Mechel ready to cooperate with Russian authorities; shares surge

Tag : Raw Materials
Mechel OAO on Friday issued itsfirst official statement following Russian Prime Minister VladimirPutin's criticism of the mining company's pricing policies.
Moscow-based Mechel said in a statement that 'it shares theconcerns of the government of the Russian Federation, steel plantsand metallurgical industry in regard to the growth in prices forsteel products and raw materials in the recent time.'
According to media reports, Putin said Thursday that Mechel isselling raw materials for twice the price at home as it doesabroad.
'Mechel is ready for cooperation with federal authorities of theRussian Federation and, if required, will provide completeinformation on any arising issues,' the company's statement said.
Shares of Mechel surged 14% to $26.13.