Indian steel producers look for coal mines abroad

Indian steel producers look for coal mines abroad

Indian steel producers reportedly search for coal mines abroad to acquire due to shortage of subject raw material in domestic market. Moreover, certain producers, having long-term coal agreements, plan to hike their capacities. For instance, Jindal and Ispat have long-term deals, Steel Authority of India Ltd (SAIL) and Adani Exports are on the verge of making coal deals. SteelOrbis previously reported that, Jindal, Ispat ,Essar, SAIL and Tata Iron and Steel Corp (TISCO) plan to expand their capacities. Certain producers have their own mines however the main problem in India is scarcity of quality coal. Ispat Industries has long-term agreement with Bosnian coke company Global Ispat Koksana Industrija Lukavac to buy 240'000 tons of metcoke annually. Adani Exports is currently in negotiations with an Indonesian coal firm to acquire a mine. SAIL has also plan of acquiring coal mines in Australia and New Zealand with the purpose of securing a stable source of coke.