Japan’s domestic steel product orders up slightly in January over December

Friday, 11 March 2011 12:03:52 (GMT+2)

According to the data released by the Japan Iron and Steel Association, steel product orders, including specialty steels, booked by domestic steel consuming sectors in Japan in January this year amounted to 8.06 million metric tons, increasing slightly by 0.49 percent compared to December 2010 and up 8.7 percent year on year.

In January this year, ordinary steel product orders in Japan booked by the domestic construction sector decreased by five percent month on month to 587,559 metric tons - up 8.99 percent year on year, while steel product orders booked by the Japanese automotive sector, including specialty steel, reached 1.13 million metric tons, rising by 4.93 percent as compared to December last year and down 5.72 percent year on year. Japan's shipbuilding industry booked 427,559 metric tons of ordinary steel products in January, declining by 8.77 percent month on month and up 1.4 percent as compared to the same month of 2010.

Japan-Korea partnership to buy 15 percent stake in Brazilian niobium company

Friday, 04 March 2011

A Japanese investor group consisting of JFE Steel Corporation, Nippon Steel Corporation, Sojitz Corporation and Japan Oil, Gas and Metals National Corporation and a Korean investor group consisting of major Korean steel producer POSCO and South Korea's National Pension Service have entered into an agreement with the controlling shareholders of the Brazilian niobium company Companhia Brasileira de Metalurgia e Mineração (CBMM) under which the Japan-Korea partnership will acquire a 15 percent stake in CBMM.

Niobium is a critical alloying additive in the production of high-grade steel products. As the most comprehensive supplier of niobium products in the world, CBMM is in a position to secure a continuous supply system of the metal as the need for high-grade steel products grows.

The four Japanese companies will acquire a 10 percent stake and the two Korean companies will buy a five percent stake in CBMM. The amount of the investment by the Japan consortium and the Korea consortium will be $1.3 billion and $650 million respectively, and each of the six consortium partners will indirectly hold a 2.5 percent stake in CBMM.

In addition to the acquisition of CBMM shares, JFE, Nippon Steel, POSCO and Sojitz have entered into a long-term niobium supply agreement with CBMM, assuring that the stable relationship these companies have long had with CBMM continues. (sourced:steelorbis)

Nippon Steel extends interest in Integra Coal Joint Venture in Australia

Friday, 04 March 2011

Japan's largest steelmaker Nippon Steel Corporation has announced that it has concluded a sales agreement with Toyota Tsusho concerning the purchase of 2.35 percent interests owned by Toyota Tsusho via its Australian subsidiary in the Integra Coal Joint Venture in the province of New South Wales, Australia.

Nippon Steel, already holding an interest of 3.6 percent in this JV, with this additional purchase will own an interest of 5.95 percent.

"This additional purchase of interests in this JV will add strength to Nippon Steel's capabilities and endeavors to ensure stable procurement of semi-soft coking coal for the future," reads Nippon Steel's statement.

Integra Coal Joint Venture, heretofore operated by the respective Australian subsidiaries of Vale, a global resources company, POSCO, a Korean steel company, JFE/JFE Shoji Trade, Toyota Tsusho, and Nippon Steel, produces about 3.3 million mt a year of semi-soft coking coal and steaming coal.(sourced:Thomson Reuters)

MOC: Chinese steel prices down 0.6 percent week on week

Friday, Mar04, 2011

According to the report published on March 2 by China's Ministry of Commerce (MOC), due to weak demand from downstream buyers finished steel prices dropped slightly on week-on-week basis in the past week. In the coming period, as supplies increase, finished steel product inventories will also continue to increase. Thus, the MOC foresees that finished steel product prices in China will drop slightly in the short-term future.

According to the data from the MOC, during the past week domestic finished steel prices in China dropped in the past week by an average of 0.6 percent week on week. Prices of 3 mm common carbon sheet, 10 mm common carbon medium plate and 6.5 mm high speed wire rod dropped by 1.5 percent, 1.2 percent and 1 percent respectively on week-on-week basis.

Meanwhile, data from the China Iron and Steel Association (CISA) have revealed that as of February 20 the finished steel inventories of the 77 medium-sized and large Chinese steelmakers which are members of the CISA had increased to 9.46 million mt, compared to 7.57 million mt at the end of January. In addition, the Indian government has increased the export duty on iron ore fines and lump ore to 20 percent, with the CISA calculating that this adjustment will increase the cost to Chinese steelmakers per each ton of steel by $25, and this could push Chinese finished steel prices upward and also reduce the profit margins of Chinese steelmakers

WISCO inks cooperation deal with ADI on Lac Otelnuk iron ore project

Wednesday, 16 February 2011 13:34:25

Major Chinese steelmaker Wuhan Iron and Steel Group Corp. (WISCO) has announced that on February 15 it signed a cooperation agreement with Canadian iron ore company Adriana Resources Inc. (ADI) for the development, construction and operation of the Lac Otelnuk iron ore project in Quebec, Canada. In January this year, WISCO and ADI signed a binding framework agreement according to which WISCO will hold ADI's interests in the Lac Otelnuk and December Lake iron ore properties in Northern Quebec.

ADI also has iron ore resources in Brazil and Canada. The Lac Otelnuk project has indicated iron ore reserves of 4.29 billion mt and inferred reserves of 1.97 billion mt (grading at about 29 percent Fe), according to ADI's website.

Tags: iron ore , raw mat , China , Canada , Far East , East Asia and Pacific , North America , steelmaking , mining , WISCO , Pellets , Fine ore

China to import up to 20 million mt per year of Russian coal

Monday, 14 February 2011

Russian Energy Minister Sergei Shmatko has stated that China has agreed to raise the maximum limit for the volume of coal it imports from Russia to 20 million mt per year.

Minister Shmatko said that Russia and China will soon sign the relevant agreement regarding cooperation in the coal sector.

In 2010, Russia exported more than 10 million mt of coal to China, principally through its Far Eastern ports.
(sourced:steelorbis)

Tags: coking coal , raw mat , China , Russia , CIS , East Asia and Pacific , Far East , imp/exp statistics , Coking coal