Russian mining and metal company Mechel PAO’s steel output in Q3 FY20 declined by 8pc to 852,000mt, while its Pig iron production for the same period fell by 5pc to 862,000mt as compared to Q2 due to equipment overhauls at its Chelyabinsk Metallurgical Plant, the company said in its Q3 FY20 results.
In the Jan-Sep period, the company’s steel production stood at 2.6mn mt, down by 3pc from the prior-year period. The company’s Pig iron production in the Jan-Sep period rose by 5pc to 2.6mn mt from the period-year period.
Mechel’s iron ore concentrate sales in Q3 rose by 29pc to 606,000mt from the prior-year period due to increased output at Korshunov Mining Plant in summer. The sales in the Jan-Sep period, however, declined by 14pc to 1.6mn mt as compared to the same period year prior.
The company said that the revival of business across the globe in Q3 had a positive impact on demand and sales of steel.
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|Product||Q3 2020||Q2 2020||% Q on Q|
The company said that new opportunities for import substitution have sprung up as several industry sectors have increased demand for specialized high-quality products.
The construction also registered such growth and all infrastructure projects could increase steel products demand and ensure good perspectives for the company. However, it further added that the current situation remains uncertain due to the COVID-19 pandemic and new factors may yet appear that will require it to amend forecasts and appraisals.
Mechel is an international mining and steel company and exports products to Europe, Asia, North and South America, and Africa.