Ukraine puts Demurinsky GOK, former LSR Group assets on privatization list

MOSCOW/YEKATERINBURG. July 10 (Interfax) - Ukraine's Cabinet has included 100% of shares in Demurinsky GOK LLC, a mine and processing plant previously owned by Russian titanium producer VSMPO-Avisma, and 100% of shares in Aeroc LLC, a former subsidiary of Russia's LSR Group in the list of assets slated for privatization.

The Cabinet made this decision at a meeting on Tuesday, Ukrainian media reported the government's representative to parliament, Taras Melnichuk as saying on Telegram.

Aeroc, which has been operating in Ukraine since December 2006, has two autoclaved aerated concrete plants and is one of the leading producers of this product in the country.

Aeroc was seized from LSR Group, a major Russian construction company and building materials manufacturer, in 2023. LSR tried unsuccessfully to dispute the seizure in Ukrainian courts, and after losing its case the group said it would "turn to European arbitration tribunals."

Demurinsky GOK, which develops the Volchanskoye titanium and zirconium deposit, was transferred to state ownership by court order at the beginning of 2023. However, VSMPO-Avisma sold Demurinsky GOK several years ago, so its seizure did not have any impact on the Russian company, a source familiar with the situation told Interfax. The source did not name the buyer.