Pretoria - Trade and Industry Minister Rob Davies on Monday held an urgent meeting with Kumba Iron Ore and ArcelorMittal South Africa to try and resolve the current dispute which threatens the closure of Saldanha Steel.
The minister convened a mediation process with the CEOs of both companies and the parties agreed to reconvene on Thursday to find a constructive engagement toward seeking a solution to the current dispute.
"All parties committed themselves to reaching an agreement which will put the country first," said the dti in a statement.
ArcelorMittal South Africa, a unit of the world's largest steelmaker has threatened to close its Saldanha plant and cut all steel exports after failing to reach an interim iron ore supply agreement with Kumba Iron Ore.
This would affect 4000 temporary and permanent jobs at the steelmaker and seriously impact industries that depend on its output.
Kumba is the fourth largest supplier of seaborne iron ore in the world, which alone exports more than 34 million tonnes per annum to steelmakers in Europe, the Middle-East, and Asia.
