ALGIERS, March 31 (Xinhua) -- A consortium of three Chinese companies signed a memorandum of understanding with Algerian National Iron and Steel Company on exploiting iron ore Tuesday in Algiers.

The Chinese consortium, composed of Metallurgacal Corporation of China, China International Water and Electric Corporation and Hunan Heyday Solar Corporation, will carry out a feasibility study on the exploitation of Gara Djebilet iron ore in western Algeria.

Algerian Minister of Energy and Mines Mohamed Arkab welcomed the cooperation between Algerian and Chinese enterprises at the signing ceremony on Tuesday.

He recognized the comprehensive solution proposed by the Chinese consortium and hoped that both sides would promote the progress of the project.

The iron ore of Gara Djebilet is located in Tindouf Province in western Algeria. The exploitation of this iron ore is of great significance to Algerian social and economic development, which can meet the country's demand for iron ore and provide employment opportunity.