Mechel, one of the leading Russian mining and steel groups, has announced its production and sales results for the fourth quarter and the full year of 2022.
Accordingly, in the fourth quarter last year, Mechel produced 878,000 mt of crude steel, six percent higher compared to the third quarter. Meanwhile, the company’s pig iron production in the given period increased by 9.6 percent quarter on quarter to 816,000 mt. Production of run-of-mine coal totaled 2.52 million mt, down 9.6 percent quarter on quarter. Meanwhile, in 2022, the company produced 3.56 million mt of crude steel, up 0.6 percent year on year, while its pig iron production increased two percent year on year to 3.23 million mt. The company’s production of run-of-mine coal totaled 11.29 million mt, down 0.4 percent year on year.
In the fourth quarter, Mechel’s coking coal concentrate sales fell by 20.1 percent quarter on quarter to 839,000 mt, with sales to third parties decreasing by 25 percent quarter on quarter to 546,000 million mt during the given period. In the full year, the company’s coking coal concentrate sales fell by 8.9 percent year on year, due to the restrictions on rail transportation of products to Far Eastern ports in the second half, to 3.97 million mt, with sales to third parties decreasing by eight percent year on year to 2.5 million mt during the given period.
The company’s thermal coal sales totaled 759,000 mt in the fourth quarter, down 13.6 percent compared to the third quarter. Mechel’s thermal coal sales in 2022 totaled 3.21 million mt, up by 6.6 percent year on year.
In the fourth quarter last year, the company’s shipments of iron ore concentrate fell by 68.3 percent quarter on quarter to 146,000 mt. The company’s shipments of iron ore concentrate in 2022 increased by 9.3 percent to 1.48 million mt due to increased output at the Korshunov Mining Plant.
The company’s sales of coke went down by 10.4 percent quarter on quarter to 470,000 mt in the fourth quarter, while in the full year Mechel’s sales of coke decreased by 21.5 percent to 2.15 million mt, due to reduced demand from Russian customers. Meanwhile, the company’s sales of ferrosilicon in the fourth quarter fell by 28.5 percent quarter on quarter to 18,000 mt.
In 2022, the company’s total sales of long steel products increased by 6.6 percent year on year to 2.57 million mt due to increased output, and sales of flat steel products totaled 408,000 mt, down 9.3 percent year on year.