BUSINESS

Abramovich's Evraz to gain control in Russia's Raspadskaya coal mine

10/04/2012 04:59 EDT | Updated 12/03/2012 05:12 EST
MOSCOW - Steelmaker Evraz is to gain control of one of Russia's largest coal mines after acquiring a half stake in Cyprus-based investment vehicle Corber Enterprises for an undisclosed sum.

London-listed Evraz, which is part-owned by tycoon Roman Abramovich and already owns half of Raspadskaya, says Thursday that it would increase its share in the mine to 82 per cent by acquiring the half share in Corber.

The deal is due to be completed by the end of the year. The remaining 18 per cent stake in the mine is listed on Moscow's MICEX stock exchange.

Raspadskaya, a key supplier of coal to Evraz, is one of Russia's largest coal mines with proven and probable coal reserves of 1.3 billion tons. The deal will make Evraz Russia's largest producer of coking coal.