Russia's Severstal Agrees To Buy U.S. Coal Miner.

The article reports on the acquisition of U.S. coal miner PBS Coals Corp. by Russian steelmaker OAO Severstal for $1.3 billion. The mines operated by PBS in Pennsylvania are able to produce more than four million tons of metallurgical coal a year from reserves of 228.3 million tons. The steelmaker is purchasing PBS through the Canadian capital pool fund called Penfold Capital Acquisition Corp. for $7.95 a share. The deal will allow Severstal to source 40% to 50% of its U.S. metallurgical coal needs from its own facilities.