South Korea: HMM Wins Long-Term Delivery Contracts

On February 14th, HMM signed an 18-year coal delivery contract worth KRW 760 billion, with three power corporations in the KEPCO (Korea Electric Power Corporation) stable. These are: Korea Southern Power, Korean Western Power, and Korea South-East Power.

On February 22nd, HMM also signed a 15-year coal delivery contract, worth an estimated KRW 120 billion, with Korean Western Power. HMM will earn approximately KRW 900 billion through these two agreements.

The contract period with the KEPCO stable will be calculated to begin between 2016~2018, and HMM will deliver thermal coal from Newcastle (Australia) to Hadong, Taean, and Youngheung (Korea).

The contract with Korea Western Power will involve HMM delivering a total of 15 million tons of coal from Australia, Canada, and Indonesia to Korea. The delivery period will be from January 2016 to the end of 2030, and the annual delivery is scheduled to be one million tons.

HMM plans to secure a stable future by developing long-term contracts with its customers.

[mappress]

HMM, March 1, 2013