Vedomosti citing Mr Maxim Finsky president of Intergeo as saying that Intergeo a Russian company that manages the mining projects of billionaire Mr Mikhail Prokhorov Onexim Group investment firm has bought a 51% stake coal producer Kolmar from two offshore funds.

Mr Maxim Finsky said the sellers were Cyprus registered Magora Trading which held a 33% stake and Saybrook Capital, registered in the British Virgin Islands, which owned 18%. He said he didn't know who the beneficiaries of the sale were.

The newspaper says Kolmar until recently was headed by Mr Lev Kuznetsov who in February was appointed governor of the Krasnoyarsk territory in Siberia.

Intergeo had announced its Kolmar purchase recently without disclosing financial details. It did say, however, that it may conduct an initial public offering of its shares by 2011.

Mr Finsky, the newspaper says, called the deal very profitable for Intergeo. He said that "This is a good acquisition that will diversify the company asset portfolio. High quality coking coals are highly valued in the market and prices have just started rising."

Mr Sergei Nauman CEO of Kolmar declined to comment.

(Sourced from Vedomosti)