Metinvest Mining and Metallurgical Company has promptly adapted its production processes to the war conditions, making railways and ports in Romania and Poland the main transportation channels, Metinvest Group CEO Yuriy Ryzhenkov said as quoted by a corporate publication.
He added that after the opening of the sea corridor from Odesa ports, the company began to use this opportunity as well.
Ryzhenkov emphasized that despite the challenges of the war, Metinvest has the status of the largest exporter. Thus, in 2024, the total volume of exports and sales of iron ore raw materials amounted to more than 12 million tons.
“We have fully returned to our operational efficiency improvement program. For example, we have reconfigured business processes to use our own raw materials. And by most indicators – namely technical, technological and production – we have returned to the best results of 2020-2021. We have significantly reduced production costs, and despite the fall in prices in 2024, our results for the first half of the year exceeded those of the first half of 2023,” Ryzhenkov stated.
Today, the company’s assets in Kryvyi Rih, Zaporizhzhia and Kamianske continue to operate. In 2024, the group’s production increased in several categories: iron ore by 42%, pig iron by 3%, and steel by 4%.
At the same time, it is emphasized that Metinvest remains a socially responsible business. Over the three years of the war, the company has allocated more than UAH 8.4 billion to help Ukraine, of which UAH 4.4 billion went to support the defenders of Ukraine under the Steel Front project. The main areas of focus include providing the army with equipment, ammunition and machinery, developing tactical medicine and creating defense lines.
In addition to military needs, Metinvest is involved in supporting humanitarian missions, helping hundreds of thousands of Ukrainians affected by the war. About 516,000 civilians have already received support under the Saving Lives initiative. With more than 50,000 active employees, the company ensures decent working conditions and takes care of its employees and their families, providing financial, psychological and other assistance as needed. The company employs more than 1,000 veterans, and it also implements programs for their adaptation to civilian life.
It is noted that last year Metinvest paid almost UAH 20 billion in taxes, making it one of the largest taxpayers in the country.
A separate emphasis is placed on the prospect of post-war recovery. The CEO outlined the company’s main ambition as turning it into one of the world’s leaders in green steel production that meets modern environmental standards. The first step towards this goal is the construction of a green steel plant in Italy. The project will serve as an example for the future modernization of Zaporizhstal and Kametstal.
“We have an $8 billion strategy for the green modernization of Ukrainian enterprises for 7-10 years. We are ready to launch this strategy as soon as the war is over and Ukraine receives security guarantees,” Ryzhenkov said.
Despite the war, Metinvest continues to invest in Ukrainian facilities: in 2024, the total investment reached $670 million. In 2025, the company also plans to invest billions of dollars in the development of production facilities in Kryvyi Rih, Kamianske and Zaporizhzhia.
At the same time, the group is actively preparing for Ukraine’s large-scale recovery after the war. The Group plans to participate in large infrastructure and industrial projects that will not only help rebuild destroyed housing and social infrastructure but also ensure their modernization.
“Metinvest is a vertically integrated group of steel and mining companies. Its enterprises are located in Ukraine – in Donetsk, Luhansk, Zaporizhzhia and Dnipro regions, as well as in Europe and the United States.
The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it. Metinvest Holding LLC is the management company of Metinvest Group.
Metinvest Mining and Metallurgical Group supplies steel products and cooperates with Italian shipbuilder T. Mariotti and steel construction manufacturer Cimolai. Mariotti and steel construction manufacturer Cimolai.
According to Metinvest, two twin ships – polar class expedition ships Seabourn Venture and Seabourn Pursuit – were built from Metinvest Trametal (Italy) steel for Seabourn Cruise Line.
It is specified that 10 thousand tons of Metinvest Trametal hot-rolled sheet were used for construction of Seabourn Venture and Seabourn Pursuit.
Seabourn Venture and Seabourn Pursuit are compact cruise ships with reinforced hull, which allows them to make voyages to the Arctic and Antarctic in the fall and summer seasons. They are equipped with modern equipment and technology, and each ship has two submarines on board. The ships are 172 meters long and 24 meters wide. They can accommodate 260 passengers and 120 crew members in 132 cabins.
Each ship has 10 decks, 8 of which are with passenger access.
It is also noted that the companies T. Mariotti and Cimolai have been cooperating with Metinvest for a long time.
