16 January 2016
Canada based Black Iron bought 49% of shares in Black Iron Ltd (Cyprus) from Metinvest as being reported by the Canadian company. Company’s assets in Ukraine are valued about USD 5,6 million.
After the transaction is finished, Black Iron (Canada) will be able to release cash funds held on the accounts of BKI Cyprus. Black Iron will be able to buy promising assets to generate cash flow in the coming years.
Allegedly Victor Pinchuk sold Black Iron (Cyprus subsidiary of Geo Alliance Group Limited) in 2010 for USD 13 million. After that, Black Iron renamed the purchased asset to BKI Cyprus.
Shimanovskoe iron ore deposit site is located among other five mining companies, which include ArcelorMittal facilities. Easy access to electricity network, railway and port infrastructure will allow Black Iron to complete the project in a relatively short period of time.
Black Iron Cyprus Ltd holds 100% shares in “Shimanovskoe Still” LLC and “Zelenovskoe Still” LLC both located in Dnepropetrovsk region. Those two Ukrainian companies hold Shimanovskoe and Zelenovskoe iron ore deposits development licenses.