London-listed Petropavlovsk Group, which owns gold-mining assets in Russia, plans to float shares of its non-precious metals division, including its iron-ore business, in an Initial Public Offering (IPO) on a Hong Kong exchange in October, the company said on Friday.

The division was reorganized into a new subsidiary named IRC Ltd, the company said in a statement.

"The non-precious metals division comprises a mining business which is focused on exploring for, developing and operating industrial commodity projects in the Russian Far East and the north-eastern region of China," the company said.

"Its business includes the Group's interests in the mining and processing projects at Kuranakh, Kimkan & Sutara, Garinskoye, Kostenginskoye, Garinskoye Flanks and Bolshoi Seym, the Vanadium Pentoxide joint venture, the Titanium Sponge project as well as supporting the bridge and seaport infrastructure projects, and its interest in the Giproruda Technical Institute."

The decision to hold the IPO in Hong Kong reflected the location of IRC's asset portfolio and its proximity to IRC's target customers, equipment suppliers and sources of capital, Petropavlovsk said.

MOSCOW, September 10 (RIA Novosti)