“Metinvest is a vertically integrated group of mining and metallurgical enterprises. The group’s enterprises are located primarily in Donetsk, Luhansk, Zaporizhzhya and Dnipropetrovsk regions. The group has three rolling mills in Western Europe – Ferriera Valsider (Verona) and Metinvest Trametal (San Giorgio di Nogaro) in Italy and Spartan in the UK, as well as Promet Steel in Bulgaria.
The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it. Metinvest Holding LLC is the management company of Metinvest Group.
Metinvest Reduces Debt by $620 Million and Increases EBITDA in 2024Metinvest B.V. (Netherlands), the parent company of Metinvest Mining and Metallurgical Group, has reduced its debt by more than $620 million since 2022.
As Yuriy Ryzhenkov, CEO of the company, noted in the annual report, despite the anxiety and uncertainty of the war, there were achievements over the past year that demonstrate the group’s resilience and ability to develop in the face of challenges.
“Metinvest’s global team has shown extraordinary strength and unity. We have maintained our status as a leading exporter and pillar of Ukraine, and we remain among the largest donors to the country’s defense efforts.
In 2024, Metinvest felt the positive impact of operational changes made possible by the opening of Black Sea navigation. This significant event reinforced our results for the year. It is important that we have restored our operational efficiency,” stated the top manager.
According to him, when a full-scale war broke out in 2022, the company made efforts to rebuild its supply chains and business processes. By 2023, the company managed to adapt to the new realities, and in 2024, significant improvements in operating performance were achieved, amounting to more than $200 million.
“Even in wartime, Metinvest continued to reduce its debt. Despite all the uncertainty, the Group has repaid more than $620 million of debt since the start of the full-scale invasion, demonstrating our strong commitment to our partners. Together with our partners, we have also made progress on the Adria project, our plan to build a green steel plant in Piombino, Italy. It is poised to deliver significant benefits to all stakeholders by prioritizing innovative technologies and sustainable business practices,” Ryzhenkov emphasized.
At the same time, the CEO acknowledged that despite these very real achievements, the company also faced numerous challenges, including electricity shortages, underutilization of some production assets and margin pressure in the second half of the year. In addition, when the security situation deteriorated in late 2024, Metinvest decided to suspend production at Pokrovskugol.
“Like the rest of the world, we are closely following the latest news, including expectations about the potential for a ceasefire. No matter what happens in the coming weeks and months, we will maintain our unwavering faith in the Ukrainian Armed Forces and remain committed to Ukraine’s recovery. We honor our defense employees, whose number has grown to more than 8,000, including those with joint ventures,” the CEO wrote in his commentary.
As of December 31, 2024, total debt amounted to $1.705 billion (down 14% from $1.981 billion in 2023), mainly as a result of a strong campaign to reduce bond debt and the use of trade finance. Net debt to EBITDA decreased to 1.1x (down 0.5x yoy) and amounted to $1.048bn (down 21%, in 2023 – $1.335bn).
As reported, Metinvest’s consolidated net loss in 2024 increased sixfold compared to 2023 – to $1.152 billion from $194 million, revenue increased slightly to $8.050 billion from $7.397 billion, and EBITDA increased by 12% to $957 million from $861 million. At the same time, the steel sector’s revenue amounted to $4.824 billion ($4.846 billion in 2023) and the mining segment’s revenue amounted to $3.226 billion ($2.551 billion).
Adjusted EBITDA of the group’s steel division was $289 million ($159 million) and mining segment $768 million ($770 million). Metinvest’s operating loss in 2024 amounted to $938 million compared to $445 million in operating profit in 2023. In addition, free cash and cash equivalents increased slightly to $657 million from $646 million at the end of 2023.
“Metinvest is a vertically integrated group of steel and mining companies. Its businesses are located in Ukraine, in Donetsk, Luhansk, Zaporizhzhia and Dnipro regions, as well as in Europe. The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it. Metinvest Holding LLC is the management company of Metinvest Group.
Metinvest B.V. (the Netherlands), the parent company of a vertically integrated group of steel and mining companies, has paid a regular coupon on its 2027 Eurobonds and continues to meet its debt obligations, including to Eurobond holders, despite the war in Ukraine.
“We can confirm that the coupon was paid on time,” Andriy Burlakov, Metinvest Group’s press secretary, told Interfax-Ukraine in response to a query.
Coupon payments on the 2027 Eurobonds are due on March 1.
“On March 1 and September 1 of each year, starting from March 1, 2021,” the information on the payment of coupons on the 2027 bond states.
