Georgia is to sell the Vartsikhe hydroelectric power plant to the UK-based steel producer Stemcor UK Limited.

According to the Interfax news agency the sales price will be US$57M. Georgia’s Economic Development Minister, Iraklii Chogovadze, said that the plant is being sold because Stemcor’s Zestafon plant needs regular electricity supplies.

The Vartsikhe plant is expected to be amalgamated with the Zestafon plant and a manganese ore producer.