Metinvest subsidiary Pokrovske Coal output drops 4% m/m in December

Pokrovske Coal, Ukraine’s largest coking coal miner
and a subsidiary of Metinvest (METINV), produced 6.22 mmt of raw coking coal
(17.1 kt per day) in 2021, a 1.5% yoy rise, according to Concorde Capital’s
analysis of Ukraine’s Energy Ministry data.

The daily coal production rate at Pokrovske Coal
dropped 3.7% m/m to 18.3 kt in December.

Dmytro Khoroshun: We
tentatively expect Pokrovske Coal’s 2022 output at 6.4-7.3 mmt (17.5-20.0 kt
per day), or 3-17% more yoy.

The December daily production rate provided by the
Energy Ministry, 18.3 kt, is largely in line with the 18.7 kt value we inferred
from the data provided by the miner’s CEO at the end of December.

We maintain our neutral view on METINV bonds.