MMTC to supply iron ore to Japan Mills, Posco for 3 more years

NEW DELHI: The government on Thursday gave the nod for state-owned MMTC to extend its longterm agreements for supply of iron ore to Japanese Steel Mills (JSMs), South Korean steel giant Posco and Chinese steel mills for three years till 2014.

The proposal to permit MMTC to renew the long-term agreements for supply of iron ore was approved by the Union Cabinet, Information and Broadcasting Minister Ambika Soni said.

The long-term agreements (LTAs) for supply of iron ore for five years (2006-11 ) expired on March 31, 2011, and the Japanese steel mills had formally requested MMTC to renew the agreements with effect from April 1, 2011. Under the agreement, MMTC is supplying iron ore of grade (plus) 64 Fe, or high grade content, to Japanese, Korean and Chinese steel mills.