[1] This appeal turns on a very short and narrow compass, namely, whether the plaintiff (the appellant herein) has the burden to prove its loss and as a corollary to that, to mitigate its losses where the parties have stipulated liquidated damages in the event of breach in the agreement.

[2] For convenience, in this judgment, the parties will be referred to as they were in the High Court.

Brief Factual Background

[3] The relevant factual background giving rise to this appeal may be briefly stated as follows:-

(a) The plaintiff is a supplier of iron ore. The defendant is a company which manufactures cement and uses iron ore in its manufacturing process.

(b) Vide an agreement dated 1 April 2004 between the plaintiff and the defendant (the said agreement), the plaintiff had agreed to supply an approximate total of 60,000 metric tonnes of iron ore to the defendant from 1 January 2004 to 31 December 2004 at a price of RM44.50 per metric tonnes and that the defendant shall place a monthly requirement of not less than 4,000 metric tonnes.

(c) The defendant had in breach o