Ukrainian steel producer Ilyich Iron and Steel Works of Mariupol (Ilyich) has announced that during the first half of 2009 it has registered losses of UAH 700 million (approx. $82.26 million).
"In the first half of 2009 we registered minus UAH 350 million (about $41.13 million) for commercial products, while according to our accounting we had losses of UAH 700 million," Ilyich chief executive officer Vladimir Boyko stated, adding that the plant's current capacity utilization level amounts to 60 percent.
Mr. Boyko also stated that the situation in the world steel market continues to be far from stable. "It is early to say that the crisis is finished and reached its bottom. The steel market is not balanced. In July and August we saw some reanimation, the steelmakers started to increase their output. Regardless, we cannot say what awaits us in October-December. First of all, it will depend on the processes happening in Europe, the US, and also in China and the Middle East," Mr. Boyko said.
As SteelOrbis previously reported, in January-August this year Ilyich reduced its finished steel product output by 43 percent and its pipe production by 66.8 percent year on year, to 1.95 million mt and 23,800 mt respectively. In the period in question, Ilyich's crude steel production decreased by 40.7 percent, its pig iron output by 36.8 percent and its agglomerate production by 45 percent, year on year. The respective figures in metric tons were 2.72 million, 2.28 million and 5.02 million.