Iron ore from Canada: KfW IPEX-Bank finances the supply of raw materials to the German and European economies
Frankfurt, Main (ots)
- Financing of replacement investments
- Iron Ore Company of Canada supplies high-quality iron ore
concentrate and pellets to Germany and Europe
- Deposit reserves have an extended lifetime, ensuring long-term
supply of raw materialsKfW IPEX-Bank is financing key replacement investments for the Iron Ore Company of Canada (IOC) with a loan of USD 100 million. The Canadian iron ore producer supplies German and European companies with iron ore concentrate and pellets - essential input materials for various steel products. "With our financing we are helping to ensure the continuation of the supply flow for the future," says Markus Scheer, member of the Management Board of KfW IPEX-Bank. "The transaction serves to secure the supply of raw materials in Germany and Europe, thus fulfilling one of our core tasks."
IOC has large-scale raw material reserves. During the 2014 financial year, IOC plans to supply more than 7 million tonnes of pellets and iron ore concentrate to German and European customers. These quantities are also to be targeted in the coming years. IOC's raw ore is upgraded to produce high-quality iron ore concentrate and pellets, which makes the supplies suitable for further processing in high-technology production areas - the specialty field of many German and other European companies. Europe is one of the main buyers of iron ore material.
IOC is one of Canada's leading producers of iron ore concentrate and pellets, and operates a mine, one concentration plant and a pelletising plant. The company also maintains the required infrastructure itself. For example, it ensures continuous transport flow with a 418-km-long railway line stretching from the deposit in Newfoundland and Labrador to the deep water port of shipment in Sept-Îles, Quebec.
IOC currently has capacities for the mining of around 43 million tonnes (mtpa) crude ore per year. It is expanding its capacities to boost production of iron ore concentrate, including a planned increase in crude ore mining to 50 mtpa.
About KfW IPEX-Bank GmbH
Within the KfW Group, KfW IPEX-Bank is responsible for international project and export finance. Its function of providing financing to boost the German and European economy is derived from the legal mandate assigned to KfW. It offers medium- and long-term financing to support key export industries, to develop economic and social infrastructure and to fund environmental and climate protection projects. KfW IPEX-Bank operates as a legally independent group subsidiary and plays a major role in fulfilling KfW's promotional mission. It is represented in the most important economic and financial centres across the globe.
Contact:
KfW IPEX-Bank GmbH, Palmengartenstraße 5-9, 60325 Frankfurt
Pressestelle: Thomas Krick,
E-Mail: thomas.krick@kfw.de
Tel. 069 7431-8554, Fax: 069 7431-9409, E-Mail:
info@kfw-ipex-bank.de,
Internet: www.kfw-ipex-bank.de
Original content of: KfW IPEX-Bank, transmitted by news aktuell