Australian mining giant Rio Tinto has announced that it and its JV partners have concluded long-term contracts to supply iron ore to Hyundai Steel, South Korea's second largest steelmaker and the world's second largest EAF-based producer.
Under the terms of the contracts, Rio Tinto will export more than 40 million mt of iron ore from the Pilbara region in northwestern Australia to Hyundai Steel over the coming 10 years.
Accordingly, Rio Tinto's Hamersley Iron and Robe River operations, and the Hope Downs operation, an equal joint venture with Hancock Prospecting Pty Ltd, will start shipments in 2009 and will supply 4.6 million mt of iron ore per annum between 2012 and 2019.
Commenting on the contracts, Rio Tinto Iron Ore CEO Sam Walsh said, "Rio Tinto has enjoyed a long relationship with South Korea, going back to our first shipment in 1973. These agreements with Hyundai Steel are the culmination of several years' negotiations and open the next chapter in what has been a successful, mutually rewarding partnership."