ArcelorMittal, the world's largest and most global steel company, announced on January 31 that it has signed agreements to acquire three coal mines and associated assets in
The Company will acquire a 97.59 percent stake in the Berezovskaya Mine together with a 99.35 percent stake in the Pervomayskaya Mine from OAO Severstal (“Severstal”) in
As part of the agreement ArcelorMittal will also acquire the exploration and mining rights to the Zhernovskaya-3 coal deposit, which is a subsidiary of the Pervomayskaya Mine.
The company has also agreed to purchase 100 percent of the Anzherskoye mine. All the transactions are subject to regulatory approval.
Annual production from the three operating mines – which have a combined estimated total reserve of more than 140 million tons - is 3.14 million tons RoM in 2007. The Zhernovskaya-3 coal deposit has an additional estimated reserve of 46 million tons.
Commenting, Lakshmi N. Mittal, president and CEO, ArcelorMittal, said: "We are pleased to be acquiring these mines which will provide an important and competitive source of coking coal supplies for our steel production, raising our self-sufficiency from 10 percent to 15 percent. This acquisition also helps ArcelorMittal establish a presence in
ArcelorMittal is the world's No. 1 steel company, with 320,000 employees in more than 60 countries. The company brings together the world's No. 1 and No. 2 steel companies, Arcelor and Mittal Steel.
ArcelorMittal is the leader in all major global markets, including automotive, construction, household appliances and packaging, with leading R&D and technology, as well as sizeable captive supplies of raw materials and outstanding distribution networks. An industrial presence in 27 European, Asian, African and American countries exposes the company to all the key steel markets, from emerging to mature, positions it will be looking to develop in the high-growth Chinese and Indian markets.
ArcelorMittal key pro forma financials for 2006 show combined revenues of USD 88.6 billion, with a crude steel production of 118 million tonnes, representing around 10 percent of world steel output.