Business news from Ukraine

UKRAINIAN BIOPHARMA STARTS PRODUCTION OF POTENTIALLY EFFECTIVE DRUG AGAINST CORONAVIRUS

Biopharmaceutical company Biopharma (Kyiv) has started the production a hyperimmune globulin drug, potentially effective against coronavirus (COVID-19) disease, the drug is to be produced at the end of February.
The first fusion of plasma with antibodies against COVID-19 in the amount of 2,100 liters took place on January 25, the company said in a press release.
“The product will be supplied to the finished goods warehouse at the end of February. Further, the drug is tested in an independent French laboratory, which in March must confirm the antiviral activity of the drug,” the press release said.
The company said that in case of a positive conclusion of the European laboratory, Biopharma will be able to start clinical trials of the drugs in Ukraine.
The collection of plasma with antibodies against COVID-19 started in the spring of 2020 in cooperation with the CoVIg-19 Plasma Alliance, of which Biopharma is a member. The goal of the alliance is to accelerate the development and provide reliable and sustainable treatment for people with complex coronavirus disease.
In October 2020, within the framework of the alliance, the third phase of a clinical trial of inpatient treatment with anti-coronavirus immunoglobulin started.
The results of clinical trials are planned to be published in April 2021. If the trials are successful, the new treatment could provide hope for those suffering from serious health consequences from COVID-19.
“To date, thanks to caring donors in Ukraine, it has been possible to collect about 10,700 liters of plasma from those who have overcome COVID-19. This amount of plasma will save hundreds of lives of Ukrainians. We thank every donor who has shared his part of antibodies to help seriously ill patients. And we continue to appeal to those who are not indifferent, to become plasma donors for the creation of vital drugs,” President of the company Kostiantyn Yefymenko said.
As reported, the CoVIg-19 Plasma Alliance was formed in April 2020 to fight the COVID 19 pandemic and to help develop potential plasma therapy for people who are prone to serious complications from COVID 19.
Biopharma is a Ukrainian biotechnology company, the only plant in Eastern Europe that has modern technologies, has been producing and developing drugs from donor plasma for almost 50 years.
The company is focused on providing medicines to Ukraine and on a contract basis, supplies its products to more than 30 countries around the world. In the fall of 2019, Biopharma moved its production to a new research and production complex in Bila Tserkva.
The company is developing a network of its own plasma centers. The company’s investments in this area of activity amounted to more than $10 million.

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INTERPIPE CUTS PRODUCTION IN 2020

The international vertically integrated pipe and wheel company Interpipe in 2020 reduced steel output by 11.2% compared to the previous year, to 758,700 tonnes.
According the company’s monthly report, the production of pipes in 2020 decreased by 20.9%, to 464,000 tonnes and the production of railway products, by 8.3%, to 190,600 tonnes.
In December, steel output amounted to 61,800 tonnes, output of railway products to 16,500 tonnes, and pipes to 38,400 tonnes.
It is also reported that in 2020 pipes were sold in Europe (29%), the MENA (Middle East and North Africa) region (24%), Ukraine (22%), the CIS (11%), the American continent (11%) and other regions (3%). In December, pipes were sold in Europe (21%), Ukraine (28%), the MENA region (20%), the CIS (9%), the American continent (18%) and other regions (4%).
Railway products last year were sold in the CIS (43%), Europe (35%), Ukraine (14%), the MENA region (4%), the American continent (3%) and other regions (1%). In December, railway products were sold in the CIS (46%), Europe (27%), Ukraine (16%), the MENA region (5%), the American continent (5%) and in other regions (1%).
According to Interpipe’s commentary, sales of most of the company’s products rose in December amid a recovery in the global economy and markets, despite stricter lockdowns in some countries.
Total pipe sales in December 2020 grew 37.2% compared to November 2020, surpassing pre-coronavirus (COVID-19) monthly sales in the fourth quarter of 2019 and the first quarter of 2020. However, year-over-year sales for the 12 months of 2020 were still lower, less by 21% compared to 2019.
Oil country tubular goods (OCTG) sales, after a 142.4% rise in November versus October, grew by 29.8% compared to November amid intensive drilling activity worldwide and optimistic expectations for COVID-19 vaccines and exceeding the threshold of $50 per barrel of crude oil for the first time since March 2020.
Sales of general purpose pipes in December increased by 8.1% versus November due to sales growth in Turkey, the United States and Belarus, while sales of welded pipes fell by 34.1% compared to November in all regions due to unfavorable market conditions.
At the same time, sales of railway products in general over the past year decreased by 5.4%. At the same time, it is noted that the total sales of wheelsets in 2020 increased significantly by 32%.
Interpipe is a Ukrainian industrial company, a manufacturer of seamless pipes and railway wheels. The company’s products are supplied to more than 80 countries around the world through a network of sales offices located in the key markets of the CIS, the Middle East, North America and Europe.

