Russian-based Irkutsk Mining and Metallurgical Company (IMMC) plans to create a joint venture with a Chinese company for the construction of a new mining and metallurgical complex in Russia's Irkutsk region, IMMC's general director Vladimir Chernyh has stated.
According to Mr. Chernyh, IMMC and a Chinese company, the name of which has not been disclosed, are to invest about $1.4 billion in the construction of new mining and metallurgical complex, which will produce direct reduced iron (DRI) initially and steel at a later stage.
IMMC will hold a 25 percent stake in the new joint venture company, while the Chinese partner will hold a 75 percent stake.
"For the implementation of IMMC's project we have to win the auction for the right to develop the Malo-Tagulsk iron-titanium field, which is to become the basis of the production facility," Mr. Chernyh stated, adding that the auction was supposed to be announced in the second quarter of the current year, but was delayed.
The Malo-Tagulsk iron-titanium field is located on an area of 5.8 square km, and has 45.14 million mt of estimated reserves of iron, 8.14 million mt of titanium dioxide, and 338,500 mt of vanadium oxide.