Posco to Pay Anglo American 7% More for Coking Coal, Platts Says

Posco (005490), a South Korean steelmaker, agreed to pay Anglo American Plc (AAL) $225 a metric ton for coking coal in the third quarter, 7 percent more than in the second quarter, Platts reported.

The companies signed the contracts today, Platts said on its website, citing people it didn’t identify. Posco agreed to pay $162 a ton for pulverized coal, a 5 percent increase from the second quarter, Platts said.

The quarterly price increases follow coal-supply “tightness” because of strikes at BHP Billiton-Mitsubishi Alliance’s mines in Queensland, Platts said.

To contact the reporter on this story: Sonja Elmquist in New York at selmquist1@bloomberg.net

To contact the editor responsible for this story: Simon Casey at scasey4@bloomberg.net