Essar Steel Algoma has commenced proceedings against a supplier of iron ore pellets over a pricing and supply dispute. The supply of iron ore pellets has been interrupted as a result of the pricing dispute with Cleveland Cliffs Iron Company under a purchase agreement between the two sides that dates back to January 2002. Essar Steel Algoma has filed an application with the Ontario Superior Court of Justice and has also commenced arbitration proceedings. The proceedings are being commenced not only to resolve the pricing dispute but also to ensure Essar’s supply or iron ore pellets pending the resolution of the dispute.