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JKX REDUCES AVERAGE DAILY HYDROCARBON PRODUCTION BY 5% IN 2020

JKX Oil & Gas with assets in Ukraine and Russia in 2020 reduced average daily production of hydrocarbons by 5% compared to 2019, to 10,238 barrels of oil equivalent per day (boepd), the company said on the website of the London Stock Exchange.
Production in Ukraine decreased by 13%, to 4,849 boepd, in particular gas production fell by 15%, to 653,000 cubic meters per day (Mcmd), while oil and condensate by 5%, to 1,007 boepd.
Production of hydrocarbons in Russia increased by 4% and amounted to 5,389 boepd, in particular gas production to 905,000 cubic meters per day, condensate to 61 boepd.
JKX points out that in the fourth quarter of last year, compared to the previous quarter, production decreased by 4%, to 9,825 boepd due to a drop in production in Ukraine by 8%, to 4,351 boepd. In particular, gas production in Ukraine fell by 7%, to 592,000 cubic meters per day, oil and condensate by 10%, to 965 boepd.
JKX notes that the reduction in production is associated with a significant reduction in drilling and workover, but indicates that two new wells were drilled in Ukraine in the fourth quarter – IG146 on Ihnativske field with a current flow rate of 6 million cubic meters per day and 35 boepd and the side part of NN75 on Novo-Mykolaivske field with a current flow rate of 80 boepd.

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FERREXPO RAISES PRODUCTION OF PELLETS

British-based Ferrexpo Plc, which in Ukraine, in particular, controls Poltava and Yeristovo ore mining and processing plants (Poltava GOK and Yeristovo GOK), in January-November of this year, according to recent data, increased the total production of pellets by 5% compared to the same the period of 2019, to 10.16 million tonnes.
A representative of the company informed Interfax-Ukraine that during this period the output of concentrate increased by 4.8%, to 12.7 million tonnes.
In November, the company produced 980,000 tonnes of pellets and 1.2 million tonnes of concentrate.
According to the company, Ferrexpo in the first quarter of 2020 compared to the same period in 2019 increased its total pellet production by 7.4%, to 2.725 million tonnes. In particular, the production of pellets with a 65% iron content was 2.652 million tonnes (an increase of 9.1%), with a 62% iron content some 73,330 tonnes (a decrease of 31.8%).
In the second quarter of this year, Ferrexpo increased its pellet production by 5.4% from the previous quarter, to 2.873 million tonnes, in particular it produced 2.848 million tonnes of pellets with a 65% iron content (an increase of 7.4%), 24,700 tonnes with a 62% iron content (a decrease of 66.3%).
In the third quarter of 2020, total pellet production decreased by 12% compared to the second quarter, to 2.537 million tonnes from 2.873 million tonnes, while no pellets with a 62% iron were produced.
Ferrexpo is an iron ore company with assets in Ukraine.
Ferrexpo owns 100% of shares in Poltava GOK, 100% in Yeristovo GOK and 99.9% in Belanovo GOK.

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BIOPHARMA CANNOT INCREASE BIOVEN PRODUCTION DUE TO LACK OF PLASMA DONATION CULTURE IN UKRAINE

The biopharmaceutical company Biopharma (Kyiv) is limited in possibilities of increasing production of the Bioven medication (immunoglobulin) due to the lack of plasma donation culture in Ukraine and the lack of plasma, Oksana Plotnikova, director of strategic development at Biopharma, has said.
“We would like to expect an increase in Bioven production, which is why we are creating plasma centers to increase donor activity among the population. We have many blood donors, but the country does not have a culture of plasma donation for fractionation,” she said at a press conference on the completion of clinical trials of the Bioven drug in the complex therapy of patients with coronavirus disease (COVID-19) on Wednesday.
Plotnikova said that as the world completes clinical trials confirming the effectiveness of drugs based on blood plasma in treatment of COVID-19, the demand for such drugs, and, therefore, plasma will grow.
“We are on the verge of the fact that many countries – Canada, Europe – will restrict imports. There will be no imported drug in the country,” she said.
Plotnikova reported that “Ukrainian donors today do not donate the amount of plasma that could meet the needs of Ukraine.”
“Today, in order to provide Ukraine, we buy plasma from the United States, Slovakia. We cannot buy Indian or Vietnamese plasma, because we do not buy plasma that is not standardized under European standards,” she said.
Plotnikova said that Biopharma actively cooperates with communal blood centers, “so that communal stations develop, reconstruct and procure not only blood components for hospitals, but also plasma for fractionators to provide Ukraine with drugs.”
“The demand for intravenous infusion of immunoglobulin G, and subsequently convalescent plasma and hyperimmune immunoglobulin, is obvious. Today we see and understand that the real effectiveness of the drug makes it possible to save lives, which means that the need is growing,” she said.

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INTERPIPE STEEL REDUCES STEEL PRODUCTION BY 14%

Electric steelmaking complex Interpipe Steel of the international vertically integrated pipe and wheel company Interpipe (Dnipro) in January-October of this year reduced steel production, according to operational data, by 13.9% compared to the same period last year, up to 641,000 tonnes.
As the Interfax-Ukraine agency was informed in the company, 62,800 tonnes of steel were produced in October.
As reported, Interpipe in 2019 reduced steel production by 4.2% compared to the previous year to 854,500 tonnes.
Interpipe is a Ukrainian industrial company, a manufacturer of seamless pipes and railway wheels. The company’s products are supplied to more than 80 countries around the world through a network of sales offices located in the key markets of the CIS, the Middle East, North America and Europe. In 2019, Interpipe sold 823,000 tonnes of finished products, including 202,000 tonnes of railway products. Railway products are sold under the KLW brand.
Interpipe employs 11,000 people. In 2019, the company transferred UAH 3.25 billion to the budgets of all levels.
The company includes five industrial assets: Interpipe Nyzhniodniprovsky Pipe Rolling Plant, Interpipe Novomoskovsk Pipe Plant, LLC Interpipe Niko-Tube, Dnipropetrovsk Vtormet and Dniprostal Steel Complex under the Interpipe Steel brand.

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