Dec. 10 -- South Korean firms and a Singapore company will jointly set up a 120 billion won ($105.5 million) ferro-nickel refinery to produce 75,000 tonnes annually from 2012, Korea Resources Corp (KORES) said on Tuesday.

While the Singaporean firm whose identity was not unveiled, will supply 1.2 million tonnes of ore for the refinery in a northeast city of Korea, state-run KORES said in a statement that it would seek overseas ore mines.

The Korean consortium also includes Union Corp (000910.KS) and Enertec, the statement added.

South Korea consumes 300,000 tonnes per year of ferro-nickel, a main stainless steel component, with POSCO (005490.KS) producing 50 percent and the remainder met by imports from Indonesia, China and Japan.