Brazilian iron ore giant Companhia Vale do Rio Doce (Vale) has announced the conclusion of its blast furnace and direct reduction pellet price negotiations for 2008 with ArcelorMittal, the largest steelmaker in the world and one of Vale's largest customers in the pellet business.
Accordingly, the blast furnace and direct reduction pelet price FOB Tubarão, agreed by ArcelorMittal has increased by 86.67 percent relative to 2007.
Therefore, the new reference price per dry metric ton Fe unit for 2008 is US$2.2020 for Tubarão blast furnace pellets, and the new reference price per dry metric ton Fe unit for 2008 is US$2.4222 for direct reduction pellets.