Under the deal, Severstal will sell ArcelorMittal its 97.6 percent stake in the Beryozovskaya and 99.35 percent stake in the Pervomaiskaya coal mines in the West Siberian Kemerovo Region.
As a part of the deal, Severstal will also sell Arcelor Mittal the Severnaya Coal Preparation Plant (part of the Beryozovskaya Mine), 100 per cent of the Zhernovskaya-3 deposit and controlling stakes in three companies that provide the mines with transport, assembly, repair and power supply services.
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, Roman Deniskin, a senior official of Severstals mining company Severstal Resurs said in a corporate release.
In 2007, the Beryozovskaya and Pervomaiskaya mines produced a total of 1.77 million metric tons of coking coal concentrate.
Two years ago, Severstal of Alexei Mordashov and Mittal Steel of L N Mittal were locked in a rivalry to acquire Europes largest steel maker Arcelor, which ended in favour of the NRI steel baron.