Donetsk Electrometallurgical Plant ups output 43.4% in Jan-Oct
KYIV. Nov 2 (Interfax) - Donetsk Electrometallurgical Plant (DEMZ), which is part of the Mechel group , boosted finished roll output 43.4% year-on-year in January-October 2011 to 839,000 tonnes, the company told Interfax.
Steel output increased 36.8% to 858,000 tonnes.
The plant produced 91,000 tonnes of roll and 92,000 tonnes of steel in October.
DEMZ received 93,000 tonnes of scrap metal in October instead of its 105,000 tonne target, or 11.4% short of its requirement. As of November 1, the company had 34,200 tonnes of scrap metal in reserve.
DEMZ boosted finished roll output 57.7% in 2010 to 757,000 tonnes and steel production grew 51.9% to 802,000 tonnes.
Donetsk Electrometallurgical Plant is one of the most contemporary metallurgical companies in Ukraine. It has the capacity to produce 1 million tonnes of steel per year.
DEMZ was together with various other companies formerly part of Vadim Varshavsky's ESTAR group. Facing bankruptcy at the start of the crisis, the companies were transferred to new owners - offshore companies the beneficiaries of which were not disclosed. Industry sources told Interfax that they were close to the structures of Mechel's major shareholder Igor Zyuzin.
DEMZ in 2009 came under the management of Alfa Bank subdivision - A1 Investments due to a loan default. Alfa Group reported that it was sold to the Mechel group in 2010.