ArcelorMittal acquires 3 coal mines worth $718 mln in Russia

New Delhi, Apr 10 (UNI) World's largest steel maker ArcelorMittal today said it has completed the acquisition of three coal mines and associated assets in Russia for 718 million dollars.

The company has acquired a 97.9 per cent stake in the Berezovskaya Mine together with a 99.46 per cent stake in the Pervomayskaya Mine from Severstal. Both mines produce coking coal and are located in the Kemerovo Region.

As part of this agreement, ArcelorMittal has acquired the exploration and mining rights to the Zhernovskaya-3 coal deposit, which is a subsidiary of the Pervomayskaya Mine and has an additional estimated reserve of 46 million tonnes.

As previously announced, the company has also acquired the Severnaya Coal Preparation Plant, a part of the Berezovskaya Mine, and three companies that provide the mines with associated services.

The company has completed its acquisition of 100 per cent of the Anzherskoye mine in the Kemerovo Region.

Annual production from the three operating mines -- which have a combined estimated total reserve of more than 140 million tonens -- was 3.14 million tonnes RoM in 2007.

In 2007, the Beryozovskaya and pervomayskaya mines produced 1.77 million tonnes of coking coal concentrate.

UNI SBA MP AS1907