Finland-based steelmaker Ruukki Metals has announced that it will develop new iron pellet grades in cooperation with Russian company Karelsky Okatysh, a wholly-owned subsidiary of Russian steel producer Severstal.
Ruukki uses iron ore pellets as a feedstock for pig iron production and sources most of its pellets needs from Sweden. New grades of pellets developed by Karelsky Okatysh are to be tested in the laboratory at Ruukki's Raahe Works in Finland.
As SteelOrbis previously reported, in May 2012 Ruukki signed a long-term, three-year contract for coking coal and iron pellet supplies with Severstal Resources to cover up to around 20 percent of Ruukki's coking coal and iron pellet requirement, enabling Ruukki to reduce its dependency on distant coking coal sources and diversify the markets from which the company purchases raw materials.