Azovmash to get 14 ths mt of rolled metal from Metinvest in 2010

Metinvest announced yesterday it planned to increase monthly average shipments of rolled metal products to Azovmash, which includes Mariupol Heavy Machinery (MZVM UK) and Azovzahalmash (AZGM UK) by sevenfold from 2 ths mt per month in 2008-2009 to 14 ths mt in 2010. Metinvest said 82% of those sales would consist of flat products, with the rest being Z-beam, angles, beams and channels. Yegor Samusenko: This amount would allow Azovmash to produce ~700 railcars per month (or 8,400 per year) if all the steel is used only for railcar production. However, we do not exclude that some of this steel will be used to make heavy machinery equipment. We stick to our forecast of 8,000 railcars in 2010. In December-January, Azovmash sold 850 wagons per month, after selling ~400 wagons per month over 2009.