Metinvest steel prices dropped last week
7 June 2021
Ukraine FOB prices for the types of iron and steel
products exported by Metinvest (METINV), Ukraine’s largest producer, dropped
again during May 28 – June 4, according to Metal Expert, an industry
consultancy.
Billet prices lost 2% w/w to USD 640/t on June 4, 54%
above their 3Q20 high of USD 415/t on Sept. 11.
Slab prices dropped 2% w/w to USD 930/t on June 4,
100% above their 3Q20 high of USD 465/t on Sept. 11.
HRC prices plunged 4% w/w to USD 1,030/t on June 4,
105% above their 3Q20 high of USD 503/t on Sept. 11.
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 635/t on May 28, 72% above their 3Q20
high of USD 370/t on Sept. 18.
The prices provided by Metal Expert are sophisticated
estimates, but they are not necessarily the same as the prices realized by
Metinvest for its specific products.
Dmytro Khoroshun: We continue
to expect short-term volatility and a mid-term decrease in the steel prices.
Metinvest’s monthly EBITDA will likely amount to at
least USD 400-500 mln in 2Q21 because of strong steel and iron ore prices.
We maintain our neutral view on METINV bonds.
