Mechel Ships Coking to China

Mechel OAO, one of the leading Russian mining and metals companies, recently signed contracts to deliver coking and steam coal supplies to Chinese, Japanese and South Korean companies for 2009. Having an established relationship with Japanese and South Korean customers, in 2009 the company also entered the Chinese coal market having signed a number of new large contracts with local customers.

The company has already shipped coking coal from its Yakutugol mine and steam coal of various grades to China.

“China is a very promising market for us. Its steel industry continues to develop fast resulting in stable high demand for our commodities: iron ore, coking coal and ferroalloys,” said Vladimir Polin, senior vice president, Mechel.

The total amount of coal Mechel plans to supply these eastern Asian customers during the 2009 fiscal year amounts to 2 million metric tons (mt) of coking coal concentrate produced at Yakutugol and 2.3 million metric tons (mt) of steam coal of various grades produced at Yakutugol and Southern Kuzbass. Mechel also sells iron ore concentrate produced at its Korshunov facility to China.

As featured in Womp 2009 Vol 06 - www.womp-int.com