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. Last Updated: 07/27/2016

Raspadskaya Repairs to Run $320M

Ria-Novosti / ReutersPutin laying flowers at a monument to victims of the Raspadskaya blasts as Governor Tuleyev looks on Thursday.

Repairs at Raspadskaya’s largest mine will cost 10 billion rubles ($320 million) — a price tag that will be borne largely by stakeholders, Prime Minister Vladimir Putin said Thursday.

"This is a big burden on stockholders and owners. They'll have to pay this from their own pockets," Putin said, Interfax reported. He added that the government would help if it were absolutely necessary.

About 80 percent of the company is owned by its management and steelmaker Evraz, while the rest traded on exchange.

Twin blasts ripped through Russia's largest underground mine in May, killing 90 workers and rescuers. Restoring the mine, which employed about 4,000 people, could take 12 to 15 months, according to Energy Ministry estimates.

The 10 billion ruble figure significantly exceeds the estimate given last month by Kemerovo region Governor Aman Tuleyev, who said repairs would run about 5 billion rubles.

Raspadskaya deputy chief executive Alexander Andreyev said Thursday that the miner was in talks with banks over financing the repairs, but that the company had no need to run to the capital market immediately.

The authorities may introduce import subsidies for equipment necessary to ensure the safety of the mine, but Raspadskaya is expected to increase its investment in safety, Putin said during a visit to the mine in Novokuznetsk.

Putin urged a quick passage of legislation that would create a system of public insurance for dangerous workplaces.