KRU adjusted plans for 2020

In 2019 the production of JSC Kuzbassrazrezugol (KRU) amounted to 47 mio t of coal (-1.4 mio t or -3% y-o-y).

Total deliveries amounted to 43.9 mio t (+1.1 mio t or +2.6%), including exports deliveries of 31.3 mio t (+1.3 mio t or +4%) and 12.6 mio t, shipped to the domestic market (-0.2 mio t or -2%).

Over 42.6 mio t of coal were processed at the Company’s washing plants. The share of processed material in the total coal production amounted to 90.6%.

In 2020 KRU plans to reduce total coal production by 4% to 45.1 mio t, while increasing production of coking coal grades at Bachatsky and Krasnobrodsky open pit mines by 28% to 7.7 mio t. Steam coal production is planned to be cut by 9% to 37.4 mio t.

KRU’s overall deliveries are expected to decrease to 40.8 mio t (-7%), including 26.1 mio t (-17% y-o-y) of exports shipments and 14.7 mio t (+17% y-o-y) of domestic supplies.

The annual production target for 2020 was adjusted due to the drop in global coal indices amid the strong competition from cheap natural gas in the oversupplied European market and the Chinese government’s control over coal imports.