Russia-based leading global iron ore and hot briquetted iron (HBI) producer Metalloinvest has announced that it has extended its existing long-term pellet supply contract with Russian steelmaker Novolipetsk Steel (NLMK) until December 31, 2016. According to the agreed terms, Metalloinvest will supply NLMK with more than three million mt of pellets in the current year.
In accordance with the contract, the pricing will be based on current market indicators, taking into account global market price trends. Metalloinvest’s subsidiaries Lebedinsky GOK and Mikhailovsky GOK will supply the pellets to NLMK's main production site in Lipetsk.
The extension of the existing contract continues the long-term mutually beneficial partnership between Metalloinvest and NLMK. In 2011, the companies signed a pellet supply contract for a four-year period, which was extended in 2015.