MINEX Forum

Region: Poland

  • Polish infrastructure too cramped for Ukrainian business – Metinvest commercial director

    Polish infrastructure too cramped for Ukrainian business – Metinvest commercial director

    The Polish infrastructure is too small for Ukrainian business and cannot replace the blocking of ports in the Black Sea by the aggressor, Dmytro Nikolayenko, commercial director of Metinvest, said in an interview with the Polish business publication WNP.PL.

    The commercial director of the company noted that the metallurgical and mining industry of Ukraine was previously export-oriented: the country exported 80% of metal products and iron ore raw materials. All logistical routes, including the railroad and ports, could handle it.

    At the same time, he recalled that Metinvest’s business has an international dimension. As an international mining and metallurgical group, the company has production facilities not only in Ukraine, but also in Bulgaria, Italy, the UK and the USA, has an extensive sales and distribution network – its products are sold in 95 countries. In addition, Metinvest has 20 offices around the world.

    “We exported products mainly through the Black Sea ports, such as Pivdenny, which is able to receive the largest capesize class merchant ships, as well as through the ports of Odesa and Mykolaiv. We sent cargo around the world from the Mariupol metallurgical plants Azovstal and Illich Steel Mill. Particularly noteworthy is the sea line from Mariupol to Italy, where our goods were shipped to the rolling mill. Container ships regularly transported slabs (semi-finished metal products) to Italy and the UK. We also sent products from Ukrainian rolling mills to our plant in Bulgaria. It was transported along the Dnipro River, and then along the Black Sea to the Bulgarian port of Burgas,” the top manager explained.

    He noted that the logistics component was well organized in the group, customers were provided with good service in terms of predictable delivery times. The company hired a number of vessels under various forms of charter contracts, such as bareboat (a vessel without a crew) and time charter (a vessel hired with a crew).

    However, the full-scale war directly affected the group and its vertical integration. Metinvest was forced to stop production in Mariupol, then operational control over the Mariupol enterprises was completely lost.

  • The Main Explosives Depot in the Zofiówka Section is now operational

    The Main Explosives Depot in the Zofiówka Section is now operational

    The new project plays a key role in the management of blasting agents by enabling the storage and dispensing of explosives.

    “The need to build the Main Explosives Depot at level 900 was related to the need to supply blasting agents to the areas of performing the planned opening and preparatory works at level 900, level 1080 under construction, and the area of dredging sinking the IIz shaft from level 900 to level 1080. Previously, the Explosives Depot was located at level 705 and its location significantly prolonged the transportation of explosives to the blasting site. The mine also had a mobile explosives depot, which, due to its limited storage capacity and the specifics of storing explosives, required significant work,says Piotr Pustelnik, head of the Borynia-Zofiówka-Bzie mine’s Blast Technology Department.

    The venture began with site selection and needs analysis, based on which a design was made. Then workings were excavated and a shotcrete, i.e. sprayed concrete, coating was applied. The final, very demanding stage was the adaptation of 638 m of excavated workings and the proper equipping of the depot to meet the requirements of the Polish Standard and applicable regulations. This scope of work turned out to be very diverse, including the construction of: stoppings, floor dinting and screed, construction of the rail track and installation of track turntables, structures for storing blasting agents, limestone coating, signal and lighting installation, and grounding installation.

    “The exemplary organization of the work, as well as the commitment of the employees and their innovation and efficiency were a key element in achieving the success of this project,” concludes Łukasz Szlązak, director of the Borynia-Zofiówka-Bzie mine.

    The Main Explosives Depot will serve both the Zofiówka and the Bzie Sections.

  • Negotiations for additional pay for JSW employees have been suspended. “we will be consistent”

    Negotiations for additional pay for JSW employees have been suspended. “we will be consistent”

    On August 1, the representative trade unions operating in JSW (Solidarity, Confederation of JSW Miners’ Trade Unions and Kadra) started a collective dispute, demanding payment of 15 percent of the wages of the company’s employees. The net value of the amount allocated for future tax. On Friday, the trade unions met with the JSW board of directors on the matter.

  • Locals living near old mines in Poland worry about increasing number of sinkholes

    Locals living near old mines in Poland worry about increasing number of sinkholes

    The area around the town of Trzebinia has seen 20 sinkholes appear in the past two years and locals feel the government is not doing enough to help.

    Residents in former mining areas of Poland are concerned about the increasing number of sinkholes in areas around closed mines.

    In the southern Polish town of Trzebinia, two decades after the closure of the local coal mine, residents live in fear that the ground will literally collapse under their feet.

    Twenty sinkholes have appeared in the region in the past two years.

    Watch Euronews correspondent Magdalena Chodownik’s report in the video.

  • Poland’s Turów Coal Mine: Symbol of Defiance Against EU Interventionism

    Poland’s Turów Coal Mine: Symbol of Defiance Against EU Interventionism

    Poland’s Turów mine has become a source of political pride for the country’s right-wing government, despite being viewed by its EU neighbors as evidence of Warsaw’s refusal to abandon polluting coal. The mine, located in the south-west of the country between Germany and the Czech Republic, is an open pit mine that fuels an adjacent power plant, producing about 7% of Poland’s electricity. However, Turów has become a symbol of the ruling Law and Justice party’s (PiS) defiance against EU interventionism.

