Metals and Mining

The processing plants of Metinvest increased production of iron ore concentrate by 4%, to 8.69 million tones in the 1Q11 in comparison with the same period last year, but at the same time the production of pellets was reduced by 5%, to 2.94 million tones.

According to the preliminary data, Avdiivka Coke has received a net loss of USD 2.7 mln in 2010.

Mariupol ISW, the member of Metinvest Group, according to preliminary data, ended 2010 with a net loss of UAH 418.9 mln, increasing the net loss by 63.7% compared with the previous year.

Poltava mining and processing combine, which is the main asset of Ferrexpo plc (UK), has increased its net profit by 4.2 times in 2010 YoY – up to USD 92 mln. Company’s retained earnings by the end of 2010, which is to be the subject of the agenda of the annual shareholders meeting scheduled on April 22, has amounted of USD 203.3 mln.

Five out of eight largest metallurgical iron and steel mills of Ukraine have increased the total production output by 5.9% in the first 2 months of 2011 compared with the same period of 2010. Thus, the 3rd largest plant Azovstal [AZST UK] has raised the total output by 4.4%, while Alchevsk Steel [ALMK UK] and MMK Illicha [MMKI UK] increased their output by 25% and 23.8% respectively. At the same time, Ukrainian largest steel mill, ArcelorMittal Krivoy Rog [KSTL UK], reduced the total output in January-February by 8.8% yoy, while production output of Enakievo Steel [ENMZ UK] contracted 12.8% in the same period of 2011 due to the failure of the new oxygen block in its steelmaking workshop.

The Alchevsk metallurgical plant has announced its preliminary 2010 financial results, revealing a net loss of USD 127.53 mln, which appears worse than its 2009 net loss of USD 111.96 mln.

In 2010 Centralnyi GOK [CGOK UK] net profit rocketed 4.9 times YoY to USD 162mln. Current liabilities grew 4.8 times YoY to YSD 314 mln, retained earnings shortened to USD 250 mln. Total assets gained 20% reaching USD 905 mln.