Cabinets Plans KGOKOR Tender.

The acting government on Friday decided to hold a competitive tender for the right to take over the unfinished KGOKOR iron ore mill, stepping away from recommendation by a State Property Fund commission to negotiate directly with a Russian consortium based on its already submitted proposal. Potential buyers will be required to allow the government to maintain a controlling stake in the company, to bring KGOKOR into operation within one year of buying in, to have it working at full capacity within three years, and to commit to provide ore to the Ukrainian market at “domestic prices.”  The bidder who meets these conditions and offers the most investment would win the tender. The Industry Ministry said more details of the requirements for potential buyers would be released after a July 13-14 meeting with potential investors. Russian oligarch Alisher Usmanov’s Metalinvest, Mittal Steel, Poltavsky GOK, the Industrial Union of the Donbass and System Capital Management have expressed interest in bidding. Andriy Gostik: It’s hard to judge whether this decision will hold while there is so much uncertainty about the future government.