Sales volumes review

EVRAZ coking coal product sales grew by 5% to 17.1 million tonnes in 2018, compared with 16.3 million tonnes in 2017, due to higher production volumes of the OS and KS coal grades at the Group’s current mines including the ramp-up of the open-pit at Raspadskaya-Koksovaya site.

Intersegment coking coal product sales surged by 4% to 6.0 million tonnes under the policy of maximising supplies to EVRAZ. Total external coking coal product sales increased by 5% year-on-year to 11 million tonnes.

Coking coal product sales on Russia’s domestic market decreased by 3% to 9.3 million tonnes, with more than 60% consumed by EVRAZ steelmaking facilities.

The Group’s coal product export shipments rose by 17% to 7.7 million tonnes during the reporting period, compared with 6.6 million tonnes in 2017. EVRAZ expanded its sales to Europe by 2.4times and to Japan and South Korea by 42%. The Group also began to supply coking coal products to India.

In 2018, EVRAZ maintained its leading position on the domestic market with a 22% market share in all coal grades.

EVRAZ market share of Russia’s high-vol coking coal grades, %
Coal segment sales volumes, kt
2018 2017 Change, %
External sales 11,048 10,499 5.2
Coking coal 1,690 2,302 (26.6)
Coal concentrate 9,323 8,197 13.7
Steam coal 35 n/a n/a
Inter-segment sales 6,016 5,778 4.1
Coking coal 1,863 1,160 60.6
Coal concentrate 4,153 4,618 (10.1)
Total, coal products 17,064 16,277 4.8