Read the following:Moscow Times throws some more light on...

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Moscow Times throws some more light on possible counter bids:

Market watchers predicted that Xstrata would make a counterbid.

"It is possible that Xstrata may counter Norilsk's offer, driving the price of LionOre higher," said Michael Kavanagh, metals and mining analyst at UralSib.

Vladimir Katunin, a metals analyst with Aton, said there was still room for other market players to beat Norilsk's offer, saying that the price tag could rise by as much as 20 percent.

Renaissance Capital said in a note to investors Thursday that it expected Xstrata to counterbid with an offer of about 25 Canadian dollars per share within five working days.

LionOre would give Norilsk much-needed geographic diversification, an enhanced growth profile, access to new technologies and a greater share of the global nickel market, Kavanagh said.

Deutsche UFG said in a research note Thursday that the acquisition "would increase Norilsk's share in global nickel production from 18 percent in 2006 to around 23 percent in 2007 and would help to keep it in the No. 1 position on the global nickel market."

But Aton's Katunin doubted that the acquisition would give Norilsk greater influence over world nickel prices or help it fend off challenges to its global leadership.

"LionOre does not produce a finished product as Norilsk does, meaning that Norilsk's market valuation will remain the same after the acquisition," he said.

Even after buying LionOre, Norilsk would need to stretch hard to match the growth prospects of its main global rivals, BHP Billiton and Brazil's Companhia Vale do Rio Doce, Katunin said.