Russia's Mechel sells stake in Elga coal mine to repay debts

摘要

London—Russian mining and steel company Mechel closed the sale of the Elga Coal Complex, agreeing with its creditors to spend the proceeds on debt reduction. Mechel said on Wednesday it has sold its 51% stake in Elga to A-Property for Rubles 89 billion ($1.17 billion). The buyer also fully settled Mechel’s liabilities with state development corporation VEB.RF totaling $107 million. Elga holds the subsoil license effective through December 2033 for the Elga coal deposit in the Sakha Republic in Eastern Siberia, and via open-pit mining produces hard coking coal and steam coal primarily for the Asia-Pacific market.