Ferrous Raw Materials Division

Ferrous Raw Materials Division

The Ferrous Raw Materials Division is engaged in several minerals and materials, fuel supply, sourcing, marketing, and shipping operations. The Division's worldwide operations supply essential minerals that help to meet the needs from the global steel and electric power companies, contributing to provide a stable supply. Our major products include coking coal, thermal coal, iron ore, stainless, specialty steels resources and uranium.

Activities

Main Products and Services

Coking coal for steel mills, iron ore, nickel, chromium, molybdenum, manganese, ferrosilicon, coal for use as fuel for electricity generation, uranium

Overview

The Ferrous Raw Materials Division is taking efforts to enhance businesses for both investment and marketing operations. The Division's investment business serves as the main source of earnings to support the Division's continued growth. The division is committed to the further growth of BMA, which is the world's largest coking coal producer, and is actively investing in a wide range of business activities including the production of stainless steel raw materials and iron ore production, as well as coal and uranium production for use as fuel for electricity generation. In marketing operations, we are engaged in selling ferrous raw materials including coking coal, coal, iron ore, stainless and specialty steels on a global scale.

Strategy

On a global scale but especially in China and other developing countries in Asia, the demand for ferrous raw materials and fuel for electricity generation has been strongly supported by an ongoing long-term growth trend. While keeping abreast of such worldwide trends, we intend to continue to proactively develop strategic businesses, through investing in resources development, and procuring, transporting, and selling raw materials.

Since 2001, MC has strengthened BMA ties with BHP Billiton Ltd., Australia's preeminent global resources company, through MDP (Mitsubishi Development Pty., Ltd.), an MC subsidiary formed in Australia. Having a strong relationship with major resources companies, MC widely participates in operations and other aspects of the business, effectively establishing itself as the first bona fide Japanese-owned coking coal producer. MC has also implemented expansion projects such as establishing the No. 4 Furnace of HERNIC in South Africa, and implemented development projects such as increasing iron ore production of CMH in Chile and IOC in Canada. MC is currently undertaking a business development project costing more than AUD$3 billion (approx. ¥300 billion) in partnership with Murchison Metals Ltd. that involves the development of rail and port infrastructure for iron ore resources in the mid-west region of Western Australia. A joint venture with Murchison Metals, Oakajee Port & Rail, acquired preferential negotiating rights in Western Australia Port development tenders.

In 2008, through BMA, interests in the New Seraji metallurgical coal mine in Queensland, Australia were acquired. MC worked with Canada's Cameco to acquire interests in Kintyre uranium mine in Western Australia. MC will keep making further progress with its business to be able to play the role of a sogo shosha-type resource company in the world.

Organizational Structure

PDFDetailed Organizational Chart(PDF:114KB)

  • Ferrous Raw Materials Sales and Marketing Business Unit
  • Thermal Coal Business Unit
  • Iron Ore Business Unit
  • Stainless and Specialty Steel Raw Materials Business Unit
  • MDP Unit

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