Under the deal, Severstal, which is an international mining and steel company that produced 17.6 million metric tons of steel in 2006, will sell Arcelor Mittal its 97.6% stake in the Beryozovskaya mine along with its 99.35% stake in the Pervomaiskaya mine. Both mines are located in the Kemerovo Region and produce coking coal, the steel maker said.
"This is a good deal for Severstal, allowing us to focus on the development of existing, strategically important assets, as well as invest in new coal projects," said Roman Deniskin, general director of Severstal Resurs, which manages the company's mining assets.
In 2007, the Beryozovskaya and Pervomaiskaya mines produced a total of 1.77 million metric tons of coking coal concentrate, Severstal said.
Arcelor Mittal, the world's largest metals holding company, controls 10% of global steel output. The company was formed through the merger of Arcelor and Mittal Steel in 2006.
Indian billionaire industrialist Lakshmi Mittal is president of Arcelor Mittal and holds a controlling interest in the company.
