South Korean stainless steel producer BNG Steel is interested in acquiring coal from the Russian island of Sakhalin in the North Pacific, and is considering the possibility of cooperation for the development of the region's coal mining sector, according to a statement issued by the local Sakhalin government.
Accordingly, a South Korean delegation led by BNG Steel president Chung Il-sun arrived on Monday, May 17, in Yuzhno-Sakhalinsk for a meeting with the first deputy governor of the Sakhalin region, Sergei Sheredekin. Sakhalin mines 3.5 million mt of coal per year, of which about one million mt is exported, including to countries in the Asia-Pacific Region, Mr. Sheredekin said, adding that the region's government is interested in investments from BNG Steel and is ready to offer its support.
During their visit, the South Korean delegation was familiarized with projects for the development of Sakhalin's Mgachi coalfield with 140.2 million mt of coal reserves, the Lopatino coal deposit with reserves of about 400 million mt, as well as with the project for the geological exploration of a deposit in the Alexandrovsk-Sakhalinsky district. According to Mr. Sheredekin, the quality of coal produced in Sakhalin fully meets the demands of the Korean company.