Jiangxi Copper Corporation Limited (hereinafter referred to as “the Company”) announced that on January 19 it approved a related-party transaction involving the signing of a Framework Cooperation Agreement with China Ordnance Materials Group Co., Ltd. (“China Ordnance Materials”).
The agreement covers comprehensive purchase and sales cooperation across a wide range of metal products. On the procurement side, China Ordnance Materials or its subsidiaries will supply Jiangxi Copper or its subsidiaries with overseas cathode copper and electrolytic nickel, cathode copper within Guangdong Province, as well as blister copper. On the sales side, Jiangxi Copper or its subsidiaries will supply China Ordnance Materials or its affiliates with products including cathode copper, copper rods, aluminium ingots, electrolytic nickel, zinc ingots, tin ingots, as well as precious metals, platinum group metals and minor metals.
All transactions under the agreement will adopt clearly defined pricing mechanisms, primarily based on publicly quoted prices from the London Metal Exchange (LME) or the Shanghai Futures Exchange (SHFE), with agreed premiums, discounts, or processing fees applied accordingly.
The agreement serves as a framework arrangement and will be effective from January 1, 2026 to December 31, 2028. Specific implementation contracts will be signed separately under this framework. According to preliminary estimates, the annual transaction scale under the agreement is substantial. Procurement transactions are expected to involve overseas cathode copper purchases of approximately USD 600 million, while annual sales of cathode copper alone are projected to reach RMB 5.8 billion.
The Company stated that the cooperation with China Ordnance Materials will help broaden business channels, strengthen downstream market presence in China, and promote efficient integration of domestic and international nonferrous metal industry chain resources, thereby enhancing Jiangxi Copper’s market competitiveness and brand influence.
Source： china-mcc.com