Coal Energy decreases coal production in May

Coal Energy mined 52.8 kt of thermal coal in May (-20% m-o-m, -60% yoy) and extracted 12.9 kt of coking coal (-18% m-o-m, -48% yoy). Coal production from waste reprocessing grew 24.5% m-o-m, but fell 51.1% yoy to 9.8 kt.

Roman Topolyuk: Coal Energy’s operating performance falls in line with adverse sector trends in both coal sub-segments: electricity production by thermal power plants decreased 10% yoy in 5M13, while coke output plunged 9.6% yoy. Market conditions are continuing to deteriorate, thus we expect to see a further decline in coal production by Coal Energy in June-August.