27th Dec 2013 07:57
LONDON (Alliance News) - Evraz PLC Friday said it has signed a iron-ore asset sale agreement with LLC Ruda Khakasii for roughly USD306,000.
The global mining and minerals company said Ruda Khakasii will purchase some of Evraz's assets in Russia, including the Abakan and Teya iron ore mines and the Mundybash beneficiation plant.
The company said that, as part of the deal, Ruda Khakasii will also purchase Evraz's subsidiary utilities companies, Abaza-Energo and Teyskie Energoseti.
Evraz said that their total gross assets were USD9 million at June 30, and for the year ended December 31, 2012, these combined assets produced a total loss before tax of USD20 million.
Evraz added that it has signed a 10-year deal for 150,00 tonnes of iron-ore concentrate per month from the Mundybash plant and short-term purchase agreements from the Abakan and Teya iron ore mines in order to maintain some production in the transition period.
By Tom McIvor; [email protected]; @TomMcIvor1
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