ANNOUNCEMENT 26 Jul 2010In July 2010, the government of Republic of Korea announced changed incentives for foreign investors entering the country.
NUMBER OF INTERVENTIONS
"Korea Eximbank Supports Acquisition and Development of Iron Mine with USD 250 Million," Available at: http://www.koreaexim.go.kr/en2/01_exim/04_bank/01_view.jsp?nCP=1&nRegNo=458&cUseYN=&nSSecNo=9&sSKeyword=
According to the Export-Import Bank of Korea on 26 July 2010 it provided US$250 million for the acquistion and development by a Korean firm POSCO of an Australian mine. The associated press release from this agency noted: "POSCO hopes to purchase a 24.5% stake in a mine located in Pilbara in western Australia to secure development and long-term purchase rights for the mine... The Bank will provide USD 250 million in loans, which is 42% of the needed USD 600 million needed by POSCO for the project."
The press release also contained the following, more wide-ranging remarks: "This project will secure the stable supply of 9.8 million tons of iron per year for 25 years beginning in 2014. It is expected that Korea's self-development rate for iron will increase from 14.2% to 37.5%. In 2009, Korea was the third largest biggest iron importing country, after China and Japan, and depends on imports it's consumed amount. An official from Korea Eximbank stated, "To ensure the stable procurement of key resources, we will actively support the investment and M&A efforts of Korean companies in foreign mines." '