Metinvest subsidiary Pokrovske Coal boosts output 17% m/m in November

Pokrovske Coal, Ukraine’s largest coking coal miner
and a subsidiary of Metinvest (METINV), produced 5.66 mmt of raw coking coal (16.9 kt per day) in 11M21, a 2.1% yoy rise, according to
Concorde Capital’s analysis of Ukraine’s Energy Ministry data.

The daily coal production rate at Pokrovske Coal
jumped 16.7% m/m to 19.0 kt in November.

Recall, Pokrovske Coal planned to launch a new longwall
in November, and Svyato-Varvarynska enrichment plant planned to be ready to process 28.8 kt of raw coal
per day. Svyato-Varvarynska processes almost exclusively the raw coal mined by
Pokrovske Coal.

Dmytro Khoroshun: Production
at Pokrovske Coal has recovered after the July-September drop,
which is positive for Metinvest.

We are
increasing our estimate for Pokrovske Coal’s 2021 output to 6.15-6.25 mmt
(16.9-17.1 kt per day), or up to 2% more yoy.