MOSCOW, July 4 (UPI) -- Russian billionaire Roman Abramovich intends to build a $500 million cement plant in the Ural Mountains, a regional official has confirmed.
The deputy head of the Perm Territory Yury Utkin said Millhouse Capital, the company that control Abramovich's assets, has plans to construct the new factory in the Russian territory, RIA Novosti reported Friday.
The plant, for which Abramovich has already bought a production license, is expected to produce 2 million metric tons of cement each year beginning in 2011.
While many experts applauded Abarmovich's plans, Unicredit Aton analyst Yelena Myazina said the current number of cement plants already in the territory could hinder the billionaire's success.
"Cement prices could plummet as new plants come into operation en masse," Myazina said.
The Russian news agency said cement prices in Russia have been falling since reaching $203 per metric ton in April.