POSCO establishes social project fund with Yancoal

POSCO Chairman Choi Jeong-woo, second from right, poses with Yancoal CEO Reinhold Schmidt, left, Clontarf Foundation Chairman Ross Kelly, center, and other officials after signing a matching fund initiative in Sydney, Wednesday. Courtesy of POSCO

By Kwak Yeon-soo

POSCO has established a “GEM” social project fund with Australia-based coal producer Yancoal, the company said Wednesday.

POSCO became a joint-venture partner with Yancoal when it invested in the Mount Thorley coal mine in Australia in 1981, as part of its raw materials development plan. Since 2006, Yancoal has been providing coal to POSCO.

“We are pleased to announce the social value project with Yancoal,” POSCO Chairman Choi Jeong-woo said. “Together we will establish a GEM matching fund and share corporate citizenship values with the Australian community.”

Choi said GEM stands for “Go Extra Mile,” which is aimed at curbing unemployment and assisting with productivity among local communities.

The steelmaker said each company will donate $50,000 a year to run a variety of education programs in both countries.

Next year, the companies will join hands with the Clontarf Foundation to help young Aborigines in education and employment.

Choi was attending the 40th Korea-Australia Business Council meeting on Nov. 12 and 13, held in Sydney, Australia.

POSCO plans to establish additional matching funds with other raw material suppliers to boost business ties.

At the meeting, POSCO also delivered a speech on its recognition by the World Economic Forum (WEF) as a “lighthouse factory” for applying Fourth Industrial Revolution technologies to drive financial and operational impact.