ISG signs long-term coke agreements

ISG signs long-term coke agreements

Ohio-based steel producer International Steel Group (ISG) has recently announced that it signed long-term agreements to supply 2 million tons of coke. The first agreement has been signed with Sun Coke Company for supply of 1.1 million tons of coke each year for 15 years. According to the deal, Sun Coke Company will double the capacity of its Haverhill, Ohio facility, which is currently 550'000 tons. The facility will begin supplying coke to ISG as of first quarter of 2005 and as of first quarter of 2006 the amount of coke that will be supplied to ISG will reach 1.1 million tons per annum over 15 years. The second deal has been signed with EES Coke Battery, LLC, a subsidiary of DTE Energy Services. In line with the deal signed with EES Coke Battery, the company will supply 700'000 tons of coke to ISG as of 2005. However afterwards, the amount of coke to be supplied to ISG will be 1 million tons each year to be effective for 10 years. Through these agreements, ISG will guarantee coke supply.