Banja Luka, May 01: The London-based group LNM, owned by NRI steel baron Lakshmi Mittal, said today it had bought a 51-per cent stake in Bosnia's northwestern Ljubija iron mine forming a joint venture, the new Ljubija iron mine.
The LNM Group, the world's second-biggest steel producer, will pay 25 million convertible marks (USD 15.1 million) this year, and another 26 million convertible marks within the next three years, a company's official said.
The new Ljubija iron mine is planning to produce one million tonnes of iron ore in 2005 and 1.5 million tonnes in 2006.
LNM will also pay to all 1,100 workers three years of pay arrears.
The mine has not worked for the past 11 years owing to Bosnia's 1992-95 war and difficult economic situation afterwards.
Before the war it produced 3.5 million tonnes of iron ore per year.
Bureau Report
