Pokrovskoye Mine Administration (Donetsk Oblast), the largest coking coal producer in Ukraine and a part of Metinvest Group, produced 3.5 million tons of coking coal in January-August this year.
“Since the start of the full-scale invasion, the miners’ work in Pokrovsk is a real feat. We have not stopped production for a single day. Despite the circumstances, the teams are working hard and achieving significant results. Since the beginning of this year alone, we have produced over 3.5 million tons of coal and sank more than 8 km of mine workings,” said Yuriy Ryzhenkov, CEO of Metinvest, during a visit to Pokrovskoye.
As reported earlier, Pokrovskoye produced 2 million tons of coking coal in 5 months of 2014.
“Metinvest has established Metinvest Pokrovskugol, which manages the enterprises of the Pokrovske Coal Group (PGC). The company includes, among others, Pokrovskoye Mine Administration and Svyato-Varvarinskaya Concentrator.
According to Metinvest Group’s annual report, in 2023 Metinvest’s revenue decreased by 11% to $7.397 bln by 2022, mainly due to lower steel, iron ore and coking coal selling prices, which were in line with global rates. Also, sales volumes of pig iron, slabs, flat and tubular products were affected by the war from the suspension of production at Mariupol steel mills. At the same time, Metinvest increased shipments of other products in its portfolio (primarily billets by 6%, long products by 28%, pellets by 70% and coking coal concentrate by 32%), as well as steel and coke resales on the back of higher production at Zaporizhstal.
A significant factor supporting iron ore sales in H2 2023 was the opening of the Black Sea corridor for sales to distant markets.
Also, Metinvest’s revenue in Ukraine grew by 14% to $2.628 bln mainly due to a recovery in demand for iron ore and coking coal, as well as for flat and long products.
In turn, the group has had to make profound changes to its business operations as it continues to strive for adaptability and resilience.
“We have adjusted our supply chain and are strengthening relationships with our suppliers and customers to withstand the current conditions. At the beginning of 2023, the company experienced significant challenges, particularly due to power outages. However, by implementing the necessary changes to respond to this crisis, we were able to achieve a gradual recovery of production,” states the CEO.
He emphasized that the resumption of Ukrainian commercial shipping in the Black Sea later in 2023 was an important moment for Metinvest, allowing to increase capacity utilization. “We are cautiously optimistic about this undoubtedly positive development, while recognizing the ongoing military threats,” the top manager added.
According to him, these developments have directly impacted the group’s financial performance, improving the situation and allowing us to focus on operational efficiency, flexibility and strategic planning for future growth.
“Metinvest remains committed to servicing its debt obligations, having repaid the remaining principal amount of the group’s 2023 bonds redeemed last year on time and in full, while maintaining its deleveraging approach, Ryzhenkov said.
“Although Metinvest has focused its investments in 2023 mainly on maintaining its assets, I firmly believe that we must start preparing for the future. Our ambitions have not diminished; we have laid the foundation for Steel Dream, our visionary vision for rebuilding Ukraine. Despite the war, our commitment to a green transformation strategy also remains unchanged. This vision embodies our determination not only to dream, but also to plan a pilot project on low-carbon steel technology in Italy,” summarized the CEO.
“Metinvest consists of mining and metallurgical enterprises located in Ukraine, Europe and the United States. Its major shareholders are SCM Group (71.24%) and Smart Holding (23.76%), jointly managing it.
COKING COAL, IRON ORE, METINVEST, PIG IRON, REVENUE, ROLLED PRODUCTS, slabs, STEEL
Ukrainian coke and chemical plants in January of this year imported 860,000 tonnes of run-of-mine coking coal and coal concentrate for coking, which is 5.2% more than in the same period last year.
According to an information statement of the Ukrmetalurgprom association on Monday, the supply of Ukrainian coal for this period amounted to 280,000 tonnes, which is 11.6% lower than in January 2021.
In general, in January 2022, Ukrainian coke and chemical plants received 1.14 million tonnes of coal for coking, which is 0.5% more than in January 2021. At the same time, the share of imported coal in the total supply amounted to 75.5% in January 2022 versus 72.2% in January 2021.
