OREANDA-NEWS. On November 29, 2007 in line with the decision which was made in September to expand cooperation between SCM Group and Smart-Holding in the area of metals and mining business, an 82,46% shareholding of 2,269 million shares of Ingulets Iron Ore Mining and Preparation Works (Krivoy Rog, Dnepropetrovsk oblast) has been transferred from Smart-Holding to Metinvest Group, which exercises strategic control over SCM’s metals and mining business, reported the press-centre of SCM Group.

“We take consistent steps to implement the plan of consolidation of metals and mining assets of SCM and three companies of Smart-Holding. We are planning to complete this programme by the end of first quarter of 2008. As a result of this merger Smart-Holding will become the second owner of Metinvest” – Igor Syry, the General Director of Metinvest said.

According to Mr Syry, Ingulets GOK (Ukrainian abbreviation for iron ore mining and preparation works) is among the companies with the biggest potential in the industry, and Metinvest has commenced preparation of the development plan for the company as a part of Metinvest vertically-integrated structure. But now it is already clear that most investments will be made in increase of output and further improvement of quality of its products. Further action programme will be designed with consideration of interests of the employees of the company, as well as its partners, clients and investors.

The output at InGOK is planned to be increase by 5% as soon as in 2008.

Around $200 million will be invested in the company in 2008.