September, 22 2005
CIL in talks with BHP for buying mines to ease shortages at home
Government owned CIL, which produces 87 per cent of India's coal and had sales of $US7.2 billion last year, is in talks with BHP Billiton and rival Australian producers to buy stakes in Australian mines to ease a shortage at home. The CGM of Coal India unit Coal Videsh, Mr N Prasad, said he would meet officials from Queensland, the largest coal-exporting state, later this year. BHP Billiton sells about 7 million tonnes of coking coal a year to India and wants to increase that amount.
India, the world's third-biggest coal producer, is competing with China, the world's largest steel maker and coal consumer, for global resources. Coking-coal prices more than doubled to a record $US125 a tonne in April because of demand from China. The Steel Authority of India, the nation's biggest producer, shut some of its plants last year for maintenance during a coal shortage.
Of India's estimated 248 million tonnes of coal reserves, only about 32 million tonnes, or 13 per cent, is coking coal which is required to make steel, Mr Prasad says. There would be a deficit of 181 million tonnes of coal for the fiscal year to the end of March 2025, compared with 42 million tonnes for the year to the end of March 2007. Indian coal imports were forecast to rise to 37 million tonnes in the year ending March 2007, from 25 million tonnes for the year ended March 2005, Mr Prasad said.
"India has become the fastest-growing coking-coal import market after China," said Mr Graham Wailes, a coal analyst at AME Minerals Economics in Sydney. "The country needs to double its coking-coal imports in the next six years if it intends to meet steel production targets." India wants to increase crude-steel output by 50 per cent in the next six years, which would require an extra 16 million tonnes of coal imports.
L&T bags Rs 430 cr plant equipment export orders
Larsen & Toubro L&T has bagged international orders of Rs 430 crore for construction of plant and equipment to a host of countries including the US, UK, Japan and France. These contracts have been secured for gas development projects and construction of ammonia plants, petrochemical plants, and liquefied natural gas plants from leading EPC contractors such as Kellogg Brown & Root, Bechtel, Foster Wheeler and Mitsubishi Heavy Industries.
L&T will engineer, fabricate and supply stainless steel heat exchangers and pressure vessels for an LNG plant in Australia under a contract from Foster Wheeler, UK ; for the Air Liquide H2 Plant in France, L&T will supply a waste-heat boiler package; critical equipment for petrochemical plant - ethylene oxide reactors - will be supplied to China as well as filter vessels for downstream gassifiers; for a gas-to-liquid plant in Nigeria, L&T will supply waste heat boiler packages and auto thermal reformers; L&T has also received critical equipment orders for a petrochemical complex in Malaysia.
In an export contract to Egypt, L&T will supply critical equipment for an ammonia plant, including ammonia converter, unitized chiller and the secondary reformer. This order has been secured from US-based Kellogg Brown & Root. The company also secured a repeat order for supply of Catofin reactors and a product splitter to a petrochemical plant in Saudi Arabia. For Oman, L&T will supply Urea reactors and a waste heat boiler package.
The international orders affirmed L&Ts status as a significant global player in the fabricated process plant equipment market. L&T will continue to strengthen its engineering capabilities with a view to maintaining its competitive edge in the international market, while simultaneously enhancing its quality and manufacturing technologies, said Mr MV Kotwal, member of the board and senior vice president in charge of heavy engineering division of the company
CIL to float global tenders for developing three mines in Mahanadi
Coal India Ltd CIL has decided to float global tenders for developing three mines under Mahanadi Coalfields Ltd, which would add additional capacity of 40 million tonne. "Global tenders will be floated for developing these mines once the government approval for these projects is received. The proposal has already submitted to the government," CIL sources here told the media.
The three mines - Kulda, Kaniha and Bhubaneswari were originally planned to have a total capacity of 23.5 million tonne annually. The company now has decided to increase it to 40 mt to meet the country's coal demand. Kulda would have a 10 mt capacity while Bhubaneswari and Kaniha would produce 15 mt and 20 mt respectively.
The sources said that global mining companies like BHP and Rio Tinto besides big Indian companies would participate.
They said that although this was for the first time that CIL was going for global tender for development of mines, outsourcing was not new in the company. Overburden removal, coal extraction and transport of coal to stockyards in CIL's subsidiaries were being outsourced.
ThyssenKrupp to bid for Indian submarine contract next year
ThyssenKrupp AG is planning to bid for a contract for six submarines India's navy is planning to tender in autumn next year, Wirtschafts Woche magazine said in a report to be published tomorrow, citing no sources.
