FLSmidth and Rio Tinto have executed a five-year fixed-term Global Framework Agreement (GFA), which enables the parties to engage on the supply of fixed equipment, including mineral processing and material handling technologies, spare parts, consumables, and maintenance, consultancy, and professional services.
FLSmidth is the first fixed equipment supplier to execute a GFA with Rio Tinto.
The GFA provides mutual benefit to the parties through:
- Agreed terms and conditions providing timelines for future engagement.
- A framework to govern the relationship and contract at all levels, which facilitates the identification of mutually beneficial joint value outcomes, maximises the value of the relationship, and delivers continuous improvement initiatives on safety, technology, production, and costs.
The GFA runs from November 2019 to November 2024, supporting Rio Tinto and FLSmidth’s respective company objectives of developing closer partnerships with key businesses.
This is strategically significant for FLSmidth, 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 win-win,” said Peter Flanagan, Senior Vice President, Executive Accounts and Key Commodities at FLSmidth.
Read the article online at: https://www.worldcement.com/europe-cis/25102019/flsmidth-and-rio-tinto-execute-global-framework-agreement/