14 February 2022
Ukraine FOB prices for the types of iron and steel
products exported by Metinvest (METINV), Ukraine’s largest producer, continued
rising during Feb. 4 – 11, according to Metal Expert, an industry consultancy.
Billet prices added 3% w/w to USD 675/t on Feb. 11, 8%
below their 2Q21 high of USD 735/t on May 14.
HRC prices rose 3% w/w to USD 905/t on Feb. 11, 17%
below their 2Q21 high of USD 1,095/t on May 21.
Metal Expert did not provide an update for pig iron
prices (Metal Expert’s FOB Black Sea assessment for a group of countries that
includes Ukraine), which stood at USD 565/t on Feb. 4, 11% below their 2Q21
high of USD 635/t on June 18.
Metal Expert also did not provide an update for slab
prices, which stood at USD 700/t on Feb. 4, 26% below their 2Q21 high of USD
950/t on May 28.
Dmytro Khoroshun: The rebound
in steel prices might falter on monetary tightening in many regions.
Metinvest’s monthly EBITDA will amount to USD 300-500
mln in November-December, we expect.
We maintain our neutral view on METINV bonds.