The world's largest steelmaker ArcelorMittal has announced that it has signed an agreement for the acquisition of Mid Vol Coal Group based in the Central Appalachian Coal Basin, in southern West Virginia and southwestern Virginia, in the US. The financial details have not been disclosed.
During 2007 Mid Vol Coal Group produced 1.5 million mt of metallurgical coking coal. Moreover, the company has estimated recoverable saleable reserves and resources of more than 85 million mt.
Commenting on the acquisition, ArcelorMittal board member and CFO, Aditya Mittal, said, "This acquisition further increases our upstream self-sufficiency in a primary raw material during a time when metallurgical coking coal demand on a global scale remains strong. ArcelorMittal is currently the largest customer of Mid Vol and the quality of the coal produced meets that demanded by our coke making facilities. It is our intention to double the production level at Mid Vol in the short to medium term and permits have recently been granted to the operation which will facilitate this."