Business news from Ukraine

COAL STOCKS IN THERMAL POWER PLANTS’ WAREHOUSES IN SEPT GROW BY 55.7%

Coal reserves in the warehouses of thermal power plants (TPP) of Ukraine’s energy generating companies as of September 23, 2019, totaled 1.072 million tonnes, which was 55.7% (383,700 tonnes) more than in early September, but 36.9% (626,000 tonnes) down year–over–year, according to the Energy and Environment Protection Ministry.
Interfax-Ukraine’s estimates show that since the start of autumn, anthracite coal reserves in thermal power plants’ warehouses have increased by 12.3%, or by 29,200 tonnes, to 265,800 tonnes (31.1%, or 63,100 tonnes up year-over–year). Gas coal reserves for the reporting period have grown by 78.4%, or 354,400 tonnes, to 806,200 tonnes (46%, 689,100 tonnes, down year-over-year.
Anthracite and gas coal reserves in the warehouses of cogeneration plants (CHPP) from the beginning of the month have increased by 2.4%, or 33,100 tonnes, to 131,400 tonnes. However, this is 54.1%, or 155,000 tonnes, down on last year’s reserves.
As reported, consumption of thermal coal by Ukraine’s TPPs and CHPPs in 2018 grew by 5.7%, or 1.409 million tonnes, compared to 2017, to 26.22 million tonnes.

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DTEK CUTS COAL IMPORTS BY 33.6%

DTEK Group through January-June 2019 reduced coal imports by 33.6% (501,400 tonnes) compared to the same period last year, to 991,300 tonnes, according to a press release from the company.
In the first half of the year, DTEK enterprises decreased production of coal by 2.5% compared to the same period of 2018, to 12.571 million tonnes.
In particular, the production of G and DG grade coal (Ukraine) for the first sixth months of 2019 decreased by 0.9%, to 11.325 million tonnes. Production of A grade coal by Obukhovskaya mine (the Russian Federation) for this period decreased by 14.8%, to 1.246 million tonnes.
Concentrate output fell by 5.5%, to 5.485 million tonnes. In particular, output at third-party processing plants in Ukraine fell by 85.2%, to 72,200 tonnes, while at Obukhovskaya mine fell by 6.7%, to 847,300 tonnes.

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COAL FROM COLUMBIA ARRIVES TO UKRAINE

DTEK Energy has bought 88,000 tonnes of G group coal from Columbia.
According to the company’s press release, the unloading of the W-Ace bulk carrier has already begun at the TIS terminal (Odesa region), after which coal will go to DTEK Energy’s thermal power plants (TPPs).
“Today in the Ukrainian energy sector there is a situation where thermal power plants must replace the amount of electricity that other types of generation must generate,” the company said.
According to DTEK Energy CEO Dmytro Sakharuk, today, the company has already contracted 388,000 tonnes of coal from abroad.
Earlier, DTEK CEO Maksym Tymchenko said that by the end of the year, the company’s demand for imported coal is about 1 million tonnes, taking into account already contracted volumes.
As reported, by the beginning of September 2019, coal reserves in the warehouses of TPPs of Ukraine are 54.6% lower than last year.

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DTEK CUTS COAL IMPORTS BY 33.6%

DTEK Group through January-June 2019 reduced coal imports by 33.6% (501,400 tonnes) compared to the same period last year, to 991,300 tonnes, according to a press release from the company.
In the first half of the year, DTEK enterprises decreased production of coal by 2.5% compared to the same period of 2018, to 12.571 million tonnes.
In particular, the production of G and DG grade coal (Ukraine) for the first sixth months of 2019 decreased by 0.9%, to 11.325 million tonnes. Production of A grade coal by Obukhovskaya mine (the Russian Federation) for this period decreased by 14.8%, to 1.246 million tonnes.
Concentrate output fell by 5.5%, to 5.485 million tonnes. In particular, output at third-party processing plants in Ukraine fell by 85.2%, to 72,200 tonnes, while at Obukhovskaya mine fell by 6.7%, to 847,300 tonnes.

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ANTIMONOPOLY COMMITTEE OF UKRAINE STARTS INVESTIGATION ON POSSIBLE COAL PRICE FIXING OF STATE MINES

The Antimonopoly Committee of Ukraine (AMCU) has started an investigation on the indices of possible anti-competitive coordinated actions when fixing price on the energy coal of state-run mines for the needs of thermal power plants (TPP) and combined heat and power supply plants (CHPP).
“The committee established that within 2017-2018 Energy and Coal Industry Ministry of Ukraine held meetings with state-owned enterprise Derzhvuhlepostach, PJSC Donbasenergo, LLC DTEK Energo, Ukrinterenergo State Foreign Trade Company, PJSC Cherkasy Khimvolokno, LLC TehNova company to reach the agreements over fixing prices for coal products of state-run enterprises for TPPs and CHPs that is confirmed by the protocols of these meetings,” reads by regulator-issued report.
According to the AMCU, these companies are potential competitors in the electricity and steam coal markets, respectively, the support of these companies to increase prices for coal products for TPPs and CHPs to a certain level could lead to distortion of competition.
In this regard, the committee began consideration of the case regarding anti-competitive actions of these companies, violation by the Energy and Coal Industry Ministry of law on the protection of economic competition in the form of inducing business entities to take anti-competitive concerted actions and promotion of such violations.
As reported, in recent years Ukraine’s Energy and Coal Industry Ministry during meetings recommended prices for coal sales of state mines for thermal power plants.

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COAL RESERVES IN THERMAL POWER PLANTS IN UKRAINE 46% LESS THAN LAST YEAR

Coal reserves in the warehouses of thermal power plants (TPP) of energy generating companies in Ukraine as of August 19 stood at 753,400 tonnes, which is 46% (639,200 tonnes) less than a year earlier, according to data from the Ministry of Energy and Coal Industry. According to Interfax-Ukraine’s calculations, the reserves of anthracite currently amount to 262,800 tonnes, which is 8.1% (19,700 tonnes) more than last year. Gas coal reserves are 490,600 tonnes, which is 56.5% (659,000 tonnes) less than last year.
At the same time, coal reserves (anthracite and gas) in the warehouses of thermal power plants today amount to 164,600 tonnes, which is 50% less than a year earlier.
As reported, coal consumption by TPPs and combined heat and power plants in the country in 2018 increased by 5.7% (by 1.409 million tonnes) compared to 2017, to 26.22 million tonnes.

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