Rio Tinto will supply China's Sinosteel with 70 million tonnes of iron ore over the next five years after extending the companies' joint venture in Western Australia.
Sinosteel will pay a one-off $US45 million ($A58.50 million) fee as well as additional production royalties linked to the iron ore price.
The extension is the second to their 29-year-old joint venture at the Channar Mine in the Pilbara region, which will account for 30 million tonnes of the ore.
The remainder will come from a new agreement under which Rio will supply up to 40 million tonnes by 2021.
Share
