SEOUL Nov 23 South Korean steelmaker POSCO
is looking for strategic investors in the $1.45
billion stake it has in Australian's iron ore project, Roy Hill,
a spokeswoman said on Friday.
The company is seeking investors for the 2.5 percent stake
out of the 12.5 percent it has, said POSCO's Kim Ji-young, as
the steelmaker is tightening its belt in response to the
prolonged downturn in the steel industry.
POSCO, the world's fourth-biggest steelmaker, has been
looking to boost its access to iron ore and coal used to make
steel, including taking a 15 percent stake in the $10 billion
Roy Hill project early this year.
But the company in April sold a 2.5 percent stake in Roy
Hill Holdings to China Steel Corporation for 359.9
billion Korean won ($331.54 million), leaving it with a 12.5
The Roy Hill project is led by 70 percent stakeholder
Hancock in Australia. POSCO, Japanese trading company Marubeni
Corp, South Korea's STX Corp, and Taiwan's
China Steel Corp are among the other stakeholders.
Shares in POSCO, backed by Warren Buffett's Berkshire
Hathaway , were up 0.3 percent in a flat
broader market as of 0051 GMT on Friday. It has fallen
nearly 10 percent this month, as brokerages downgraded its
earnings outlook for the current quarter.