20 Dec 2017 17:47

Mechel concludes year-long contract to supply China's Jidong Cement with up to 3 mln tonnes of coal

MOSCOW. Dec 20 (Interfax) - Mechel has signed a memorandum to supply coal to one of the world's biggest cement producers, China's Jidong Cement, the Russian company said in a statement.

"Over the year Mechel will supply up to 3 million tonnes of steam coal mined at LLC Elgaugol's Elga Open Pit Mine and JSC Yakutugol's Neryungrinsky Open Pit Mine."

Prices will be adjusted on a monthly basis following negotiations and on the basis of index rates, Mechel said.

Mechel CEO Oleg Korzhov was cited as saying that Jidong Cement is the company's biggest foreign customer for Elga steam coal. "Jidong Cement is our longstanding and strategic partner in Asia, and we aim to continue our long-term and mutually profitable partnership," he said.