Eramet Expands Manganese Ore Output to over 4 Million tonnes

Patrick Buffet, chairman and Chief Executive Officer of Eramet, French major ferroalloy maker, announced on Wednesday the firm started to discuss on manganese ore expansion in Gabon by over 500,000 tonnes to more than 4 million tonnes per year over the medium term from 2008. Manganese ore spot price almost tripled from the end of 2007 when the ore supply is tight due to expansion of crude steel in whole world. The firm will expand manganese ore business as the second largest supplier of manganese in the world.Mr. Buffet already said the firm will increase manganese ore output by 200,000 tonnes to 3.5 million tonnes in 2008 from 2007. The firm has increased the output to meet the strong demand, which increased by 22% in 2008 from 2005.Demand for manganese ore is expanding when crude steel output increased by 5.6% in January-May from the same period of last year, mainly in emerging countries. Demand for manganese increased by 7.4% per year from 2000. International manganese price is rising significantly due to tight supply for manganese ore and ferroalloy.