OREANDA-NEWS. May 26, 2008. The company Russkaya Med (Russian Copper) is a joint venture between Russian Railways, the Ural Mining and Metallurgical Company (UMMC) and the state-owned company Vnesheconombank, reported the press-centre of Russian Railways.

Russian Railways President Vladimir Yakunin, who is attending the “Strategic Partnership 1520” forum in Sochi, said that the JV had submitted an application to participate in the tender to exploit the Udokan copper deposits to the Federal Agency for Subsoil.

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In April 2008, the Board of Directors of Russian Railways approved the establishment of the Open Joint Stock Company Russian Copper. Russian Railways owns 25,5% of Russian Copper, UMMC 49% and Vnesheconombank 25,5%.

If the jv wins the tender, it will be making a total investment of USD1,9 billion in the Udokan deposit over 17 years. The term of the project is for 25 years, the minimum payback period is 10 years.

Implementing the project will help Russian Railways to increase freight volumes on the Baikal-Amur Main Line, with more than 1,5 million tons of concentrates and copper, excluding construction and other goods.