Larry King: Dnipropetrovsk region attractive for investment
Larry King, who was hired by as an advisor by Canada’s Black Iron with assets in Ukraine, has highly praised the investment attractiveness of Dnipropetrovsk region.
DNIPROPETROVSK – Larry King, the well-known U.S. television and radio host, who was hired by as an advisor by Canada’s Black Iron with assets in Ukraine, has highly praised the investment attractiveness of Dnipropetrovsk region, reads a statement of Dnipropetrovsk Regional State Administration with reference to the results of a meeting between King and Dnipropetrovsk region Governor Oleksandr Vilkul.
“Dnipropetrovsk region is very interesting to investors and has great development potential. Its natural resources and developed human potential make it one of the most attractive areas for making investments,” the press release cited King as saying.
During a meeting, King and Vilkul discussed the issue of drawing in foreign investment, in particular U.S. investment, to the region’s industry, as well as the region’s development and the level of awareness of the region abroad.
“We did not touch political issues – we discussed the strategic development of successful territories, in particular, Dnipropetrovsk region. We raised the issue of attracting U.S. investments to Dnipropetrovsk region, in particular, its industry,” Vilkul told Interfax-Ukraine.
Black Iron has retained the services of King, an internationally recognized media host, to provide international advisory and awareness services.
“His connections and experience will help Black Iron on many fronts, including through raising the profile of Ukraine and Black Iron’s project as attractive investment opportunities,” Matt Simpson, President and Chief Executive Officer of Black Iron, said when commenting on the appointment.
In October 2010, Black Iron acquired Geo-Alliance Ore East Limited, a Cyprus-based subsidiary of Geo Alliance Group Limited of EastOne Investment Group belonging to Ukrainian businessman Victor Pinchuk, together with licenses for $13 million, and renamed it Black Iron (Cyprus) Ltd.
The Cypriot company owns over 99% of the shares in Shymanovske Steel Ltd. and Zelenovske Steel (both based in Dnipropetrovsk), which own licenses to exploit iron ore mines for the period until Nov. 1, 2024 and Nov. 1, 2014 respectively.
In late March 2011 Black Iron conducted an IPO on the Toronto stock exchange (TSX) and raised CAD 35 million ($37 million).
The company’s assets as of late H1, 2011 came to $64.86 compared to $29.7 million as of early 2011. Black Iron saw $2.94 million in net losses in H1, 2011, including $1.51 million in the second quarter of 2011.
The total estimated capital costs for Black Iron’s Shymanivske Iron Ore Project located in Kryviy Rih, Ukraine amount to some $900 million.