A nice take off agreement executed by Xstrata/Glencore ...today. Why did they due this?

Because Orbite is expected to produce Alumina and other byproducts at ONE OF THE LOWEST COSTS IN THE INDUSTRY.

Kind of like the juicy feature you see with Noront..who will be the lowest cost producer of Nickel.

I noticed in an article that this alumina from Orbite will largely be used for LED (light emitting diodes) for equipment. I noticed that Xstrata opened up their first office in Shanghai in 2012. I also noticed that applying a nickel-chromium alloy on this alumina alloy enhances performance of these LED's. I've put some more reading below about how our next smart phones may use sapphire glass instead of gorilla glass...Alumina & chrome rear their heads in this too.

It seems Xstrata is looking ahead and trying to arrange deals with folks that can produce at low cost ....

About Orbite

Orbite Aluminae Inc. is a Canadian Corporation with innovative and proprietary processes that is expected to produce alumina and other high-value by-products, such as rare earth and rare metal oxides, at one of the lowest costs in the industry

http://www.orbitealuminae.com/en/news/press-releases/orbite-announces-offtake-agreement-glencore/

Orbite Announces Offtake Agreement with Glencore

Montreal, Quebec. June 17, 2013 – Orbite Aluminae Inc. (TSX: ORT / OTCQX: EORBF) (“Orbite” or the “Corporation”) today announced an offtake agreement with Glencore International AG (“Glencore”), a subsidiary of Glencore Xstrata plc (“Glencore Xstrata”), for the purchase of smelter-grade alumina from the Corporation’s proposed smelter-grade alumina (SGA) plant in Quebec, Canada.

The Agreement provides for the purchase by Glencore of 100% of the smelter-grade alumina, from the Corporation’s first proposed SGA plant in Quebec, Canada, for an initial term of 10 years from the commencement of commercial production. The Agreement also foresees that Orbite and Glencore will undertake negotiations relating to Glencore’s potential financial participation in the ownership and operation of the Corporation’s proposed SGA plant in Quebec. The Parties have not set any timetable for the commencement or conclusion of these negotiations. All other terms of the Agreement, including pricing and renewal rights, are confidential for competitive reasons.

“We are definitely pleased to be executing our first offtake agreement with a company of Glencore’s stature and experience in the alumina industry,” said Glenn Kelly, Orbite’s Chief Operating Officer

Snehlata Shrivastav, TNNDec 4, 2012, 07.49AM IST

NAGPUR: Aluminium industry in the world is set to undergo a revolution. The industry can now hope for much cheaper and environment friendly technology. Orbite Aluminae Incorporated (OLI), a private company in Canada, has developed a new process of alumina production. Instead of using bauxite, the conventional ore for aluminium, the new process uses aluminous clay or clay rich in alumina and silica to produce extremely pure alumina that is then converted into aluminium.

It is first of its kind technology which may replace the 125-year-old 'Bayer's process' used to produce alumina. The process is a result of almost 12 years of research and has yielded good results on pilot scale. OLI has already patented the process in USA, China and a few other countries. OLI's director sales and marketing, Antoine Charbonneau, told TOI that a one tonne per day plant will start production in January 2013 at Quebec. The company has a market cap of 200 million dollars. The technology will also raise the status of Canadian industry which is already the third largest producer of aluminium in the world. This alumina will largely be used in LEDs equipment market, he said

http://www.extremetech.com/computing/151146-your-next-smartphone-might-use-sapphire-glass-instead-of-gorilla-glass

Straight-up aluminium oxide creates a transparent crystal of sapphire, but if you want to create a specific gemstone, trace minerals are added — titanium and iron create the stereotypical blue sapphire, while chromium turns it into a ruby