Earlier this year, ThyssenKrupp was outbid on a similar contract, worth 2.4 bln USD, by state-owned French shipyards group DCN.
BHP, Rio, CVRD have upper hand in price talks GSJBW
BHP Billiton, Rio Tinto Plc and Brazil's CVRD will have the upper hand in iron ore contract talks and could secure a substantial price rise, after recent gains in steel prices and Chinese iron ore demand, Goldman Sachs JBWere said. After a visit to China last week, GSJBW analysts upgraded their iron ore contract price forecast for the year starting April 1, 2006 to neutral, from a 10% fall previously, and said a price rise is possible.
"It is now quite clear that the miners will have the 'upper hand' in the opening rounds of the annual contract negotiations that commence next month," GSJBW analysts said in a report. "A quick settlement could result in another substantial increase."
The recent surge in steel prices and Chinese demand led investment bank UBS to predict that iron ore producers will be able to get a 10% rise in prices from Japanese steelmakers in the coming contract talks. That's a reversal of UBS's previous expectation of a 21% fall.
China's growing economy led to an increase in steel demand last year which allowed CVRD, Rio Tinto and BHP to boost contracts by 71.5%. BHP had held out for a 100% rise but was unsuccessful.
GSJBW and UBS had both earlier forecast falls in iron ore contract prices because of what appeared to be a softening steel market earlier this year. The quick turnaround in sentiment means GSJBW is reluctant to forecast price hikes, despite saying there is a good chance this will happen.
Battle for Erdemir Tupras sale may raise the bid price
The countdown continues for the privatization sale of Erdemir, on September 26, with 13 companies in fray and the prevailing view is that the $4.140 billion the Koc Shell partnership proposal made for TUPRAS, a Turkish oil refinery, has increased the value of the 49 percent share of Erdemir put on the block for sale.
But Union of Chambers Chairman Mr Rifat Hisarciklioglu does not consider it right to suggest a price ahead of the sale and said that two different privatizations cannot be considered in the same category as Erdemir manufactures steel and TUPRAS is an oil refinery. Moreover there is the condition of investment worth $2.8 billion in Erdemir.
To the question, "What will happen if the entrepreneurship that gathers together almost 50 companies cannot win the bid?" The Union of Chambers Chairman responded: "We consider ourselves to be advantageous. But if we cannot win, we will at least have contributed to the sale of Erdemir with regard to its price. It would also a massive gain for Turkey with a population of 68 million."
Evraz signs JV for a coal mine with Mitsui
Evraz Group SA, one of the leading vertically integrated steel production and mining businesses with operations mainly in Russia, announces it has signed today a joint venture agreement with Mitsui & Co., Ltd, one of the worlds largest mineral resources companies, in respect of Denisovskoye coal field, Yakutia, East Siberia.
Under the terms of the joint venture agreement, and upon completion of the transaction, Evraz will retain an ownership interest of 70% in the project while Mitsui will become a co-investor with 30%. Completion of the transaction is subject to certain terms in the joint venture agreement and is anticipated to close by the end of 2005.
The Denisovskoye coal field is now under development and it is expected that production and shipments of coking coal will begin in the second half of 2006. According to estimates, extractable reserves are 70-85 million tons of high grade hard coking coal. The project is expected to reach its full production during 2008 and annual production volume is anticipated to be in the region of 2.4 million tons of coking coal.
The joint venture project plans to export all of the coking coal produced to steel mills in Asia, especially Japan, taking advantage of favorable transport infrastructure.
Evraz's principal assets include three of the leading steel plants in Russia: Nizhny Tagil (NTMK) in the Urals region and West Siberian (Zapsib) and Novokuznetsk (NKMK) in Siberia. Evraz Group's mining businesses comprise the Kachkanarsky (KGOK), Evrazruda (acquired in March 2005) and Vysokogorsky (VGOK) iron ore mining complexes and NeryungriUgol Coal Company and an equity interest in the Raspadskaya coal mine. Evraz also owns and operates the Nakhodka commercial seaport, in the Far East of Russia, which facilitates access to Asian export markets.
Timken raises steel bar and seamless tubing prices
The Timken Corporation has announced price increases on steel bar and seamless mechanical tubing products effective with shipments made from November 1, 2005
Non-contract base prices will increase by 4 percent for all sizes and grades of carbon and alloy seamless tubing. Non-contract base prices will increase by $25 per ton for all sizes and grades of carbon and alloy steel bars.
All thermal treatment pricing extras will be increased by $30 per ton.
