AFP reported that Taiwan's largest steel producer China Steel Corporation plans to spend about USD 2.5 billion over the next four years on stakes in overseas coal and iron ore mines.

The Economic Daily News, citing unnamed sources, reported that CSC has been negotiating with five foreign companies for the investment project, which especially targets Australia.

A company official confirmed that China Steel will increase its investment abroad to boost the supply from self-owned mines from 2% to 30%, but said the financial details are yet to be finalized.

The steelmaker, which has investments in Australia, Brazil and South Korea, has been exploring overseas opportunities in a bid to boost supply amid growing demand.

In 2009, China Steel paid USD95 million for a stake in Brazil's Namisa SA, its first investment in a foreign iron ore miner.

China Steel imports about 20 million metric tonnes of iron ore every year mainly from Australia and Brazil.

(Sourced from AFP)