Ahmsa and Posco Consider Joint Venture

Altos Hornos de México (Ahmsa) and Korean steelmaker Pohang Iron and Steel (Posco) have signed a letter of intent to jointly evaluate mining and iron and steel projects, including a potential mining joint venture between the companies to supply iron ore to Posco. Posco will support an investigation into the possibility of Ahmsa developing a facility to supply the Mexican market with automotive standard quality steel, not currently produced in the country. Pursuant to the letter of intent, by mid-year 2012, both parties will determine the elements required to establish a joint ven-ture related to mining operations and will review and analyze a possible collaboration related to production of rolled steel.

Ahmsa is the major integrated iron and steel company in Mexico. It has two pro-duction facilities in Monclova, Coahuila, and it operates its own iron ore and coal mines. Posco is the world’s third-largest steel producer. It produces cold and hot rolled steel, including a wide variety of steel for automotive use.

As featured in Womp 2012 Vol 03 - www.womp-int.com