JSW to invest Rs 550 cr in Chilean iron ore mines

The group produces seven million tones of steel annually and requires 11.2 million tones of iron ore for that.

In addition, JSW Steel Director (finance) Seshagiri Rao said, the group has reached an agreement with a Mozambican party with a mining licence for the supply of coking coal.

Of late, several large steel producers have secured their raw material supplies, after the sharp rise in the prices of iron ore and coking coal, which together account for more than 80 per cent of the cost of steel production.

The Chilean iron ore mines will be developed to 20 million tonnes over 36 months. However, the iron ore mined in Chile will not be used in the group's steel plants in the country. "We will hedge