Huafon Aluminium and its subsidiaries plan to procure raw materials for production from Yulin New Materials, with an expected total contract price exceeding 7.2 billion yuan
Huafon Aluminium and its subsidiary Chongqing Huafon plan to sign a raw material sales contract with Yulin New Materials, with a total contract value expected to exceed 7.2 billion yuan. The contract stipulates that from 2025 to 2029, Huafon Aluminium will purchase no less than 360,000 tons of raw materials from Yulin New Materials, with the product unit price determined based on market aluminum prices and contract terms, and specific quantities executed according to monthly orders
According to the Zhitong Finance APP, Huafon Aluminium (601702.SH) announced that the company and its subsidiary Huafon Aluminium Co., Ltd. (referred to as "Chongqing Huafon") as the buyer intend to jointly sign a raw material purchase and sale contract with Shaanxi Nonferrous Yulin New Materials Group Co., Ltd. (referred to as "Yulin New Materials" or "seller"). The contract stipulates that the buyer is expected to purchase a total of no less than 360,000 tons of raw materials from the seller between 2025 and 2029, with the product unit price determined based on the monthly market aluminum price and contract terms. The specific quantity will be issued according to the monthly procurement orders for each batch and the payment will be settled by batch. The total amount expected to be generated during the contract period exceeds 7.2 billion yuan