A natural gas surcharge will be implemented using the monthly close NYMEX Natural Gas Contract Settlement price
All other raw material surcharges will remain in effect
China may spend $8 Bln on Australian mines to ensure supplies
Chinese metals companies such as Beijing Shougang Co. are in talks to spend as much as $8 billion on Australian mines to make sure China's mills don't run out of raw materials. The planned acquisitions could increase China's total investment in Australian projects six-fold within three to five years, said Mr Henry Wang, senior investment commissioner for Greater China at government agency Invest Australia.
As competition for minerals increases, steelmakers and traders including Beijing Shougang and Sinosteel Corp. are going to the source to ensure they have enough iron ore and coal. Half of the proposed Chinese investments are in iron ore, 30 percent in coal and the rest in natural gas and other metals, said Mr Wang
Beijing Shougang will pay A$120 million for a 50 percent stake in Mt. Gibson Iron Ltd.'s iron ore project in Western Australia. In 2001, Baosteel invested $30 million in the Eastern Ranges iron ore mine in Western Australia, partnering Rio Tinto. Fortescue Metals Group has held talks with steel trader Sinosteel, which has already signed another agreement for iron ore with Perth-based MidWest Corp in June
Chinese companies are competing for Australia's resources with rivals such as South Korean steelmaker Posco, Japan's Nippon Steel Corp. and Mitsubishi Corp., which already own stakes in Australian mines.
World shipping heads for doldrums in 2006 & 2007
The global shipping boom will fizzle out next year as demand fades and extra tonnage expands the merchant fleet, according to a gloomy report by the Swiss bank UBS. The bank's global shipping analyzer said freight fees would tumble 15pc in 2006 and a further 5pc in 2007, ending the profits bonanza for shipping companies. It said oil tanker rates would remain strong.
"Not only is demand softening, but the supply order-book is shortening," said the bank, predicting that container capacity would rise by 14.5pc next year.
It said the "staggering growth" led by Chinese exports since December 2001 was now clearly over. "Total sea export growth to the US and northern Europe is now slowing across all industry, with the exception of clothing," it said. Exports of Chinese furniture, toys and shoes have reached "saturation level", while there are signs that China is "moving up the value chain" to more sophisticated products that required less ship space.
Freight rates for shipping manufactured goods have shot up 46pc since 2002 on the main Atlantic and Pacific routes but may now have peaked. The Baltic Exchange Dry Index, which measures the cost of shipping coal, grain, iron ore and other goods worldwide, soared over 500pc from the beginning of the decade to late 2004, but has since given up half the gains.
Australian resources boom to last: MCA chief
Minerals Council of Australia (MCA) CEO Mr Mitchell Hooke said by 2025 the emerging economies of Brazil, Russia, India and China would require twice as much steel, three times as much aluminum and one and a half times as much copper, nickel and oil. The commodity super cycle would continue for decades but Australia's capacity to meet the demand from emerging countries would be constrained by skills shortage and inadequate infrastructure, mining executive said.
Australia was preparing to meet the demand with $9.34 billion already committed to new mineral projects and another $22.16 billion worth of projects under consideration.
"Australia is gearing up to meet demand, investing to capitalize on comparative advantage and build competitive strength," Mr Hooke said.
"There's a lot going on in terms of gearing up." However, Australia's response to the growing demand for raw materials was hindered by a number of issues including the skills shortage, which was causing delays and cost overruns.
Another key area which needed to be improved was infrastructure, Mr Hooke said. There are already upgrades taking place at ports in Western Australia and Queensland, increasing capacity.
He said Australia was the third largest minerals sector behind the US and South Africa and still had more than 100 years supply of black coal, 80 years of bauxite, 65 years of iron ore and 40 per cent of the world's known uranium reserves
Jisco Group commissions 550,000 tonnes per year wire rod mill
Yuzhong Steel Works Ltd at Lanzhou, a division of China's Jisco Group, has commissioned a single strand wire rod mill designed, built, and installed by Morgan Construction for the Jisco Group operation in Gansu Province, which is expected to reach designed capacity within three months
Mr Fan Li, Morgan's project manager, described the mill as having two stand Vee pre finishing mills; an eight stand No Twist mill; Morgan's reducing/sizing mill; water boxes before and after the NTM; pinch rolls; a high-speed laying head, and a Stelmor conveyor with reform tub and coil transfer car. "In addition," he said, "the mill is equipped with the Morgan Enhanced Temperature Control System for the enhancement of the mill's processing."
