MINEX Forum

Tag: JSW

  • JSW Completes Deepening of Shaft III at Pniówek Mine, Enhancing Safety and Efficiency

    JSW Completes Deepening of Shaft III at Pniówek Mine, Enhancing Safety and Efficiency

    Jastrzębska Spółka Węglowa (JSW), the European Union’s largest producer of coking coal, has completed a major investment project at its Pniówek mine, finalizing the deepening of shaft III to a depth of 1053 meters and commissioning a new operational horizon at the 1000-meter level. The company announced the milestone in a press release issued in December.

    The project involved extending shaft III from its previous depth of 856 meters and modernizing the hoisting installations in both the eastern and western sections to service the new horizon. Work on the project began in 2020 and was carried out under full operating conditions by a consortium comprising PBSz SA and PPG ROW-JAS.

    According to mine officials, the deepening significantly improves occupational safety, transport logistics, and working conditions for miners. Shaft III, with a diameter of 7.5 meters, performs key ventilation and transport functions, including air extraction, personnel transport, and material handling. Following completion of the project, the shaft now serves three operational levels: 705, 830, and the newly commissioned 1000 level, which has become the mine’s primary horizon. Around 60% of employees now begin their shifts at this level.

    The launch of the 1000 level has allowed the mine to discontinue material transport from the 830 level, directly improving safety and productivity. A new three-deck cage capable of carrying up to 78 people has been installed, while upgraded hoisting machines and new ropes enable the handling of heavier loads. The ventilation system has also been enhanced as part of the investment.

    Mine representatives described the project as a critical step for long-term operations. Management noted that deepening the shaft while maintaining production at the 705 and 830 levels was particularly challenging, requiring the use of an artificial bottom to ensure uninterrupted and safe operations.

    The completion of shaft III comes as JSW moves forward with broader strategic measures. In October 2025, the company announced the start of preparatory work for a large-scale business restructuring aimed at improving liquidity and securing financial stability in the short and medium term.

  • JSW Declares Force Majeure After Fire at Borynia-Zofiówka Mine

    JSW Declares Force Majeure After Fire at Borynia-Zofiówka Mine

    Jastrzębska Spółka Węglowa (JSW), Europe’s largest coking coal producer, has declared force majeure following a fire at its Borynia-Zofiówka mine, forcing the company to revise its 2025 production targets.

    The fire broke out on September 12, 2025, in the Zofiówka section, where endogenous combustion led to the isolation of the C-2 longwall in seam 505/1. This prompted the suspension of operations and an expected shortfall of 156,000 tons of coking coal this year.

    On September 18, JSW’s management board formally announced the force majeure, notifying business partners of potential impacts on contractual deliveries. “As of the date of this report, it is impossible to determine the full impact of the incident on the future prospects of the company and the JSW group,” the company said in a stock exchange filing, adding that further updates will be issued if new information emerges.

    The fire underscores ongoing operational risks for JSW, which remains the EU’s top coking coal supplier to the steel industry. Similar incidents in recent years have raised concerns over production stability and the company’s ability to meet long-term supply commitments.

    Despite the setback, JSW’s future operations received a boost in August when regulators extended its license to extract coal and methane from the Borynia deposit until 2042. The deposit holds nearly 40 million tons of high-quality coking coal and over 80 million cubic meters of methane, ensuring long-term resource security for the mine and the surrounding region.

  • JSW Launches €25.6M METH2GEN Project to Turn Methane Emissions into Clean Hydrogen with EU Support

    JSW Launches €25.6M METH2GEN Project to Turn Methane Emissions into Clean Hydrogen with EU Support

    Jastrzębska Spółka Węglowa (JSW), the EU’s largest coking coal producer, has launched the METH2GEN project—an innovative €25.6 million initiative aimed at curbing methane emissions from mining operations and converting the captured gas into low-cost hydrogen. Over €20 million of the total funding is provided by JSW itself, with additional support from the European Union.

    The project features two primary components. First, it introduces directional drilling technology to improve methane capture from underground geological formations. This is expected to raise methane recovery efficiency to as much as 70% in mining areas like the Budryk mine. JSW highlights that the new technique will not only reduce emissions but also enhance mine safety and lower operational costs.

