The Russia-based, world's largest palladium and nickel producer Norilsk Nickel has won a license to develop the Siradasaysky coal deposit in Taimir. The deposit in question holds in reserves an estimated 5.7 billion mt of coal, including five billion mt of coking coal.
Norilks Nickel has also stated that it will invest about $1.5 billion in the development of this deposit. The company plans to complete the study of the deposit by 2013 and by 2016 it plans to commission production at a coal enrichment plant, producing12 million metric tons of coking coal a year. Norisk Nickel plans to supply the main part of its coking coal output to the Russian domestic market.
Meanwhile, the acquisition of the coking coal deposit adds additional value to Norisk Nickel in the possible bid for the company submitted by Metalloinvest. If Metalloinvest is successful in its quest to acquire Norilsk Nickel, it may add this large coking coal asset to its iron ore empire.