Data provided by McGregor BFA
All data is delayed
Loading...
See More

Kumba, Amsa yet to agree on iron deal

Aug 01 2012 10:30 Reuters

Related Articles

Amsa shares near 7-year lows

Amsa boosts first-quarter profit

Kumba, Amsa halt Sishen dispute talks

ICT loses in Sishen court challenge

Court grants ICT leave to appeal

Higher iron ore prices boost Kumba Heps

 

Johannesburg - Iron ore miner Kumba Iron Ore [JSE:KIO] said on Wednesday it had yet to agree with ArcelorMittal SA [JSE:ACL] on extending a pricing deal that expired this week.

Kumba, a unit of global miner Anglo American [JSE:AGL], said it would continue to supply ArcelorMittal's South African arm with iron ore on terms currently being discussed between the two, without disclosing the terms.

Kumba in 2010 suspended its agreement to supply the unit of the world's top steelmaker with iron ore at a discount. The suspension came after ArcelorMittal allowed a partial mining right it held in Kumba's Sishen mine to lapse.

Kumba now wants market prices for the ore, although ArcelorMittal insists the preferential deal still stands.

Until an arbitration hearing resolves the dispute, the companies had agreed an interim supply deal that expired on July 31, under which ArcelorMittal paid a fixed price of $50 per tonne for ore for its Saldanha plant and $70 per tonne for its inland plants.

ArcelorMittal has said it was confident the arbitration hearing would rule in its favour, although it may take until next year to resolve the dispute. The company had paid R1.1bn more for iron ore in 2011 due to the dispute.

 
arcelormittal sa  |  kumba iron ore
NEXT ON FIN24X

DRDGold appoints director

2014-04-17 15:05

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're Talking About: Small Business

Standard Bank is looking for 12 entrepreneurs to participate in a 10-part TV series. They could win a R1m investment into their dream.
 
 

Zuma: Pray for peaceful polls

President Jacob Zuma has asked members of the Universal Church of the Kingdom of God to pray for peaceful elections on 7 May.

 
 

Latest elections multimedia

Why Jack Parow wants you to vote on 7 May
The ad the SABC doesn't want to air
Elections 2014 in one cartoon
This year's election posters

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...