“Metinvest is a vertically integrated group of steel and mining companies. Its businesses are located in Ukraine, in Donetsk, Luhansk, Zaporizhzhia and Dnipro regions, as well as in the European Union, the United Kingdom and the United States.
The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it.
Metinvest Holding LLC is the management company of Metinvest Group.
Metinvest Mining and Metallurgical Group plans to invest almost UAH 5.7 billion in 2025 to develop its Kryvyi Rih mining and processing plants and UAH 2.5 billion in production at Kametstal (Kamianske, Dnipro region), despite the difficulties of wartime.
According to Yuriy Ryzhenkov, Metinvest’s CEO, this is a record amount in recent years, and a significant portion of it will be used to maintain the efficiency of key equipment and technological processes to ensure stable production.
The group’s press release states that its plants in Mariupol and Avdiivka were damaged by enemy shelling and the cities were occupied. Metinvest has also recently suspended operations at Pokrovske Coal Group due to the changing situation on the frontline, electricity shortages and the deteriorating security situation.
The rest of the Group’s assets in Kryvyi Rih, Zaporizhzhia and Kamianske continue to operate at varying levels of utilization, taking into account security, energy, logistics and economic factors. The priority is to take care of employees, and all of the group’s enterprises in Ukraine have bomb shelters.
The CEO added that over the three years of the full-scale invasion, the group has allocated UAH 8.4 billion to help Ukraine and its citizens, including UAH 4.4 billion for the needs of the army as part of the Rinat Akhmetov Steel Front military initiative.
“From the first day of the full-scale invasion and three years later, we continue to fight for Ukraine. Despite the challenges of wartime, Metinvest has managed not only to survive but also to maintain its status as an export leader, a pillar of the state, and one of the largest donors to the Armed Forces. All of this is thanks to the contribution of every Metinvest employee in Ukraine and abroad. We are united by a common goal – to bring victory closer by all means available. And after that, to become the foundation for post-war reconstruction,” Ryzhenkov said, as quoted by the press service.
It is emphasized that paying taxes is an important contribution to supporting the economy of Ukraine and the frontline regions. As of the end of 2024, Metinvest is the largest taxpayer in the mining and metals industry.
In addition, the Group has set up production for the army, is engaged in mine clearance, has launched mine trawls and allocated resources to purchase equipment, ammunition and machinery for the frontline.
“Metinvest is a vertically integrated group of steel and mining companies. The group’s enterprises are located mainly in Donetsk, Luhansk, Zaporizhzhia and Dnipropetrovs’k regions. The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it.
Metinvest Holding LLC is the management company of Metinvest Group.
In 2024, Metinvest Mining and Metallurgical Group significantly increased its total exports and sales of iron ore to more than 12 million tons and significantly reduced production costs, Metinvest CEO Yuriy Ryzhenkov said in an interview with Forbes Ukraine.
“We have fully returned to the operational efficiency improvement program. For example, we have reconfigured our business process to use our own raw materials. And by most indicators, I mean technical, technological, and production ones, we have returned to the best results of 2020-2021,” the CEO stated.
According to him, the main disadvantage is the electricity outage and problems with its import. Another problem is the increase in tariffs for the services of natural monopolists, primarily the increase in electricity transportation tariffs and logistics. In addition, the aggressor’s offensive towards Pokrovsk. As a result, the group was forced to suspend the mine’s operations due to the inability to ensure electricity supply and safety factors for employees.
“We were preparing for this and diversified our supply chain for the same coal – we contracted as much as we could from other companies and shipped it for Ukraine’s needs from our plant in the US. We will definitely not stop steel production because of the temporary shutdown of the Pokrovsk mine. But it will have a serious impact on the company’s economy. Instead of supplying coal via the nearest logistics route, from Pokrovsk to Zaporizhzhia and Kamianske, we will now have to buy coal all over the world, and the logistics component will have a significant impact on our production costs. In general, up to 10% of the cost of coal,” said the CEO.
Answering a question about Donald Trump’s economic policy and expectations for the consequences for the global economy, Ryzhenkov explained that “it is not really known which initiatives of Donald Trump are serious and which are working to raise rates or invite to a dialogue.”
“We see tumultuous actions that make waves in the entire global economy, currencies, and so on. How will it all end? When a major power like the United States turns to protectionism, it is a serious problem for the global economy and, by the way, for the United States itself. It’s just that they will feel the consequences later – in three to four years,” the top manager predicts.
