OREANDA-NEWS. Severstal, one of the world’s leading vertically integrated steel and steel-related mining companies, has signed long-term contract for the shipment of iron ore pellets manufactured at Karelsky Okatysh (one of Russia’s leading iron ore mining complexes, part of OAO Severstal) with Oy M. Rauanheimo Ab (the leading logistics company and port operator in bulk and Russian transit cargo services in Finland) based in the Port of Kokkola, Finland.

The contract covers rail transport by Valtion Rautatiet (VR-Transpoint), a state-owned railway company in Finland, rolling stock operators from ZAO RWD-Services and logistics company Easyway Logistics. With these companies involved, the contract will extend beyond cargo transshipment services, to include good transportation at an all-inclusive rate within the territory of Finland, the unloading of goods at the port, storage and further cargo loading onto vessels for overseas shipping.

Products manufactured at Karelsky Okatysh are exported mainly to Europe via Kokkola. Under this contract, more than two million tonnes of products manufactured at Karelsky Okatysh are expected to be transshipped annually through the port of Kokkola.

Sergei Starodubtsev, Director Sales of Raw Materials, Strategic Procurement, Logistics at Severstal, commented: “This is the second long-term contract we have signed with Rauanheimo at the Port of Kokkola, with which we have been collaborating for almost ten years. Supported by our partners we can respond effectively to client deadlines and demand for volume. We plan to build further on our relationship with Rauanheimo and the port to expand our shipment capacity and broaden the range of products exported via Kokkola.”

Joakim Laxaback, Executive Director of Oy M. Rauanheimo Ab, commented: “This total logistics support agreement further solidifies our partnership with Severstal and the whole team. Rauanheimo takes great pride in supporting Severstal worldwide missions and has the processes, the people and the resources to provide Severstal with seamless, uninterrupted, world-class support for their export products. ”

The Port of Kokkola is located 400 kilometers and under 12 hours from Karelsky Okatysh.