"A corresponding agreement was signed today between the investor company and the region's administration. The new facility will produce 1 million metric tons of steel per year. The project's first stage will require about $100 million in investment. A feasibility study for the second stage will be started in the near future," Andrei Loshakov said.
Loshakov said work at the construction site near Tver, located 150 km (93 miles) northwest of Moscow, would begin in the second quarter of 2008 and that the facility would be put into operation in early 2010.
"The metals factory will create 200 new jobs and indirectly employ an additional 400 staff. The factory will be a modern, hi-tech and environmentally friendly enterprise," Loshakov said.
Arcelor Mittal, the world's largest metals holding company, controls 10% of global steel output. The company was formed through the merger of Arcelor and Mittal Steel in 2006.
Indian billionaire industrialist Lakshmi Mittal is president of Arcelor Mittal and holds a controlling interest in the company.
