Irkutskenergo in talks with Asian cos on Siberian steel project
MOSCOW. Oct 17 (Interfax) - Irkutskenergo is holding negotiations with South Korea's Posco and other companies in the region on joint investment in the construction of a steel plant in the Siberian city of Angarsk, the Russian power and coal company's chief executive, Oleg Prichko told Interfax.
"We're holding active negotiations with potential co-investors - South Korea's Posco (the world's fourth largest producer of steel products), we've met with Japan's Mitsui, other potential partners," Prichko said in an interview with Interfax. He said the company is open to any negotiations, including with Russian companies.
It was reported earlier that Irkutskenergo plans to build an electrometallurgical steel plant with capacity of 260,000 tonnes per year by 2015 at an estimated cost of 6 billion rubles. The plant's main products would be rebar made from scrap metal and steel billets.
Former Irkutskenergo head Yevgeny Fyodorov said in June that the company is not willing to give up a controlling stake in the plant. "We don't need off-take of product here. We understand that we'll sell it in three regions of Russia without any problems," he said.
Irkutskenergo, one of Russia's biggest power companies, has both thermal and hydro power plants, and well as heat networks, coal mines, transport enterprises, repair plants and an enrichment plant.