The Lenenergo grid company has appealed in a federal commercial court the judgment to collect USD 545,000 for the Severstal steel and mining company.

The company has challenged the Thirteenth Commercial Appeals Court's December judgment to revise the previous decision passed by the St. Petersburg and Leningrad Regional Commercial Court.

The court earlier fully satisfied Severstal's lawsuit to recover from Lenenergo RUB 25.36 million (USD 843,000) for failing to connect the company to its grid in a timely manner between December 17th 2009 and February 16th 2010.

The higher court cut the penalty, which cannot exceed 30% of the connection contract amount of RUB 226.44 million (USD 7.5 million) by law. The maximum penalty is RUB 67.93 million (USD 2.25 million).

Severstal is one of the world's leading vertically integrated steel and steel related mining companies, with assets in Russia, North America and Europe.

Lenenergo is one of the largest power network companies in North-Western Russia. Its transmission lines stretch for 35,967 kilometers.

(Sourced from rapsinews.com)