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Metinvest supply route completely debottlenecked by Ukrainian Railway

Metinvest supply route completely debottlenecked by Ukrainian Railway

29 October 2019

Ukrainian Railway (RAILUA) reported in an Oct. 29
statement that it has increased the throughput capacity of the Komysh-Zorya–Volnovakha
railway section to 42 cargo trains per day by making this section fully
double-track. This section used to be a major bottleneck for raw material
supplies to, and for transporting iron and steel products to the Black Sea
ports from, the Mariupol steel plants of Metinvest (METINV), Ukraine’s largest
steel producer.

 

Recall, in December Ukrainian Railway reported having increased the
throughput capacity of the Komysh-Zorya–Volnovakha railway section to 24-28
cargo trains per day from 16 trains per day previously.

 

Dmytro Khoroshun: Metinvest’s
Mariupol plants should be effectively completely debottlenecked as far as
railroad transportation is concerned.

 

We maintain our bullish view on METINV bonds.

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