WISCO and Century Iron Ore ink mining agreement

Thursday, 01 September 2011

On August 30, Chinese steel producer Wuhan Iron and Steel Co. (WISCO) and Canadian mining company Century Iron Ore Holdings Inc. inked a cooperation agreement to jointly develop iron ore mines in Canada.

Century Iron Ore Holdings owns three iron ore projects in Quebec, Canada. On January 13 this year, the two parties had reached a binding framework agreement on mine development.

Century Iron's three iron ore projects in Quebec will help support Wuhan's strategy of self-sufficiency when it comes to iron ore supplies, reducing its dependence on overseas suppliers. As previously reported by SteelOrbis, Wuhan plans to increase its steel production capacity to 60 million metric tons in the next four years, compared to current levels of 40 million tons.

Tags: iron ore , China , Far East , North America , investments , mining , East Asia and Pacific

Wuhan Steel to invest USD 57 million in Century Iron Mines in Canada

Monday, 21 Feb 2011
China Daily reported that Wuhan Iron & Steel Group has agreed to invest CAD 56 million in a Canadian mining company Century Iron Mines Corp to acquire a stake and jointly develop iron ore projects.
Ms Sandy CK Chim CEO of CIMC said Wuhan Steel will have a 25% stake in the company after it lists in a month.
She said that CIMC also have plans to raise between CAD 300 and CAD 500 million through an additional public float.
CIMC, formerly known as Century Iron Ore Holdings Inc has three iron ore projects in Quebec. Ms Sandy said "We have explored reserves of 1 billion tonnes of magnetite iron ore, with ore content of 25% to 26%."
The agreement came two days after Wuhan Steel signed a formal deal with Canada listed Adriana Resource Inc for a stake in the Lac Otelnuk iron ore project in Quebec. As per report, the Lac Otelunk ore project has more than 6 billion tonnes of ore reserves with 29% ore content available for exploitation.
Wuhan Steel has been on the frontlines in investing in several iron ore assets overseas in order to cut its reliance on expensive imports. In July 2010, Wuhan paid USD 240 million to acquire 19.9% stake in Canadian Ore Company called CLM.
(Sourced from China Daily)