Posco and CSC Will Purchase a 15% Stake in Arcelormittal by US$ 1.1 Billion

According to report, South Korea’s Posco and Taiwan’s China Steel Corp (CSC) said they will purchase a 15% stake in Canadian iron ore and pellet producer owned by ArcelorMittal by US$ 1.1 billion. It is joint venture with ArcelorMittal Mines Canada as it performs the mining operations in Quebec. CSC will invest US$270 million and acquire a 3.68% of stake in the joint venture and it will purchase up to 1 million tons of iron ore pellet. It will help CSC to raise the self-sufficiency to 11.6% from current 7.5% in iron ore. But Posco declined to release the details, only confirmed the deal. ArcelorMittal Mines Canada produces 15 million tons of concentrate and 9 million tons of pellets every year. And it plans to increase the concentrate capacity to 24 million tons and double the pellet capacity in 2013.