ArcelorMittal in talks over Russia plant - source

ST PETERSBURG, Russia (Reuters) - ArcelorMittal, the world's top steel maker, is considering building its first factory in Russia, a local official told Reuters on Friday.

"I can confirm the fact that we were in talks with ArcelorMittal and the firm is examining some options where to build a factory," said Sergey Kuklin, an official in the Leningrad regional government.

The company is considering some construction sites in and around Russia's second city of St Petersburg, known as Russia's Detroit for hosting the plants of global carmakers such as General Motors Corp, Ford Motor Co and Toyota Motor Corp, a source close to the situation said.

"First of all they are interested in producing steel plates and pressed parts for the automotive industry. St Petersburg is a good place because of a big sea port and the ease of importing steel," the source said.

Corus, the Anglo-Dutch steel maker owned by India's Tata Steel, last year announced plans to start steel plate output in Russia in 2009.