22 Nov 2011 10:47

MMK mulls Flinders Mines acquisition, raising $100 mln loan

MOSCOW. Nov 22 (Interfax) - Magnitogorsk Iron & Steel Works (MMK) is thinking of buying Australia's Flinders Mines, and is raising a loan of $100 million, the Russian steel major said in a statement.

Flinders Mines holds licenses to a number of iron ore fields, some of them in Australia's Pilbara region, where world majors Rio Tinto and BHP Billiton are present.

Production at the fields is slated to begin in 2014 and reach 15 million trillion of ore per year.

Flinders Mines is traded in Australia and, going by its current share price, is valued at $300 million.