Coking Coal Mine Privatization On The Way.

According to new Prime Minister Viktor Yanukovich, the Cabinet is ready to begin privatizing coking coal mines. Yakukovich said the mines will receive the greatest economic boost if they were included into vertically integrated steel holdings along with coke producers. Eugene Cherviachenko: We believe that the Cabinet, spurred by lobbying from owners of steel and mining assets in Donetsk, will start privatization in late 2006-early 2007. We expect the new owners to increase coking coal output to satisfy growing demand from coke producers. This is also good news for domestic coal machinery producers who will likely see new orders as former state-owned mines are modernized.