The new mill will produce coils weighing 2,060 to 2,200 kg, at an annual rate of 550,000 metric tons. It is expected to reach its designed capacity within the first three months of operation.
Coal mine blast kills nine, injures five in Jiangxi
Nine miners were killed and five others injured in a coal mine gas blast on Monday in Fengcheng, a city in east China's Jiangxi Province, according to local government Wednesday.
The accident occurred at about 8:00 p.m. Monday at Changfeng coal mine in Luoshi town when 14 people were working underground and five of them survived. The bodies of the nine miners killed in the accident were found on Tuesday.
The coal mine which belongs to the Jiangxi Provincial Coal Group has been ordered to suspend production. Further investigation is underway.
Gerdau plans US$354mn investment in Rio Grande do Sul
Brazilian long steel producer Gerdau is planning a US$354mn eight year investment in two plants in southern Brazil's Rio Grande do Sul state, the company announced. The amount will go to help modernize the Gerdau As Especiais Piratini and Gerdau Riograndense units.
Gerdau also unveiled the second expansion of its As Especiais Piratini plant, whose annual capacity upgrade resulted in 500,000t of finished product capacity. The local automobile industry absorbs 80% of total unit production.
Africa's H1 domestic steel sales down 6.9 pct
South Africa's domestic carbon steel sales sunk by 6.9% in the first half of this year against the same period last year as demand for steel by manufacturers declined after a relatively strong rand currency hit exports and the manufacturing sector faced stiff competition from imports made more affordable by the rand, the South African Iron and Steel Institute (SAISI) said in its September quarterly report.
In the half-year, imports of primary carbon and alloy steel products increased by 2.1 percent, while exports of carbon steel products dropped by 1.5 percent.
Steel consumers have been using previously held stock and not purchasing new material, analysts have said.
Mittal Steel receives final approval for Valin Steel
Mittal Steel, the world's biggest steel maker, received final approval from the Commerce Ministry to buy 36.67 percent of China's Hunan Valin Steel Tube & Wire Co. for 2.56 billion Yuan ($316 million) to become Hunan Valin's second-biggest shareholder
Mittal Steel has bought 647 million non tradable shares for 3.96 Yuan apiece from Hunan Valin Iron & Steel Group, parent of Hunan Valin Steel Tube & Wire
EPA, DOJ and state of Ohio reach agreement with US Steel
US Environmental Protection Agency, US Department of Justice and the state of Ohio have reached an agreement with United States Steel Corp on alleged clean-air and clean-water violations by the former USS/KOBE Steel Co. at the steel plant at Ohio, that is currently owned and operated by U.S. Steel. As successor to certain liabilities of USS/KOBE, US Steel will spend $294,000 on an environmental project and pay a $100,025 penalty, half of which will go to the state of Ohio.
The agreement resolves a complaint filed at the same time that USS/KOBE failed to comply with limits on particulate like dust, ash, smoke, emissions in the state's plan to implement the Clean Air Act. It also resolves allegations that USS/KOBE discharged pollutants in violation of limits in its effluent discharge permit issued by the Ohio Environmental Protection Agency.
For its environmental project, US Steel will remove and dispose of electrical transformers containing polychlorinated biphenyls, in addition to spending $294,000 to remove the transformers, the company will spend additional money to buy and install replacement transformers.
China shuts down manganese plants over health concerns
The Chinese government recently forced numerous manganese production facilities to shut down because of widespread pollution. A major pollution problem is the selenium used by Chinese manganese producers to reduce costs, which in addition to threatening the health of workers and their families, poisons local rivers and streams, rendering the water unfit for drinking, agricultural or other uses, according to other reports out of China in recent months.
Investigation of pollution at the plants will continue through the end of this year and about two thirds of the smelters in one of China's largest manganese production bases in Xiangxi (Hunan) and Xiushan (Chongqing) have been shut down as per industry sources
China is the world's largest producer and exporter of manganese flake, used in the production of aluminum and other metals. According to industry sources, all but four of the approximately 100 Chinese manganese metal manufacturers use selenium, resulting in contamination of manganese metal with significant levels of selenium.
Mine blast kills 2 in Siberian Coal Mine
An explosion tore through a Siberian coal mine Wednesday, killing two miners, the Emergency Situations Ministry said.
Three miners who were in the immediate vicinity of the blast, in a storeroom of the Severnaya mine in the republic of Khakasia, managed to escape, but two of their colleagues were killed, said ministry spokesman Viktor Beltsov.
