Evraz, Mitsui to jointly develop coal deposit in Yakutia

Russian Evraz Holding and Japanese Mitsui Co. have agreed to jointly develop the Denisovskoe coal deposit in Yakutia. Under the agreement, Mitsui received 30 percent of Evraz's Neryungiugol Company, which holds the license to develop the deposit. The deposit holds 70-80 million metric tons of K brand coking coal. The production at Denisovskoe coal deposit is planned to start in the second half of 2006, reaching a full capacity of 2.4 million metric tons per year in 2008. The coal, produced at the deposit, will be mainly exported to Japan. According to the market sources, the deal cost Mitsui approximately $70 million.