    The mine’s importance to Warsaw is evident as Poland has been paying the EU to keep it open. When the Czech Republic sued Poland in the EU Court of Justice, Warsaw defied the court’s order to stop mining and refused to pay the resulting daily fine. The European Commission responded by deducting the fine from EU funds earmarked for Poland. As a result, Warsaw paid compensation to the Czech Republic for environmental damage, and the region around Turów was excluded from EU subsidies for transitioning away from fossil fuel production.

    The legal battle over the mine has extended from Luxembourg to national courts in Warsaw. Environmentalists have raised concerns about pollution and the depletion of underground water in the surrounding countryside. However, miners at Turów and the local municipality of Bogatynia, which receives a third of its budget from taxes paid by the power plant’s operator, support the mine and its preservation of jobs.

    While Poland has made strides in renewable energy production, including a record quarter of electricity production coming from renewables in May, the country still heavily relies on coal, which accounts for 65% of its electricity generation. Some opponents see the defense of coal as a step backward, while others view the mine as a national treasure that should be defended out of love for Poland.

    The battle over Turów is not just about the mine itself but is part of broader tensions between Poland and the EU, as well as between Poland and Germany. The mine has become entangled with disputes over sovereignty, money, and the rule of law. Warsaw has accused Germany of strengthening Russian President Vladimir Putin by embracing him as an economic partner until his invasion of Ukraine. The fight over Turów has become another point of contention between the two countries.

    As Poland prepares for a tight general election, Turów remains a significant symbol for the ruling party and a key issue for the electorate. The future of the mine and Poland’s energy transition will continue to be debated, balancing the need for jobs, national sovereignty, and environmental concerns.

  • Poland nears coal glut prompting powerful union to raise alarm

    Poland nears coal glut prompting powerful union to raise alarm

    Poland’s hard-coal reserves have almost doubled since last year, prompting a powerful union to warn about the consequences for the country’s own miners just months before a tightly contested parliamentary election.

    “We hear that state companies import large amounts of coal, while coal extracted from Polish mines is not being collected,” Boguslaw Hutek, the head of the powerful Solidarity miners’ union, said in a statement. “State-owned companies should not act against the interest of each other.”

    Coal stockpiles jumped 83% to 10.8-million tons in May from a year earlier, according to energy think tank Instrat. The government in Warsaw, which banned Russian coal imports in March 2022, prompted state-run energy producers to import heavily from countries like Colombia, Kazakhstan and South Africa to avoid shortages.

    Coal has long been politically important in Poland, where 75 000 are employed as miners and millions of households depend on the fuel for heating. Aging coal plants provide about 70% of the nation’s electricity.

    Poland is poised to hold its parliamentary election in October. Opinion polls have shown the two main parties short of the support needed to rule independently, putting smaller parties in the position of potential kingmakers after the election.

  • PGE Polska Grupa Energetyczna S A : with the approval of the Board of Directors of the European Investment Bank to support the financing of the Baltica Offshore Wind Farm

    PGE Polska Grupa Energetyczna S A : with the approval of the Board of Directors of the European Investment Bank to support the financing of the Baltica Offshore Wind Farm

    The European Investment Bank (EIB) approved the in-principle financing of the Baltica OWF project to be implemented by the PGE Group. The total financing package amounts to EUR 1.4 billion. This is a significant step towards ensuring an optimal financing structure that will enable the construction of PGE’s first offshore wind farms in the Baltic Sea.

    Project will consist of several sages – for each of the stages of the Baltica OWF – stages Baltica 2 and Baltica 3 – there is one tranche to be disbursed in the Project Finance formula in the amount of up to EUR 350 million, and one tranche to be disbursed based on guarantees from financial institutions, banks or export credit agencies.

    Accelerating the energy transformation is a priority, which is why the EIB Group and the European Commission established the REPowerEU initiative. This aims to make the European Union independent of Russian energy resources and move the EU energy sector towards renewable energy. The Baltica Offshore Wind Farm project meets these goals.

    Obtaining a preliminary credit decision from the European Investment Bank is a significant step for financing the construction of the largest offshore wind farm in the Baltic Sea. The presence of a recognized and experienced international financial institution in financing the project is a signal that we are a reliable partner for financial institutions, the projects we run meet the highest standards, and the interest of the financial sector in cooperation with PGE in the field of offshore wind energy is really high

    Wojciech Dąbrowski, President of the Management Board of PGE Polska Grupa Energetyczna.

    Diversification of energy sources and independence from fossil fuels are key tasks for Poland and the European Union, and Baltica Offshore Wind Farm is a very important project implementing these goals. Supporting energy transition is a priority for the EIB as it accelerates green economic development and supports labor market

    Vice-President of the EIB, prof. Teresa Czerwińska.

