Arcelor Mittal comes back to Russia
Shortly after selling its last properties in Russia, Arcelor Mittal, the world’s largest steel company, is returning to Russia. It is interested in Yakutian coal assets, which will be auctioned off on October 5 - according to daily Kommersant.
Arcelor Mittal will have to find a Russian partner or establish its own structure in Russia to take part in the tender, however. The Yakutian government confirms that the law firm of Baker & MacKenzie is preparing documents for the tender on the behalf of Arcelor Mittal. In a single lot, 68.68% of OAO Elgaugol, 75% minus one share in OAO Yakutugol and the 320 km-long unfinished Ulak-Elga rail line will be auctioned off with a starting price of 47.396 billion rubles.
Arcelor Mittal controls 10% of the world steel market. Its receipts in 2006 totaled $88 billion and profits $14 billion. The company recently withdrew from two joint projects with Severstal in Russia. It is represented in Ukraine with OAO Mittal Steel Krivoi Rog and in Kazakhstan with Mittal Steel Temirtau. The company currently has no coal assets, but it applied for a license for a coal deposit in India in August. (kommersant.com)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.