Hyundai Steel signs 2 more coal deals for new BF

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

30 Sep 2008

Platts reported that Hyundai Steel has signed a deal to purchase 1.5 million tonnes of pulverized coal from Australian miner Macarthur Coal over the next 5 years to secure supplies for its new blast furnaces. Under the deal, Hyundai Steel will buy 300,000 tonnes per year of pulverized coal injection coal for 5 years. Earlier this week, Hyundai concluded a

separate deal with Anglocoal to buy 600,000 tonnes per year of coal for 5 years.
In August 2008, it signed a deal with BHP Billiton to buy more than 1.6 million tonnes per annum coal for 5 years and two weeks earlier, agreed to buy 1 million tonnes per annum of coal for 10 years from Rio Tinto and 500,000 tonnes per year for 5 years from Wesfarmers.
All the deals commence April 2009. The coal will be used in two blast furnaces with a combined capacity of 8 million tonnes per year of crude steel that are currently under construction in the country's southwestern coastal city of Dangjin and scheduled to open by 2011. The steel output will help feed auto affiliates Hyundai Motor and Kia Motors.
Hyundai Steel is aiming to secure about 90% of its coal needs for the expansion in the third quarter of 2008.

Source: Steel Guru