Thirty nine other miners were evacuated safely from the shaft
Polish coal coke group JSW formation stalled
Due to the change in the government, the outgoing Governments plans to form a coal coke group around Jastrzebska Spolka Weglowa JSW in August seem to have failed as per Mr Stanislaw Speczki, deputy Minister of Treasury. He said At the end of this week, evaluations of coke plants will be ready. With their shares we want to capitalize JSW
The evaluation of Walbrzych coke plant (ZKW) and Zabrze coke plant (KKZ) was ready in March but due to delays in the ministry, the procedures had to be repeated. The group is to be built around JSW, which would receive 73 percent of both coke plants. JSW has already 88 percent stake in Koksownia Przyjazn coke plant. The new group would produce 4.1m tonnes of coke and have 41 percent of the Polish market.
Opposition parties which are to build the next government may have other plans in this regard. Some analysts expect there will be many potential buyers of its shares among foreign steel companies, including Arcelor, Voest Alpine, Mittal Steel, and ThyssenKrupp.
Kazakh Boogatyr reduces coal production as export go down
Mr Dennis Price, DG of Bogatyr Access Komir LLC has informed that the companys production will be somewhat lower than the last year from a level of 35.8 million tons in 2004 to around 35 million tons.
In January-June, 2005, Bogatyr Access Komir LLC reduced its coal export by 3.3% to 17 million 96 thousand tons. In the 1H 2005 the company exported 8 million 29 thousand tons of coal to Russia, which is 14.6% lower than in the 1H 2004.
DG said that exports to Russia, which accounts for almost 50% of companies production is currently consuming less coal, because it uses more natural gas. He added that it is a temporary situation and that in the nearest 8-10 months our export to Russia will be growing
According to D. Price, in the next 5 years the company is going to raise its coal production to 45 million tons.
Corus develops chromium free coating
Corus, the international steel company, has developed a hexavalent chromium free adhesive coated metal, Envirobond, for use in a range of automotive applications. The company believes that Envirobond will help car makers remove the presence of harmful chromium and importantly meet the requirements of the End of Life Vehicle ELV directive.
Claimed to be an industry first for ferrous and non-ferrous substrates, Envirobond is the result of several years' research and development work and investments of over 150,000 in new machinery and production processes by Corus Firsteel Coated Strip, specialist manufacturing centre for pre-finished metals, based in Walsall, West Midlands.
Hexavalent chromium is commonly used in the production of adhesive-coated metals and has long been recognised as a dangerous carcinogen.
Corus Firsteel believes that as car makers work towards meeting the ELV directive, which includes the removal of the harmful substance as well as lead, mercury and cadmium, Envirobond will offer an alternative to manufacturers of components where pre-applied re-activatable adhesives are required, such as weather strips for the linings of doors, sunroofs, bonnets, boots, body side mouldings, brake shims and interior trim.
Sandvik receives major order from oil & gas segment
Sandvik Materials Technology has received a major order of value more than SEK 1 billion, for supply of seamless and production tubes, over next three years for oil and gas extraction in the Middle East.
The tubes will be supplied with TenarisBlue(R) premium connections under the strategic alliance that Sandvik Materials Technology has developed with Tenaris, the leading global supplier of seamless steel pipe products to the oil and gas industry.
"This order confirms Sandvik's leading position as a producer of seamless tubes in advanced stainless and special alloy materials for the most demanding applications within the oil and gas industry," says Mr Peter Gossas, President of Sandvik Materials Technology.
Sandvik is a global industrial group with advanced products and world-leading positions in selected areas -- tools for metal cutting, machinery and tools for rock excavation, stainless materials, special alloys, metallic and ceramic resistance materials as well as process systems and sorting systems. Sandvik Materials Technology is a business area within the Sandvik Group and a world-leading manufacturer of high value-added products in advanced stainless materials, special alloys, metallic and ceramic resistance materials, as well as process plants and sorting systems.
Coal industry seeks an end to export tax
If coal companies convince the state Supreme Court that severance taxes on exported coal are illegal, West Virginia would have to refund those companies between $400 million and $500 million for taxes paid since 1997, plus interest. Lawyers for the coal companies tried to do just that Tuesday at a special session of the Supreme Court held at Marshall University.
In the case, called U.S. Steel Mining Co. et al. v. Helton, coal companies argue that the states tax on exported coal is illegal, because the U.S. Constitutions import-export clause prohibits state governments from imposing any imposts or duties on imports or exports. When coal is loaded into the railroad cars, it is already in the stream of export, said Ned Rose, a lawyer for the coal companies. At that point, he said, the state cannot intrude to impose any taxes on the coal.
