Raspadskaya Reports Preliminary Operating Results for 2Q and 1H 2010
OREANDA-NEWS. July 15, 2010. Raspadskaya (RTS, MICEX: RASP) (“Raspadskaya” or “the Company”) announces today its preliminary operating results for 2Q2010 and 1H2010:
In 2Q2010, decrease of raw coal production by 42% QoQ and coal concentrate sale volumes by 31% QoQ was caused by the accident at Raspadskaya mine through the night on 9 May 2010 as a result of which the mine is not operating currently.
At ZAO “Koksavaya” mine which was acquired in April 2010 there has been commenced production and raw coal sales of grades K (KO) (hard-coking coal under international classification). In 2Q2010, sales volumes amounted to 21 kt.
In 2Q2010, weighted average sales price of Raspadskaya’s coal concentrate amounted to USD 120 / tonne on FCA Mezhdurechensk basis, that is 22% higher than the sales price in 1Q2010.
In June 2010, Raspadskaya was delivering its coal production to eight Russian customers, including major metallurgical companies MMK, NLMK, Evraz Group.
Gennady Kozovoy, Raspadskaya’s CEO, commented:
“Raspadskaya agreed with proposals of Russian customers to temporarily fix contracts on a monthly basis due to the uncertain demand at steel and coke markets. Prices for July 2010 are maintained on 2Q2010 level (RUB3,800 / tonne (about USD 123 / tonne) on FCA Mezhdurechensk basis) ”.