PERTH (miningweekly.com) – Major BHP has completed its first iron-ore trade with steel producer China Baowu on Canadian startup MineHub Technologies’ blockchain-based platform.
The transaction was estimated to be worth some $14-million.
MineHub connects buyers, sellers and service providers in mining and metals supply chains through shared information, on a common but decentralised digital platform. The technology helps the parties in a mineral transaction to virtually integrate their trade operations processes like contracting, logistics, specifications and financing services.
“Working with the world’s largest mining company and the world’s largest steel producer on designing the digital future of critical supply chains like iron-ore is incredibly exciting,” said MineHub CEO Arnoud Star Busmann.
“This series of transactions, each focusing on different aspects of the post-trade process, will allow MineHub to incrementally expand the platform’s functionality and scalability into the iron-ore and other mineral commodity markets, incorporating real-life user experience.”
Bussman said that MineHub was also developing and validating digital solutions in complementary settings and in collaboration with other industry partners. Innovative work is underway for instance in base metals concentrates, structured finance and emissions tracking to further prove the value that can be created through digitalisation.
“We will incorporate these learnings into the next MineHub release, planned for the fourth quarter of 2020, and which will start to provide a solution to the increasingly urgent need for industry-wide digitalisation, by boosting both safety, transparency and resilience of critical supply chains. Especially as current pandemic events and fraud cases in the commodity trading industry are causing a step-change in the adoption of digital solutions.”