    PGE is building the Baltica OWF together with its Danish partner – Ørsted. The project with a total capacity of approx. 2.5 GW consists of two stages – Baltica 2 with a capacity of approx. 1.5 GW, which is scheduled to be commissioned in 2027, and Baltica 3 with a capacity of approx. is planned by the end of this decade.

  • One dead, five hurt after tremor in Polish coal mine

    One dead, five hurt after tremor in Polish coal mine

    One worker was killed and five others injured after a tremor hit a Polish coal mine on Saturday morning, authorities said.
    The Bielszowice coal mine is operated by the state-owned Polish Mining Group (PGG) in the country’s southern Silesia region.Photo: PAP/Zbigniew Meissner

    The tremor at the Bielszowice mine in the town of Ruda Śląska in Poland’s southern Silesia region occurred some 1,000 metres underground at around 6:30 a.m., public broadcaster Polish Radio’s IAR news agency reported.

    The injured miners were taken to nearby hospitals; one in serious condition was flown by helicopter for treatment in the southern city of Katowice, state news agency PAP reported.

    Prime Minister Mateusz Morawiecki sent his sympathies to the family of the victim and wishes of a quick recovery to the injured.

  • Poland Nears Coal Glut Prompting Powerful Union to Raise Alarm

    Poland Nears Coal Glut Prompting Powerful Union to Raise Alarm

    (Bloomberg) — Poland’s hard-coal reserves have almost doubled since last year, prompting a powerful union to warn about the consequences for the country’s own miners just months before a tightly contested parliamentary election.

    “We hear that state companies import large amounts of coal, while coal extracted from Polish mines is not being collected,” Boguslaw Hutek, the head of the powerful Solidarity miners’ union, said in a statement. “State-owned companies should not act against the interest of each other.”

    Coal stockpiles jumped 83% to 10.8 million tons in May from a year earlier, according to energy think tank Instrat. The government in Warsaw, which banned Russian coal imports in March 2022, prompted state-run energy producers to import heavily from countries like Colombia, Kazakhstan and South Africa to avoid shortages.

     

    Coal has long been politically important in Poland, where 75,000 are employed as miners and millions of households depend on the fuel for heating. Aging coal plants provide about 70% of the nation’s electricity.

    Poland is poised to hold its parliamentary election in October. Opinion polls have shown the two main parties short of the support needed to rule independently, putting smaller parties in the position of potential kingmakers after the election.

  • KGHM silver certified by the London Base Metals Exchange

    KGHM silver certified by the London Base Metals Exchange

    The copper giant is one of the world’s most trusted silver producers. KGHM Polska Copper S.A. has been certified for the next consecutive year by the London Base Metals Exchange (LBMA) for responsible silver production in 2022. The certificate confirms Polish Copper’s compliance with the requirements set out in the LBMA Responsible Silver Guidance and allows it to gain entry to the LBMA’s prestigious Good Delivery list of the world’s most trusted silver producers.

    – The highest quality of both the product and the entire production process is the strength of the KGHM brand. Our customers know that we are a trusted partner who adheres to the highest standards throughout the supply chain. The LBMA certificate confirms that it is not a matter of declarations, but of actual actions – said Tomasz Zdzikot, CEO of KGHM Polska Miedź S.A.

    EXORBITANT STANDARDS

    The LBMA’s guidelines for responsible sourcing of gold and silver are designed, among other things, to combat human rights abuses and the financing of terrorism, avoid supporting military conflicts and ensure compliance with the highest possible anti-money laundering standards. The guidelines recommend the use of a five-step, risk-based supply chain examination procedure, in line with the OECD Guidelines for a Responsible Supply Chain for Minerals from Conflict and High-Risk Areas.

    As part of the certification process, an attestation service by an independent, LBMA-accredited auditing firm (PricewaterhouseCoopers Poland) was required. A positive assessment of KGHM’s procedures for the production, storage and sale of silver, as well as of the Policy and Procedure for a Responsible Supply Chain for Gold and Silver of KGHM Polska Miedź S.A. provided the basis for the auditor’s positive recommendation to award the certificate.

    SILVER MARKET LEADER

    KGHM has been on the podium of global silver producers for years. According to the World Silver Survey 2023, it ranks first in the list of “largest silver mines in the world”. In the category of “largest silver producers”, the copper giant was ranked second. Polish Copper produced 1,298 tonnes of silver in 2022.

    KGHM sells silver in the form of pig sow and granulate. Silver customers include, among others, financial institutions, the jewellery industry, the electronics and electrical industry, the photovoltaic industry, catalyst manufacturers and coin, bar and medal producers. Around 16% of the copper giant’s revenue comes, precisely from the sale of silver.

    FROM BLACK MUD TO SHINY PIG SOW

    Silver production at KGHM is carried out at the Głogów smelter, in the Precious Metals Division. PMD was established exactly 30 years ago specifically to recover the precious metals – silver and gold – present in the copper ore. These are found in the so-called ‘black mud’, i.e. the anode slime produced during the electrorefining of copper. From cathode silver with an Ag content of more than 99.99 per cent, metallic silver is produced in the form of granules packaged in 25 kg bags and pig sows of approximately 1,000 troy ounces, which amounts to about 31.1 kg.