Indian integrated steel mill operator Steel Exchange India Limited (SEIL) and Indian government-run miner NMDC Limited have inked a pact for long-term iron ore supplies from the latter's upcoming buffer stockpiling and blending facility at the southern port town of Visakhapatnam, according to a regulatory filing by SEIL on Thursday, September 10.
Under the agreement, NMDC Limited will offer supplies of a consistent grade of iron ore fines with Fe content 61-63 percent to SIEL for a period of four years.
The arrangement provides for several delivery options, including direct conveyor supply and transportation through different logistics modes.
The development comes as SEIL expands its production capacity, including the recent commissioning of a new reheating furnace. The company views the cooperation with NMDC as part of its efforts to strengthen access to raw materials for its steel operations, the company said.
