posco mbalam, page-27

Not shaw if this has been posted yet, anyway this from bloomberg.


Posco eyes African resources

January 31, 2011
Posco, the world?s third-biggest steelmaker, is seeking to develop projects in Africa, as part of a bid to secure raw materials overseas.

Posco agreed to jointly develop an iron ore mine in Cameroon, the Pohang, Korea-based company said yesterday. The Mbalam iron ore project is expected to produce about 35 million metric tons (38 million tons) of the steelmaking ingredient a year starting in 2014, it said.

Posco and its rivals in Korea, which import almost all of its energy and mineral needs, are competing with China and India to secure supplies of raw materials. Africa has reserves of various minerals and holds about 10 percent of the world?s crude oil deposits. Posco Chief Executive Officer Chung Joon-yang visited the continent from Jan. 25, the company said.

?Many countries around the world are interested in Africa for the continent?s ample resources and a high growth potential,? Posco said in the statement.

The steelmaker and Democratic Republic of Congo also agreed to consider jointly developing a copper mine in the African nation, Posco said. In Zimbabwe, Posco will set up a mining venture with local company Anchor. It will also seek to develop a coal mine in Mozambique with Vale, the world?s second-largest mining company.

Posco will continue to buy mining assets to boost self-sufficiency in raw materials to at least 50 percent to help counter rising iron ore and coal costs. Posco shares have fallen 5.1 percent this year against a 2.8 percent rise for the Kospi.


Bloomberg