SEOUL, March 29 (Yonhap) — POSCO, the world’s fifth-largest steelmaker by output, said Monday it will receive about AU$169 million (US$129 million) from Australia’s Roy Hill Holdings next month in the third dividend in over a decade since its investment.
The board of Roy Hill Holdings has decided to pay a quarterly record of AU$13.5 million to its investors in dividends, citing robust earnings, according to POSCO.
In October, POSCO received AU$59 million from Roy Hill Holdings in the first dividend, followed by its second dividend of AU$78 million in January.
In 2010, POSCO purchased a 12.5 percent stake in Roy Hill Holdings — set up to develop the Roy Hill iron ore mine in Pilbara, Western Australia — for about AU$1.49 billion.
Roy Hill is estimated to contain 2.3 billion tons of iron ore reserves, and exports 55 million tons of iron ore per year, the world’s fifth-largest amount.
POSCO said it currently receives 15 million tons of iron ore from Roy Hill Holdings, accounting for more than 25 percent of its annual needs.
POSCO said it has been participating in 23 raw materials projects around the world since 1981, when it made an investment in the Mount Thorley Warkworth mine in Australia.