[miningmx.com] — SEVERSTAL, Russia’s second largest steelmaker, said on Monday that it had reached an agreement to acquire the remaining 38.5% stake in the Putu iron ore project from Afferro for $65m, as well as possible future payments.
Severstal, which already owns 61.5% of the Liberian project, will make the payment by February 18, 2012.
The company, controlled by billionaire Alexei Mordashov, could also pay an additional $50m to an Afferro subsidiary after a definitive feasibility study of the mine is completed.
If Afferro does not demand the payment, it is eligible to receive future compensation.
Earlier, Putu’s iron ore reserves were estimated at 2.4 billion tonnes.