In turn, he noted that Metinvest’s deliveries to the US are insignificant – not even within the margin of error: “The largest share is pig iron, which is not subject to duty, and I think this will not change – it is the raw material for the American economy.”
Speaking about staffing issues, the CEO said that more than 20% of the group’s employees, or 30% of those liable for military service, are currently mobilized. Ryzhenkov believes that we need a normal, well-thought-out reservation system that will allow us to work. Reservations are not a privilege for business, as some say, but an integral part of preserving the economic basis of the state’s defense capability. If the economy does not work, Ukraine will lose the war, despite the support of the West.
As for the export strategy, it has not changed much compared to the period before the full-scale war.
“There are our key markets – Ukraine, the EU countries, where we supplied more than 50% of our products before the full-scale invasion. And then there are all the others, the so-called balance markets, which are characterized by a more opportunistic approach to supply. When it’s profitable for us, we go there, and when it’s not profitable, we don’t go there,” the CEO stated.
The Group’s key markets for iron ore are the EU countries. And the company has expanded them, entering Scandinavia and the Nordic countries. What we cannot sell in the EU due to limited consumption volumes is sold to Southeast Asia: China, South Korea, and so on, said the company’s CEO.
“The main thing we have focused on is the production of iron ore with a higher iron content, which is now in demand. We have already mastered its production at our joint venture, Pivdennyi GOK. Before the full-scale invasion, we did it at our Central GOK,” explained the CEO.
Regarding the forecast – what factors will have the greatest impact on exports in 2025 and what are the potential critical risks – Ryzhenkov divides them into several blocks. The first is to maintain the competitiveness of Ukrainian producers in foreign markets. This requires that state-owned monopolies do not create additional tariff pressure on operating businesses.
The second is maintaining access to foreign markets (it is important to preserve the liberalization of steel trade with the EU, the US, and the UK) and strengthening sanctions against the Russian metals and mining industry, which continues to sell slabs and pig iron to the EU because of the position of certain countries.
The third is a consistent environmental and industrial policy of the state on eco-modernization and decarbonization. Ukraine needs a delay in the CBA because of the war. And confirming the criticality of booking and engaging veterans in the workforce will remain a relevant factor because of the risk of losing qualified personnel.
“As for new challenges, it is access to financing for modernization and green transition projects in the mining and metals sector, as well as ensuring stable demand for Ukrainian steel in the domestic market. But these topics are post-war, and we can talk about them separately when peace comes,” the expert believes.
Speaking about the energy independence of Metinvest’s enterprises, the CEO said that the group has its own generation, about 45-50 MW, which provides the most critical processes – about 10% of the company’s energy consumption. Another 40 MW of gas-fired generation is under construction, which will be commissioned in 2025, and solar panels are also being installed.
Regarding investments, the CEO emphasized that due to security risks, the company cannot invest in Ukraine as before. There were serious investment plans in Mariupol, Kryvyi Rih, Zaporizhzhia, and Kamianske. Nevertheless, in 2024, the total investment volume reached about $670 million at the group’s sites in Ukraine. This includes both OPEX and CAPEX. As soon as the company is able to attract financing, there will be plans for large projects.
This year, we also have many plans, for example, a tailings pulp thickening project at Northern GOK and the repair of blast furnace No. 9 at Kametstal are being implemented at our own expense. The volume of investments in these projects in Ukraine alone is about $50 million.
Investment plans abroad include the largest project for the coming years – the construction of a green steel plant in Italy. The estimated cost of the joint project is EUR 2.5 billion.
Among other potential acquisitions, the company is interested in Eastern and Southern Europe – regions where it is possible to create synergies with the group’s existing business processes and Ukrainian assets. The company may take part in a tender for the sale of the Polish plant Huta Chestochowa, which once belonged to the Industrial Union of Donbass.
“In Ukraine, we have a $8 billion strategy for the green modernization of Ukrainian enterprises for 7-10 years. We are ready to launch this strategy as soon as the war is over and Ukraine receives security guarantees,” Ryzhenkov added.
“Metinvest is a vertically integrated group of steel and mining companies. The group’s enterprises are mainly located in Donetsk, Luhansk, Zaporizhzhia and Dnipro regions. The main shareholders of the holding are SCM Group (71.24%) and Smart Holding (23.76%), which jointly manage it.
Metinvest Holding LLC is the management company of Metinvest Group.
