- Centrex (CXM) becomes the first Australian company to export phosphate to Asia
- Through it’s wholly-owned subsidiary Agriflex, the company shipped a 15,000 tonne consignment of high-grade phosphate rock to a major customer in South Korea
- The export was made possible through a marketing deal struck with Samsung C&T which will see the phosphate covering markets including Korea, Japan, Indonesia and Mexico
- It comes after Centrex shipped two large consignments to New Zealand, marking what the company says is the beginning of a new export industry
- CXM shares were trading at 15 cents at 3:05 pm AEST
Centrex’s (CXM) wholly-owned subsidiary, Agriflex, has become the first Aussie company to export phosphate to Asia, after shipping high-grade phosphate rock to a major customer in South Korea.
Agriflex’s 15,000-tonne shipment was facilitated through a marketing agreement with Samsung C&T, and will be received by one of its “substantial” commercial fertiliser-producer customers.
Earlier this year, Centrex entered into a binding marketing services agreement with Samsung C&T, designating it as the exclusive agent for sales of phosphate rock from Centrex’s Ardmore phosphate rock mine in northwest Queensland.
The agreement covers the Korean, Japanese, Indonesian, Indian, Mexican, and Taiwanese markets, with 20 per cent of Ardmore’s total production allocated under the arrangement.
“China is currently the world’s largest phosphate producer, but phosphate rock supplies of Centrex’s caliber are not yet widely available in Asia,” Centrex Managing Director, Robert Mencel said.
“We are confident that this shipment will open doors for us in the Asian market due to the exceptional quality of our product.
“Our phosphate rock boasts not only high-grade characteristics but also a low Cadmium content, a toxic chemical that can accumulate in crops and pose health risks.”
Australia and New Zealand currently import approximately one million tonnes of high-grade phosphate rock annually, primarily from African sources.
Late last year, Centrex shipped two large consignments to New Zealand, marking what the company said was the beginning of a new export industry.
To date, Centrex has exported a total of 59,290 tonnes of phosphate rock to clients in Australia, New Zealand, and South Korea.
CXM shares last traded at 15 cents at 3:05 pm AEST.