Cliffs is turning to its pipeline of organic projects and development properties for growth. Through global exploration, we are expanding our resource base with drilling campaigns on mining tenements secured over recent years.
|Cliffs’ strategy to build scale in the steelmaking raw material sector is based on our belief in certain megatrends within the commodity industry.
- Demand is supported by continued global urbanization, specifically in emerging economies such as China, India and Brazil.
- Urbanization will increase the steel intensity rates, driven by housing and infrastructure.
- Rising disposable incomes also encourage construction related to leisure activities and personal services.
This development is anticipated to increase demand and is not expected to be matched by corresponding increases in supply. Quality from mature producing regions is deteriorating, while logistical networks for new mining districts are becoming more complex and costly to build.
Global Business Development
We have aligned our Global Business Development strategy to build a diverse mineral portfolio that supplies the steelmaking raw material industry. This is accomplished through the identification of acqusitions, exploration assets and partnerships that diversify our products and end markets, along with potential to expand production volumes.
Global Exploration Group
Our Global Exploration Group (GEG) is responsible for establishing partnerships with mining and exploration companies, with the primary objective of securing resources through direct investment and cooperative exploration efforts.
Our relationships with exploration companies allow us to invest capital in prospects for various commodities throughout the world. Presently, Cliffs has multiple exploration projects worldwide.