The Japanese trading company Sumitomo Corporation (Sumitomo) has stated that it is still interested in acquiring a stake in the huge Elga coal deposit, located in the Russian federal republic of Sakha Yakutia (Yakutia), to guarantee stable thermal and coking coal supplies to the Japanese market.
Sumitomo was one of the bidders in the auction held in early October for a 68.86 percent stake in Elgaugol and a 75 percent minus one share stake in Yakutugol, which was won by the Russian steel producer Mechel.
Mr. Toru Furihata, executive officer of Sumitomo, said that the deposit in question not only has very large resources, but is also located in proximity to Japan - an issue which is becoming increasingly important as freight rates soar.