CUEX Metal AG and Caravelle International Group Sign Innovative Manganese Ore Purchase Agreement to Advance Wood Drying Business
- Caravelle International Group (Nasdaq:CACO) has secured a stable supply of high-quality manganese ore through the agreement with CUEX Metal AG.
- The partnership involves the supply of 4.5 million tons of manganese ore over three years, with strict quality standards and transparent pricing based on international market rates.
- The innovative business model of combining ore transportation and wood drying on the same carrier is expected to enhance efficiency, reduce costs, and create new market opportunities for Caravelle.
- Caravelle anticipates annual revenues of $400-500 million from the partnership with CUEX, contributing to a total revenue projection of $1.2 billion to $1.5 billion over the partnership term.
- The collaboration between CUEX Metal AG and Caravelle International Group marks a significant step in the global manganese ore supply chain, promising mutual benefits and future growth opportunities for both companies.
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This partnership not only ensures CUEX's stability in the global manganese ore supply chain, but also marks a substantial step forward in the cooperation between the two companies in the wood drying business. CUEX has built an outstanding reputation in the metals market for its insistence on quality and pursuit of innovation, and with a wide range of services that include not only the supply of key raw materials for steel manufacturing, but also cover a wide range of segments such as casting and smelting, CUEX is committed to providing comprehensive metals solutions to its customers around the world.
Under the agreement, Caravelle will supply a total of 4.5 million tons of high-quality manganese ore to CUEX through its subsidiary, Singapore Garden Technology Pte Ltd ("SGT"), with supply schedules of 1.0 million tons in 2024, 1.5 million tons in 2025 and 2.0 million tons in 2026. The manganese ore must be of stringent quality, with manganese content (Mn content) at or above
CUEX will pay the full amount through an irrevocable letter of credit, demonstrating its financial strength and trust in its partners. The delivery terms follow the CnF (Cost plus Freight) clause of Incoterms 2024, which guarantees the smooth delivery of the goods to the port designated by CUEX, SGT will be responsible for the transportation of the goods to the designated port and bear all the costs and risks in the process of transportation, and CUEX will need to take out full marine insurance for the goods to ensure the safety of the transportation process. CUEX is required to insure the goods with sufficient marine insurance to protect the safety of the goods during transportation.
The highlight of this cooperation is an innovative business model that the two companies have explored together: the transportation of manganese ore and the drying of wood on the same carrier. This model not only improves transportation efficiency and output and reduces logistics costs, but also opens up new market opportunities for Caravelle's wood drying business. Through this innovative synergistic approach, the two companies are optimizing the allocation of resources, promoting environmental sustainability and generating additional economic benefits, Caravelle expects to earn close to
CUEX officially expressed the cooperation with Caravelle not only provides a stable supply of manganese ore, but also opens up new possibilities to explore our business in the field of wood drying. They look forward to creating more value for our customers through this innovative partnership model." Caravelle's Chairman of the Board of Directors and CEO, Dr. Guohua Zhang, also expressed a positive attitude towards the partnership, "We are pleased to establish a long-term relationship with CUEX and contribute to the development of the global steel industry through our professional services."
The partnership between CUEX Metal AG and Caravelle International Group is an important step in the strategic deployment of the two companies in the global manganese ore supply chain, and heralds the beginning of a mutually beneficial business journey for both companies. As the cooperation continues, it is expected to bring more innovation and development opportunities to the global steel and wood processing industries.
About Caravelle International Group
Caravelle is a global ocean technology company. Its business comprises of two sectors: the international shipping, operated by the Topsheen Companies (Topsheen Shipping Group Corporation (
Forward Looking Statements
This announcement contains "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are made under the "safe harbor" provisions of the
Contact
Caravelle International Group
60 Paya Lebar Road
#05-47 Paya Lebar Square
Email: info@caravelleglobal.com.cn
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SOURCE Caravelle International Group
FAQ
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