    “This is an important step towards modern, safe, and environmentally friendly mining,” said Adam Rosmus, JSW’s VP of Technical and Operational Affairs.

    The second part of the project will see the construction of a hydrogen production facility using Steam Methane Reforming (SMR) technology. Captured methane will be converted into hydrogen, and the resulting CO₂ will be reused in fire prevention systems. According to JSW, this method allows for 100% utilization of methane from degassing stations and offers a cheaper alternative to hydrogen produced via electrolysis.

    “This is a breakthrough solution… particularly important in view of the new European methane standards,” said Artur Badylak, Director of JSW’s Degassing and Methane Policy Office.

    Geological surveys are underway to determine the best location for the hydrogen plant, and drilling equipment is already being procured.

    METH2GEN is one of four major EU-supported environmental initiatives undertaken by JSW, with a combined budget of over €63.8 million. Methane currently accounts for 73% of the company’s total carbon footprint, making its reduction central to JSW’s green transition strategy.

    Despite facing geological and operational challenges, JSW remains committed to its environmental goals. In 2024, it reduced coal production by 9.3% and coke output by 8.6% compared to the previous year. However, the company still reported a net loss of PLN 7.3 billion in 2023.

  • JSW Declares Force Majeure After Fire Disrupts Budryk Mine Operations

    JSW Declares Force Majeure After Fire Disrupts Budryk Mine Operations

    Jastrzębska Spółka Węglowa (JSW), Poland’s leading producer of coking coal, has declared force majeure following a fire at its Budryk mine on May 7, 2025. The fire, attributed to endogenous ignition, forced a temporary suspension of operations in the affected mining area.

    JSW estimates that the disruption could result in a loss of approximately 345,000 tons of coal output in 2025. This incident compounds earlier challenges the company faced at its Szczygłowice mine in January, prompting JSW to revise its full-year production forecast downward from 14.5 million tons to about 12 million tons.

    In response to the mounting operational difficulties, trade unions are calling for swift strategic action, including the potential acquisition of additional mines and voluntary staff departure programs to help stabilize the company’s long-term outlook.

  • JSW Seeks to Delay $345M in Social Security Payments Amid Deepening Cash Crunch

    JSW Seeks to Delay $345M in Social Security Payments Amid Deepening Cash Crunch

    JSW SA, the European Union’s largest producer of coking coal, has requested permission from Poland’s social security office to defer this year’s payments as it struggles with declining coal prices and rising operational costs. The company is asking to postpone the payment of 1.3 billion zloty ($345 million), proposing to settle the amount in installments starting January 2026.

    This marks the second plea for financial relief from the state by the state-controlled miner in a single week. On Monday, JSW also announced plans to seek a 1.6 billion zloty refund from Poland’s power price subsidy fund in a bid to stabilize its finances.

    JSW’s Deputy CEO Remigiusz Krzyzanowski stated during an earnings call that the board is “closely monitoring the financial and liquidity situation” and actively taking steps to prevent a cash shortfall. Despite initiating a cost-cutting and investment-trimming strategy in late 2024, the company has had to draw 2.2 billion zloty from its financial reserve fund this year alone to support cash flow.

    Analysts remain concerned. Erste Group’s Jakub Szkopek warned that JSW’s measures to reduce spending are “definitely too small,” forecasting that the miner will continue consuming significant reserves. He cautioned that if trends continue, JSW may deplete its cash reserves within two to three quarters.

    JSW, which employs over 32,000 people, is due to release its Q1 earnings report on May 20. On Friday, its shares rebounded slightly after an initial 3.6% dip, ending the week with a modest 2.1% gain.

  • Poland’s JSW Reports Record €1.7 Billion Loss Amid Falling Coal Prices and One-Time Write-Off

    Poland’s JSW Reports Record €1.7 Billion Loss Amid Falling Coal Prices and One-Time Write-Off

    Jastrzębska Spółka Węglowa (JSW), the EU’s largest coking coal producer and a Polish state-owned firm, has posted a staggering net loss of nearly 7.3 billion zloty (€1.7 billion) for 2024 — its worst result since going public in 2011. The company’s revenue plunged by 26.2% year-on-year to 11.3 billion zloty, marking a sharp reversal from a profit of nearly 1 billion zloty in 2023.

