Kumba to amend ArcelorMittal supply agreement

6th November 2015

By: Reuters

  

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JOHANNESBURG – South Africa's Kumba Iron Ore said on Friday it will amend its long-term pricing mechanism with ArcelorMittal South Africa and the new agreement will be based on export parity prices.

The company said ArcelorMittal will be given a discount and the price will be calculated based on the international index.

"The current market environment presents significant challenges for the mining and steel industries. This pricing amendment is commercially acceptable and sustainable for both parties," said Kumba Iron Ore CEO Norman Mbazima.

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Edited by Reuters

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