9 September 2015
Metinvest Group plans to invest UAH 5.1 billion to develop Northern, Ingulets and Central Iron Ore Mining and Enrichment Works in 2014-2015. The funds will be directed into long-term projects and to upgrade the equipment of the enterprises.
Among the large-scale investment projects at Northern GOK is the construction of the mining and transfer complex at the Pervomaiskiy open pit mine worth UAH 2.94 billion. The project is designed to facilitate the further development of mining operations. In March 2016, the first start-up facility will be commissioned. The second start-up facility will be commissioned in December 2016.
Investments at Central GOK are mainly directed at restoring and modernizing mining transportation equipment. In 2015, Metinvest Group plans to allocate UAH 335.5 million for this purpose.
Ingulets GOK commenced the construction of an iron ore transfer complex at its open pit mine. The total cost of the project is UAH 3.94 billion. The project is designed to reduce the cost of iron ore concentrate, a finished product. Currently, the first phase of mining and capital works has been completed. Project completion is planned for 2025.
Nikolay Ischenko, Mining Division Director, Metinvest Group:
"Despite the difficulties of recent years, we are planning to invest over UAH 5.1 billion in the GOKs in 2014-2015. Our key projects are aimed at developing mining operations and modernizing the equipment of the processing facilities. All of this will create conditions for the uninterrupted operation of the GOKs, which will ensure the economic and social stability of the region".
- For editors:
Metinvest Group is a vertically integrated group of steel and mining companies, managing each link of the value chain – iron ore and coal mining through semi-finished and finished steel production. It has steel and mining production facilities in Ukraine, Europe and the US, as well as a sales network covering all key global markets. Metinvest Group is structured into Metallurgical and Mining Divisions. Its strategic vision is to become the leading vertically integrated steel producer in Europe, delivering sustainable growth and profitability resilient to business cycles and providing investors with returns above industry benchmarks. The Group posted revenue of USD 1.8 billion and an EBITDA margin of 19% in the first quarter 2015. The major shareholders of Metinvest B.V. (the holding company) are SCM Group (71.24%) and Smart-Holding (23.76%), which partner in the Group’s management. METINVEST HOLDING, LLC is the managing company of Metinvest Group.