The Canadian Coal Association has called on the federal government to officially recognize metallurgical coal as a critically important mineral following recently announced export agreements with India.
According to the association, the deals highlight the strategic importance of metallurgical coal to global steel supply chains and strengthen the case for recognizing the resource within Canada's critically important minerals.
Canada signs new coal export agreements with Indian steelmakers
In accordance with the memorandums of understanding signed between Elk Valley Resources, the Canadian subsidiary of the Swiss mining company Glencore, and the Indian steel companies A-One Steels India Limited, Jindal SAW Limited, Shyam Sel & About 1.2 million tons of metallurgical coal will be supplied to India by Power Limited and Jayaswal Neco Industries Ltd. The agreements are valued at approximately C$285 million and are intended to support India's fast-growing steel industry.
India is increasing its steel production capacity and is looking for reliable long-term supplies of high-quality coking coal. Therefore, Canadian reserves are attracting increasing interest from Indian steelmakers and mining companies seeking to secure stable sources of imports.
The industry emphasizes the strategic role of metallurgical coal
Robin Campbell, president of the Canadian Coal Association, said steelmaking coal remains essential for infrastructure production.
