The Russian steel mill Magnitogorsk Iron and Steel Works (MMK) has concluded coking coal supply contracts up to the end of Q2 2009 for an average price of Ruble 1,600/mt (approx. $48.75 according to the current exchange rate).
In addition, it is reported that MMK has decided not to wait for the results of the negotiations between steelmakers and iron ore producers on the 2009 iron ore prices, and has concluded iron ore concentrate supply contracts at $50/mt, which, according to MMK, is lower than the actual price by 40 percent.