The Nikkei without citing sources reported that Japanese trading house Sumitomo Corp is planning to invest an additional JPY 30 billion (USD 278.3 million) in South African mining company Assmang Ltd to bolster its ability to supply steel raw materials to Japan and other Asian nations.

Sumitomo said that the investment will be made via Oresteel Investment Ltd, which owns Assmang.

In January, Sumitomo acquired a 20% stake in Oresteel and has since raised it to 29%. The report said that by raising it again, to 49% this month, its effective interest in Assmang will rise from 8% to 13%.

The report added that the trading house's total investment in Oresteel will total JPY 45 billion one of the largest outlays in South Africa by a Japanese firm.

Assmang has several mines, with annual output of 6 million tonnes of iron ore, 3 million tonnes of manganese and 1 million tonnes of chrome.