Raspadskaya announces 1H16 profit

Russian coal company, Raspadskaya, has announced a net profit of US$49 million in 1H16, up from a US$8 million loss in the first six months of 2015, despite a 15% fall in revenues as the company achieved a 10% decrease in cast cost of production per tonne of concentrate.

Revenues from coal concentrate sales totaled US$139 million, split evenly between domestic and export sales, while raw coal sales to domestic consumers made US$3 million. Sales of additional good and services brought total revenues to US193 million for 1H16, compared to US$228 million in 1H15.

The company mined 4.883 million t of coal – a 4% fall on the previous year. A ramp up of production at Razrez Raspadsky mine to 2.025 million t from 1.329 million t in 1H15 helped to offset falls in production at the Raspadskaya and Raspadskaya Koksovaya mine. Coal concentrate production stood at 3.086 million t.

“Production at Razrez Rapadsy increased by 53% year-on-year due to the efforts of the management and employees to increase operational efficiency,” said Sergey Stepanov, General Director of Raspadskaya. “This partly offset a decline in production at other assets. In 2016, we are aiming to mine around 10 million t of raw coal.”

Edited by Jonathan Rowland.

Read the article online at: https://www.worldcoal.com/coal/02092016/raspadskaya-announces-1h16-profit-2016-2360/