Steel king: India’s Lakshmi Mittal
STEELMAKING giant ArcelorMittal has teamed up with a US mining company to seize control of Macarthur Coal in Australia, in a global battle to assure coal resources, statements said on Monday (July 11).ArcelorMittal, by far the biggest steelmaker in the world, and Peabody Energy are bidding for all of the shares in Macarthur, valuing the company $5bn (£3.13bn).The two bidders are making the bid via a joint company, with Peabody owning 60 per cent and ArcelorMittal owning 40 per cent.ArcelorMittal is already the second-biggest shareholder in Macarthur with 16 per cent of the shares, behind Citic, a Chinese investment fund, which owns 24.3 per cent. South Korean steel-maker Posco owns seven per cent.High demand for raw materials from emerging markets is focusing interest in natural resources. In addition coal is essential to the energy and steel industries. Both factors have put mining companies in the spotlight.ArcelorMittal has been trying for some time to secure upstream coal resources, but Chinese interest in all of these areas, including coal, is strong.Queensland-based Macarthur is the world’s top producer of pulverised coals used to make steel.The company operates two mining sites and intends to double capacity by 2014 with two other sites. The firm employs 445 people.
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