Some 772,000 tonnes of coke (106% compared to January 2021), including 668,000 tonnes of Ukrainian origin (95%), and 104,000 tonnes of imported coal (4.16 times more) were supplied to Ukrainian steel enterprises in the specified period. The share of imported coke in the total supply amounted to 13.47% versus 3.43% in January 2021.
In addition, last month, 237,000 tonnes of scrap metal were collected (78.2% compared to January 2021), of which 231,000 tonnes (81.3%) were supplied to Ukrainian consumers as imported. Export of scrap metal in January amounted to 6,000 tonnes (31.6% compared to January 2021).
It is noted that the provision of steel enterprises with Ukrainian iron ore raw materials in January 2022 was carried out in accordance with the needs of metallurgical production. There were no imports of iron ore. Export of iron ore for the first month of the year amounted to 3.85 million tonnes (104.3% compared to January 2021).
According to updated data of Ukrmetalurgprom, in January 2022, plants produced some 2.785 million tonnes of sinter (101.3% compared to January-2021), 807,000 tonnes of 6% moisture gross coke (95.5%), 1.786 million tonnes of cast iron (98.2%), 1.851 million tonnes of steel (100.7%), 1.672 million tonnes of rolled products (100.6%), and 91,000 tonnes of pipe products (168.2%).
As of February 11, 2022, of the main operating production facilities, 17 out of 21 blast furnaces, seven out of eight open hearth furnaces, 13 out of 16 converters, five out of 15 electric furnaces and 16 out of 17 continuous casting machines were in operation.
Coke and chemical plants of Ukraine in January-May of this year imported 4 million tonnes of raw coking coal and coking coal concentrate, which is 4.2% more than in the same period last year.
According to an information note of the Ukrmetalurgprom association, the supply of Ukrainian coal mined during this period amounted to 1.64 million tonnes, which is 8.6% more than in the same period last year.
In general, in January-May 2021, Ukrainian coke and chemical plants received 5.64 million tonnes of coal for coking, which is 5.4% more compared to January-May 2020. At the same time, the share of imported coal in the total supply amounted to 70.9% versus 71.8% in January-May 2020.
Some 3.424 million tonnes of coke (101.8% compared to January-May 2020) were supplied to Ukrainian metallurgical enterprises, including 3.346 million tonnes of Ukrainian origin (100.3%), and 68,000 tonnes of imported (4.53 times more). The share of imported coke in the total supply amounted to 1.99% versus 0.45% in January-May last year.
In addition, in January-May 2021, some 1.5 million tonnes of scrap metal were procured (134.8% compared to the same period in 2020), of which 1.354 million tonnes (123.5%) were supplied to Ukrainian consumers as imported. Exports of scrap metal in January-May 2021 amounted to 146,000 tonnes (887%).
It is noted that the provision of metallurgical enterprises with Ukrainian iron ore raw materials for the specified period was carried out in accordance with the needs of metallurgical production. The iron ore was not imported. Iron ore exports in January-May 2021 amounted to 18.54 million tonnes (98.2% compared to the same period in 2020).
According to the updated data of Ukrmetalurgprom, in January-May of this year, 14.029 million tonnes of sinter were produced (107.8% versus January-May 2020), 4.107 million tonnes of gross coke with moisture content 6% (102.2%), some 8.903 million tonnes of cast iron (109.1%), some 8.987 million tonnes of steel (108.3%), some 8.023 million tonnes of rolled products (108%), and 390,000 tonnes of pipe products (115.8%).
As of June 10, 2021, of the main operating production facilities 18 out of 21 blast furnaces, seven out of eight open-hearth furnaces, 14 out of 16 converters, five out of 15 electric furnaces and 16 out of 17 continuous casting machines were in operation.
Coke and chemical plants of Ukraine in January-April of this year imported 3.13 million tonnes of raw coking coal and coking coal concentrate, which is 1.9% more than in the same period last year.
According to the information report of the Ukrmetalurgprom association, the supply of Ukrainian coal mined during this period amounted to 1.27 million tonnes, which is 0.3% more than in the same period last year.
