Sault Ste. Marie, Ontario-based steel producer Essar Steel Algoma reported Wednesday a net loss of $39.6 million for the quarter ended September 30, 2010, an improvement from the net loss of $120.8 million for the comparable quarter ended September 30, 2009.
Shipments for the quarter were 617,911 net tons (nt), representing a 5.8 percent decrease from the same period in the prior year. Thus the improved results are primarily due to higher selling prices which were partially offset by a higher cost of sales.
Essar confirmed that its pricing dispute with its iron ore supplier, Cleveland Cliffs, remains unresolved such that the parties are proceeding to an arbitration hearing.