POLY4 with ITL Trading, one of the largest fertilizer suppliers for Nigeria`s Sirius said that the agreement with its existing portfolio of agreements, with business peaks reduced revenue volumes from 4.4Mtpa to 4.7Mtpa.
Under the agreement, the major fertilizer supplier for Nigeria and West Africa will have exclusive marketing rights for POLY4 products by the end of 2021 from the first production of the forge mine in Nigeria, with an increase of 350,000 tonnes per year for the fourth year. Paul Smith, an analyst at asset management and brokerage firm WH Ireland, offers his views on Sirius Minerals (LON:SXX), the AIM list, which today renewed a major acquisition agreement. Polyhalite admission or amortization contract with the American company Fortune 500 agribbusiness for 500ktpa for five years, with an additional option for 500kt. But the source said that ICL had built in a fairly large contingency on the construction side, and had signed an acquisition agreement for about 90% of the future polyhalite production.