In general, in January-April 2021, Ukrainian coke and chemical plants received 4.4 million tonnes of coal for coking, which is 1.4% more compared to January-April 2020. At the same time, the share of imported coals in the total supply amounted to 71% versus 70.7% in January-April 2020.
Some 2.725 million tonnes of coke (101.3% versus January-April 2020) were supplied to Ukrainian metallurgical enterprises, including 2.683 million tonnes of Ukrainian origin (100.3%), and 42,000 tonnes of imported coke (2.8 times more than in January-April 2020). The share of imported coke in the total supply amounted to 1.54% versus 0.56% in January-April last year.
In addition, in January-April 2021, some 1.187 million tonnes of scrap metal were procured (130.1% compared to the same period in 2020), of which 1.1 million tonnes (122.1% compared to January-April 2020) were supplied to domestic consumers as imported. Exports of scrap metal in January-April 2021 amounted to 87,000 tonnes (750% compared to the same period in 2020).
It is noted that the provision of metallurgical enterprises with Ukrainian iron ore raw materials for the specified period was carried out in accordance with the needs of metallurgical production. The iron ore was not imported. Iron ore exports in January-April 2021 amounted to 14.21 million tonnes (92% compared to the same period in 2020).
According to the updated data of Ukrmetalurgprom, in January-April of this year, enterprises produced 11.037 million tonnes of sinter (107% versus January-April 2020), some 3.251 million tonnes of gross coke with moisture content 6% (101.1%), some 7.073 million tonnes of cast iron (109%), some 7.136 million tonnes of steel (107.2%), some 6.39 million tonnes of rolled products (107%), and 290,000 tonnes of pipe products (105.2%).
As of May 13, 2021, of the main operating production facilities 17 out of 21 blast furnaces, seven out of eight open-hearth furnaces, 12 out of 16 converters, five out of 15 electric furnaces and 15 out of 17 continuous casting machines were in operation.
Coke and chemical plants of Ukraine in 2020 imported 9.67 million tonnes of raw coking coal and coking coal concentrate, which is 6.4% less than in 2019.
According to the report of the Ukrmetalurgprom association on Monday, the supply of Ukrainian coal last year amounted to 3.62 million tonnes, which is 3.5% more than in 2019.
In general, in 2020, Ukrainian coke and chemical plants received 13.29 million tonnes of coking coal, which is 3.9% less compared to 2019. At the same time, the share of imported coal in the total supply amounted to 72.8% versus 74.77% in 2019.
Some 8.18 million tonnes of coke (92.7% compared to 2019) were supplied to Ukrainian metallurgical enterprises, including 8.03 million tonnes of Ukrainian origin (95.2%), and some 150,000 tonnes of imported (38.6%). The share of imported coke in the total supply amounted to 1.83% versus 4.41% in 2019.
In addition, over the past year, 2.929 million tonnes of scrap metal were procured (96% compared to 2019), of which 2.893 million tonnes (96.1% compared to 2019) were supplied to Ukrainian consumers as imported. Exports of scrap metal amounted to 36,000 tonnes (85.1%).
It is noted that the provision of metallurgical enterprises with Ukrainian iron ore raw materials for the reporting period was carried out in accordance with the needs of metallurgical production. The iron ore was not imported. Iron ore exports amounted to 46.23 million tonnes in 2020 (some 116% compared to 2019).
According to the updated data of Ukrmetalurgprom, in 2020 enterprises produced 31.91 million tonnes of sinter (103.3% over the same period in 2019), some 9.67 million tonnes of gross coke (96.1%), some 20.423 million tonnes of cast iron (101.8%), some 20.616 million tonnes of steel (98.9%), some 18.427 million tonnes of rolled products (101.2%), and some 850,000 tonnes of pipe products (83, 8%).
As of January 15, 2021, of the main operating production facilities, 17 out of 21 blast furnaces, seven out of eight open-hearth furnaces, 12 out of 16 converters, four out of 15 electric furnaces and 16 out of 17 continuous casting machines are in operation.
