Rio Tinto has entered into a fixed-term Global Framework Agreement (GFA) with FLSmidth to supply mineral processing and material handling technologies, spare parts, consumables, and maintenance, consultancy and professional services. FLSmidth said it is the first fixed equipment supplier to execute a GFA with Rio Tinto. The GFA runs from November 2019 to November 2024.
The GFA is expected to provide mutual benefit for both companies. The terms and conditions will reduce timelines for future engagement. The framework covers all levels, which will allow the companies to identify mutually beneficial joint value outcomes, maximize the value of the relationship, and deliver continuous improvement initiatives on safety, technology, production and costs.
This is strategically significant, FLSmidth explained, as it supports the company’s goal of developing closer partnerships with tier-1 miners to help them improve the productivity of their global operations and to collaborate and co-develop improved technologies and solutions for their projects.
“The Rio Tinto and FLSmidth GFA is a key partnership that we believe will bring significant, long-term benefits to both parties; it is a true win-win,” said Peter Flanagan, senior vice president, executive accounts and key commodities at FLSmidth.