On December 21, Mechel 0A0, a major metals and resource company in Russia, announced it had inked a supply contract with Tangshan Jidong Cement Co., Ltd., China for thermal coal.
The contract term is from December 2016 to December 2017, during which time Mechel will supply 2-3Mt of Russian thermal coal to Tangshan Jidong Cement. The sales price of thermal coal is to be fixed every month based on then market.
Tangshan Jidong Cement is a major cement company and subsidiary of Tangshan Jidong Development Group Co., Ltd.
Mechel previously shipped a total of 1Mt thermal coal to Tangshan Jidong Cement based on one-year contract (from April 2015 to March 2016).