Mechel inks small contract with Hyundai

MECHEL OAO has signed a five-year coking coal contract with South Korea’s Hyundai Steel through its subsidiary trading company.

Blair Price

The coal and steel producer did not reveal price details for the small 200,000 tonnes per annum contract which starts on April 1 next year.

The coal will be supplied from Mechel’s Neryungri open pit in Yakutia and shipped through its wholly owned Port Posiet.

“In the context of the current economic situation, export coking coal supplies became especially important to ensure utilisation of our mining facilities,” Mechel senior vice president Vladimir Polin said.

“I am confident that today’s signing will give additional impetus to the long term and mutually beneficial relations between our companies.”