World’s top steel maker Arcelor Mittal is in talks with China’s Wuhan Iron and Steel Group. The two steel makers want to form a joint development of overseas iron ore. A joint exploration and investments are going on between the two sides currently.
The mining projects of the two steel makers will be out after the discussion. The reports about the joint venture were given out by the Chinese company on Monday. The total production of Iron ore of ArcelorMittal is about 51 tonnes per an um(mtpa). Arcelor Mittal has goal to raise the 51 tonnes into 100 mtpa within five years.
The Chinese steel maker Wuhan has sought to develop the iron resources overseas and reduce the high reliance. When the heavy reliance on the global supplier like Rio Tinto, Vale and BHP Billiton will be reduced. The Chinese company Wuhan wants to become a self sufficient country within a span of 3 to 5 years. Wuhan at present claims to have 3 billion tonnes of iron ore reserves around the world. Wuhan is even having a 21.52% stake with the Brazilian miner MMX from last year.
Ore tie ups between Arcelor and Chinese mill
August - 19 - 2010 - Thursday
