BlueScope clarifies CVRD iron ore supply arrangements

BlueScope clarifies CVRD iron ore supply arrangements

BlueScope Steel today officially announced a clarification to the press release by the Brazilian iron ore producer Companhia Vale do Rio Doce ("CVRD") regarding the contractual arrangements between CVRD and BlueScope Steel. BlueScope Steel claims that it had entered into iron ore supply arrangements with four iron ore suppliers to provide for the company's raw material needs over the next year. The iron ore supply negotiations between CVRD and BlueScope Steel were concluded in late 2004, and no negotiations have been conducted between the two companies since that time, BlueScope adds. CVRD's press release refers to iron ore price negotiations for a total amount of 2.5 million tons of iron ore fines. In actuality, says BlueScope, the contractual arrangements between the two parties cover only a small part of this overall quantity.