Raspadskaya plans to increase coking coal output to 8.5 million mt in 2011

Raspadskaya Coal Company (Raspadskaya), the second largest coking coal producer in Russia, has announced that in 2011 it intends to increase its coking coal output to 8.5 million mt from 7.2 million mt in 2010, as it plans to start production operations at four more faces at its Raspadskaya Mine, as part of the plan to eliminate the consequences of the May 2010 accident at the mine.
 
Raspadskaya's coking coal production growth, 2010-2015E (estimated): 

	2010	2011E	2012E	2013E	2014E	2015E
Total (million mt)	7.2	8.5	12.8	15	16.8	18.5
Change (y-o-y)	-32%	+19%	+51%	+17%	+12%	+10%

Raspadskaya's capital expenditure, 2010E-2015E: 

	2010E	2011E	2012E	2013E	2014E	2015E
Total (million $)	140	175	252	227	167	155

Raspadskaya's investments in the reconstruction of its Raspadskaya Mine will total $100 million, from the company's total capital expenditures of $315 million planned for 2010 and 2011.
 
Meanwhile, along with the coking coal output increase, Raspadskaya plans in 2011 to resume its sales to the export markets, which were temporarily suspended after the accident at Raspadskaya Mine. The main destinations and customers for Raspadskaya's exports will be determined on the basis of changing external conditions, such as terms of delivery, price level, supply volume, system of premiums and discounts, possibilities of use of port facilities and capacities of border‐crossings and railways.
 
Raspadskaya also said that, supported by established logistics for coal production exports to Asian countries, in the medium‐term it plans to export not less than 35 percent of total coal sales volume.