KIEV, April 11 - Shares in two pipe mills controlled by Ukraine's Interpipe Corporation surged 3%-7% on Tuesday on reports that Interpipe was discussing a possible merger with Russia's Pipe Metallurgical Company (TMK), one of the world's largest steel pipe producers.

Share prices in Interpipe's Nyzhniodniprovsky and Novomoskovsky pipe mills also benefited from recent decisions by shareholders to pay dividends, Oleh Morkva, general director of asset management firm Ineco-Invest, told Interfax-Ukraine.