Kolmar makes trial coal shipments to Malaysia, eyes Indonesia, South Korea

NERYUNGRI, Yakutia. April 5 (Interfax) - Kolmar Coal Company has shipped a trial batch of coal to Malaysia and plans to enter the markets of Indonesia and South Korea, the Russian company's CEO, Artem Levin told reporters.

"Last year, China accounted for 80% [if Kolmar's exports], Japan for 10% and the Russian market for all the rest. We've shipped a trial batch to Malaysia, we're looking at Indonesia, looking at South Korea. We've had some progress with them," Levin said.

He said that in Russia Kolmar supplies coking coal to the Magnitogorsk Iron & Steel Works (MMK) and is trying to supply steelmaker Severstal .

"We're exploring the Russian market. We've sent a trial batch to Severstal, we'll see what the result is. When a plant works with certain coals, it's difficult to get in. You need to change the technology - additives, oxygen input," Levin said.

As for the company's performance amid sanctions, he said it is still too early to talk about specifics, but changes have already been become evident in work with equipment suppliers. Kolmar imported about 90% of its current equipment from Europe and the United States.

"The fourth package of sanctions prohibits European and American companies from working with Russian coal companies as regards supplies of equipment and spare parts. We had a big contract for the delivery of combines from America. It's been suspended. These are big contracts and sums, they're waiting for decisions. It's difficult with Europe, America, Japan. We're looking at Chinese partners Sany and Tiandi, the largest producers of underground equipment in China," Levin said.

Kolmar includes coal mines, trading and logistics companies that integrate mining, washing and shipment of coking and thermal coal produced at deposits in Yakutia's Neryungri district.