Coking plant in Northwest Ohio
Oregon's mayor says Northwest Ohio's been given the go-ahead by the EPA to build a new coking plant. The 600-million dollar project's been 4 years in the works.
One of the main concerns of residents is how much mercury pollution the plant would spew out. The final EPA permit allows a maximum of 56 pounds of mercury emissions per year. But it also requires unprecedented, state-of-the-art mercury controls, a key component, according to Oregon's mayor.
Coke may be "drumming up" tax revenue for Toledo and Oregon as early as 2007. But it's not a soft drink. It's a byproduct of coal used in steel production. Today, the Ohio environmental protection agency approved a permit for the proposed coking plant. It would be located along Millard and Tiffin Street and is actually split by the Toledo-Oregon border line.
OneSteels Project Magnet on schedule
OneSteel communications manager Anya Hart said that Project Magnet was going well and people would certainly be able to see its progress now.
The first 150m run of pipe, clear and grade to Norrie Avenue has been laid and another crew is already working 41km from the starting point. The pipe laying is 17km from the starting point and the trenching is 15km from the starting point. Earthworks activities are set to begin in two weeks time. The site at the filter station at the Pellet Plant has been handed over to Theiss as has the export shed, with existing structures at both sires being removed. The prototype wagon for transporting export hematite has been tested and approved following some minor modifications. Two self-unloading barges and the floating off-shore transfer barge have been ordered and are expected to be launched in December of 2005.
Project Magnet involves using the magnetite ore in a concentrated form to feed the Whyalla Steelworks rather than the hematite ore currently used and extends the life of Whyalla Steelworks from the current constraint of 2020
imposed by the hematite ore reserves to at least 2027, reduce the cost of steelmaking at Whyalla Steelworks by as much as five percent
Steel pricing is improving, Stelco's court-appointed monitor says
Steel prices have improved in the last month, the court-appointed monitor for Stelco Inc. said; one day after the Hamilton-based steelmaker filed its long-anticipated restructuring plan. Demand for the metal has now stabilized, court-monitor Mr Alex Morrison of Ernst & Young wrote in a report filed on Wednesday with the court that's overseeing Stelco's bankruptcy protection.
Customers are using up the large stocks of steel that they've been hoarding since last year when steel prices were spiraling upwards. The increased demand has boosted the prices of hot and cold rolled steel since the monitor's report of Aug. 12, Morrison said. However, he also noted that natural gas prices have increased dramatically, having a substantial impact on Stelco's costs
The current market conditions come as Stelco seeks to finally emerge from its 20-month bankruptcy protection process. On Tuesday, the steelmaker filed its restructuring plan bolstered by a $100-million loan from the Ontario government, which will see its shares wiped out and new stock issued to pay back creditors.
The company will appear in the Ontario Superior Court on Thursday to seek an extension of its protection order to Dec. 2. While the current order expires Friday, the company hopes to complete its restructuring by Dec. 31. Stelco will also report whether or not it successfully negotiated new collective agreements with two United Steelworker locals. Those contracts are prerequisites to its restructuring plan.
Vietnam Steel Association calls for preferential loans
The Viet Nam Steel Association has proposed that the Government support preferential loan policies for enterprises investing in the steel industry.
VSA has reported that nearly 220 iron mines with a total of 1.2 billion tonnes reserves have been discovered in the country, 761 million of which are being explored and exploited. There are 13 mines that have been found to have volume of more than 1 million tonnes each, six of which have been investigated and studied enough to establish feasibility projects. There are many additional projects to exploit and process at these mines but the lack of capital prevents this and Vietnam Government should support investments
Currently, Vietnam has one steel making facility and the bulk of the mined iron ends up being exported illegal and VSA has proposed to attract investment for increasing steel making capacity, by preferential loans
Management board reshuffle at Hoesch Hohenlimburg
Company has announced that Dr. Susanne Berendes will assume responsibility for the Technology and Controlling function on the Management Board of Hoesch Hohenlimburg GmbH from 1st October. She will become Chair of the Management Board effective January 1, 2006 after the departure of Dr. Ulrich Roeske, who is moving to the Management Board of Rasselstein GmbH, Andernach. Dr. Berendes will also continue in her position as Head of Corporate Planning/Order Systems at ThyssenKrupp Stahl AG in Duisburg.
Mr Michael Stausberg will also join the Management Board at October 1 as Chief Sales Officer. He has been Vice President Sales for medium-wide strip in Hohenlimburg for many years.
