The decline in production indicators at Rinat Akhmetov’s company is associated with shelling from Russia, high demand and cost of imported electricity, as well as a decrease in demand for iron ore products in the world.
Based on the results of the first half of the year, Metinvest recorded a decrease in ore and coal production, as well as a decrease in flat-rolled production. This was stated in the company’s official report published on its official website.
The decrease in production indicators at Metinvest is associated with shelling from Russia, high demand and cost of imported electricity, as well as a decrease in demand for iron ore products in the world.
“Due to limited electricity production in Ukraine due to the Russian attack from mid-March 2024 and high demand for imported electricity, its cost affects the workload and configuration of mining and processing plants of the group, taking into account the availability of electricity, its cost, market prices for steel products and other factors to ensure efficient production,” the report said.
Overall, in the second quarter of 2024, the production of total iron ore concentrate decreased by 17% compared to the previous quarter to 4,033 thousand tons The production volume of commercial iron ore products decreased by 13%, to 3,814 thousand tons, and production. of iron ore concentrate during the same period decreased by 22% – up to 2205 thousand tons.
“The production of coal concentrate in the first half of 2024 decreased by 31% compared to the same period in 2023 – to 2085 thousand tons This is, among other things, due to a reduction in the production of the Pokrovsk Coal Group the flats product decreased compared to the same period last year by 6% – to 545 thousand tons, mainly due to the lack of marginal orders for hot-rolled coils At the same time, the production of galvanized cold-rolled coils increased by 2.3 times as a result of resuming work on the 4th inductor at Unisteel in Ukraine after it closed a major renovation in the second quarter of last year,” the company said.
Earlier it was reported that the mining and metallurgical group Metinvest in the first half of 2024 increased the payment of taxes and fees to the budgets of all levels in Ukraine by 56% compared to the first half of 2023 – up to UAH 9.9 billion. In 2023, Metinvest paid UAH 14.6 billion in taxes.
Source: korrespondent
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