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| Edited By: KV Ramana |Source: DNA |Updated: Mar 17, 2018, 04:37 AM IST
NMDC, India’s biggest iron ore producer, is seeking to buy coal mines in Russia.
The company is believed to be in talks with Russian billionaire Mikhail Prokhorov to acquire four coking coal mines.
“The proposal technically is still at an early stage. It will take some time for us to arrive at the financials and decide on the reasonable price we should be paying for the mines,” a senior company official said, not wishing to be named.
The assets, called Kolmar mines, located in Siberia’s Yakutia region, are estimated to have reserves of 400 million tonnes.
In fact, it is believed that Prokhorov has been looking for a buyer after buying the mines in April this year.
On its part, NMDC has been working to secure fuel for its upcoming steel mills — one being constructed in Chhattisgarh and slated to commence production sometime in 2014, and another planned in Karnataka through a partnership.
NMDC has been eyeing coal assets in India too and is engaged in talks with some of the state governments for allotment of mines.
Recently, the company also entered into an MoU with Tata Power for exploring the possibility of pitching for coal assets jointly.
“We did a similar deal with KSK Energy as well. We have the expertise in mining,” said a company source.
