Russian miner Metalloinvest said it signed a Ruble 6.8 billion ($105 million) sales agreement for high-Fe iron ore concentrate to Industrial and Steelmaking Holding (ISH), with pricing based on market fluctuations.
Metalloinvest will deliver iron ore with up to 69.5% Fe from the Lebedinsky GOK complex to ISH's Tulachermet site from May 1, 2016, through March 31, 2018, said a company statement. No volumes were specified.
"In 2016, Metalloinvest started sales of high grade products with a low silica content and increased iron content," it said.
"These product characteristics ensure an increase in output capacity at steel furnaces, lower energy costs and costs of electrodes for electric arc furnaces, and an improved efficiency of blast-furnace production due to a higher Fe-content in the furnace charge and lower slag ratio."
The new equipment installed at Lebedinsky GOK has enabled increased output of high-grade iron ore for internal needs, and additional types of products for sale, it said.
