Metinvest steel output might drop 10-15% m/m in March
15 March 2021
Steel production at Ukraine’s largest producer
Metinvest (METINV) might drop to 21-22 kt per day in March, a 10-15% m/m
decrease, because of repairs at Azovstal, according to Concorde Capital’s
analysis of a news report by Metal Expert, an industry consultancy.
Azovstal, one of Metinvest’s two steel making plants,
will conduct short-term repairs at three of its blast furnaces (Nos. 2, 3 and
4), which will bring the plant’s March hot iron output to 8.2 kt per day (255
kt per month), down 26% m/m, Metal Expert reported on March 12.
The repairs of all three Azovstal’s blast furnaces are
planned to be conducted in March, according to mariupolnews.com.ua, a local
news site.
Dmytro Khoroshun: Metinvest’s
steel output might drop 10-15% to 21-22 kt per day in March because of
Azovstal’s repairs, we estimate.
Metinvest will restore its daily steel output rates to
at least 23-24 kt in April-May in order to make the most of the high prices
period at the global markets, we expect.
We maintain our neutral view on METINV bonds.
