The Russian steel producer Magnitogorsk Iron and Steel Works (MMK) has announced that it has signed a cooperation agreement with Russian Railways (RZhD) in the sphere of transportation, production, and financial and investment activity.
According to the agreement, RZhD guarantees the transportation of MMK products in full amount in compliance with agreed requests, while MMK will supply RZhD with required steel products in necessary amounts. In addition, MMK will share in the financing of the infrastructural development of the Magnitogorsk railway station on the South Ural freight railway. Furthermore, the parties have agreed on creating proposals directed towards the increase of the competitiveness of MMK's products in the domestic and export markets.
Almost 100 percent of products delivered and received by MMK are transported by railway. In 2008, MMK's freight traffic (receipt-delivery) amounted to 38 million mt.