Tharisa announces joint-venture with Chinese manufacturer

Producer of low-cost PGM and chrome concentrate, Tharisa announced it had entered into a strategic cooperation agreement with the Shanxi Taigang Wanbang Furnace Charge Company, a whole owned subsidiary of Taiyuan Iron and Steel Group (TISCO), one of the world's largest steel manufacturers.

The deal would see Tharisa supply a minimum of 240,000 tonnes per year of its metallurgical grade chrome concentrate to the joint-venture from September.

TISCO produce roughly 4 megatons of stainless steel per year.

"Tharisa is pleased to have formalised its relationship with TISCO, a long-time client. The cooperation agreement further cements our position in the Chinese market and underpins our order book. It is also encouraging to note that spot chrome prices have increased above US$200/t on the back of improved stainless steel production," said Tharisa chief executive, Phoevos Pouroulis.

As of 0940 BST, shares had moved ahead 4.37% to 82.45p.