Mechel acquires scrap processing company

On April 27, Mechel, one of the leading steelmaker in Russia, announced the acquisition of 100 percent of shares in Metals Recycling, a Chelyabinsk-based metal scrap processing company through its subsidiary, Mechel Service, for approximately $6 million. Metals Recycling is a full scale scrap collector and processor, which produced 178,000 tons of scrap in 2005. The transaction is a part of Mechel's policy to ensure its steel segment's self-sufficiency in raw materials.