August 16,
China’s Wuhan Iron & Steel Group is in talks with ArcelorMittal, the world’s top steelmaker, on the joint development of overseas Iron ore, according to a statement released today.
The two sides are currently discussing joint exploration and investment in two overseas mining projects, said the Chinese company.
ArcelorMittal has a total Iron ore production capacity of 51 million tonnes per year, and aims to raise that to 100 million tonnes over next five years.
Wuhan Iron & Steel Group wants to develop overseas Iron ore resources in order to reduce its heavy reliance on the three major global suppliers – Rio Tinto, Vale and BHP Billiton.
Wuhan also bought a 21.52 percent stake in Brazilian miner MMX late last year in a deal that also included a 20-year Iron ore supply contract.
Leave a Reply