Rus News Journal

The gold miner has shown a grip of steel

the British gold miner Peter Hambro and its partner Pavel Maslovsky have decided to create in Russia zhelezorudnuju the company. Yesterday it became known that partners intend to unite the zhelezorudnye actives in the Jewish joint-stock company with company Aricom which is engaged in extraction titano - magnetitovyh ores in the Far East. They are going to construct is mountain - the concentrating industrial complex (GOK) comparable on capacity with Korshunovsky GOKom a Mechel . However Russian metkombinatam the Far East concentrate will not get: it will be exported in full to the Peoples Republic of China.
last year Peter Hambro and Pavel Maslovsky have sold on 1,6 % of actions of British gold mining company Peter Hambro Mining, having gained from the transaction about $9 million These means they have spent for acquisition of licences for working out of two major fields in EAO - Kimkansky and Sugarsky (industrial stocks - 558 million tons of iron ore). Until recently both partners underlined that this transaction is made in their personal interests, but thus they did not open the information on how they are going to dispose of new actives. Yesterday partners have opened the plans, concerning the given deposits.

as general director Aricom Tom Svizenbank has told, the right to working out of these deposits will be brought by partners in authorised capital stock Aricom in which misters Hambro and Maslovsky are minority shareholders. The transaction will be spent as follows. Aricom will get an option for the repayment at misters Maslovsky and Hambro of 50 % of participation in above-named zhelezorudnyh deposits. As payment for the right of acquisition of these deposits Aricom will transfer to partners of 13,4 % of shares of company - these actions will be received as a result dopemissii at a rate of 18 million actions. Option cost will make $9 million, it will provide right Aricom within two years to redeem at partners zhelezorudnye actives at the price which is not exceeding $61 million If the transaction will be realised for a ceiling price, misters Maslovsky and Hambro will increase the share in Aricom to 68 %.

we Will notice that itself Aricom has been allocated in 2003 from Peter Hambro Mining. Aricom is engaged in working out of the Kuranahsky deposit titano - magnetitovyh ores (Amur region) and factory building on release of dioxide of the titan by capacity 70 - 80 thousand tons. Company capitalisation makes $50 million 34 % of actions the others belong to misters of Hambro and Maslovsky, - to institutional investors, including Credit Suisse First Boston and Merill Lynch. As mister Svizenbank as by working out of the Kuranahsky deposit it has appeared has told that the breed most part is made by iron ore, the decision to consolidate zhelezorudnye actives with Aricom was accepted. On ton ilmenitovogo a concentrate (raw materials for manufacture of dioxide of the titan. - ) on a deposit it is necessary three tons of iron ore - he has noted.

as the mister Maslovsky has declared to the British mass-media, working out of deposits will take four years, and the predicted volume of investments will make $200 million In turn, mister Hambro in interview has declared that on these means the company is going to construct GOK capacity of 6 million tons zheleznorudnogo a concentrate. However, the new industrial complex will not create a competition in home market. As mister Hambro has declared, all concentrate will be exported to China.

meanwhile experts consider that plans of partners in market development zhelezorudnogo raw materials can not justify themselves. In particular, analyst BKS Vyacheslav Zhabin has reminded that during two - three years this market can be brought down a three of the leading extracting companies - BHP - Billiton, Rio Tinto and CVRD which are going to increase volumes of extraction of ore twice. However the similar prospect does not frighten mister Hambro. the direct affinity of our deposits to border with China will allow us to save on transport costs. And on terms we will win against Brazil to which 34 days " are required for delivery to China; - he has declared.