According to local media reports, Russian steel producer Magnitogorsk Iron and Steel Works (MMK) has submitted an application to the Russian Federal Antimonopoly Service (FAS) to double its stake in Russia's coal mining company Belon Group (Belon), from the current 41.3 percent to around 80 percent, in order to increase its self-sufficiency in coking coal.
82.608 percent of ordinary shares are in Belon are currently held by Cyprus-based Onarbay Enterprises Limited, in which MMK holds a 50 percent stake. In March 2008, MMK increased its indirect ownership in Belon from 10.8 to 41.3 percent for a consideration of $230.4 million.
Experts have stated that, if operating at its full capacity, Belon may secure about 70 percent of MMK's requirements in coal.