Trafigura Group has secured a US$400 million iron ore prepayment deal with Mineral Resources. As the impact of market instability, Mineral Resources is focused on preserving cash. The upfront payment is repayable through the delivery of iron ore between fiscal years 2026 and 2028.

Mineral Resources received the prepayment in July, but could not disclose the terms and the buyer due to confidentiality restrictions. However, people familiar with the matter said that the buyer was Trafigura, one of the world's largest commodity traders.

For Trafigura, the deal is its latest step in a push into iron ore trading, which is expected to grow further in 2024.