    JSW attributed the record loss largely to a 6.4 billion zloty non-financial asset write-off, alongside lower coal production and declining global coal prices. Coal output dropped 9.3% to 12 million tonnes, while coke production fell 8.6% to 3 million tonnes, driven by geological challenges and operational setbacks.

    The average price for JSW’s coal fell 20%, with hard coking coal prices down 19% and thermal coal prices plummeting over 30%. JSW plans to cover 6.33 billion zloty of its 2024 loss using reserve capital and seeks to reclaim a 1.6 billion zloty “solidarity contribution” imposed under a 2023 windfall tax.

    With extraction costs in Poland averaging 820 zloty per tonne—over five times higher than in the US—the country’s coal mining industry remains heavily subsidised. Government support for the sector is set to increase from 7 billion zloty in 2024 to 9 billion zloty in 2025.

    Despite pledges to accelerate its coal phase-out, Poland’s new ruling coalition has made limited progress. Coal still powers roughly 57% of the country’s electricity and remains a key heating source in many homes.

  • Methane Ignition Injures 16 in Polish Coal Mine

    Methane Ignition Injures 16 in Polish Coal Mine

    A methane ignition in the Knurow-Szczyglowice coal mine in southern Poland left 16 miners injured on Wednesday, with 14 transported to local hospitals for treatment. The incident occurred at a depth of more than 850 meters, where 44 miners were present during the gas ignition. Emergency medical teams responded swiftly, providing assistance at the scene, while one miner, still underground, was awaiting helicopter transport to a hospital.

    Aleksander Chowaniec, deputy head of the State Mining Authority, confirmed that the affected miners had sustained burns. The operator of the mine, JSW, reported the accident, while its shares fell by 2.3% shortly after the news broke.

    The Knurow-Szczyglowice mine, known for its extensive underground operations, has faced challenges related to methane management, which is a common hazard in deep mining. Investigations are underway to determine the cause of the gas ignition, and rescue efforts for the remaining miner are ongoing. The incident has reignited discussions about safety protocols and the risks miners face in such hazardous environments.

  • Poland’s JSW Targets Higher Coal Production in 2025, Not Eyeing New Acquisitions

    Poland’s JSW Targets Higher Coal Production in 2025, Not Eyeing New Acquisitions

    Poland’s largest coking coal producer, JSW, announced that it is not currently considering acquiring any mining assets from Polska Grupa Gornicza (PGG). Adam Rozmus, JSW’s vice-president for technical matters, made the statement during a press conference on Monday, confirming that the company is focused on its own operations rather than new acquisitions.

    Rozmus also reiterated JSW’s coal production target for 2024, set at 12.45 million tonnes. He added that production in 2025 is expected to significantly surpass the 12 to 13 million tonne range, although specific figures were not provided.

    Ryszard Janta, JSW’s CEO, addressed questions about the company’s ongoing restructuring efforts, stating that detailed analyses are underway across all of JSW’s operations. He emphasized that simply returning to annual production levels of 14 to 15 million tonnes would not be sufficient to meet the company’s future goals. Janta also noted that the group is closely examining labor costs as part of its broader strategy.

  • Poland’s JSW has no plans for acquisitions on energy market

    Poland’s JSW has no plans for acquisitions on energy market

    Polish miner JSW will focus on increasing the extraction of coking coal, and does not plan on expansion through energy company acquisitions, CEO Tomasz Cudny said on Thursday.

    “Today our actions are directed to increase extraction of our type of coal, we’re speaking of coking coal. When it comes to the energy market, we are not planning any acquisitions,” said Cudny on a conference call.

    Cudny’s comments that the company plans to focus on boosting coking coal extraction, which is used in steelmaking, follow a fire in one of its mines in March, which prompted it to cut its 2023 production output forecast by 250,000 tons.

    In November, it forecast production of 14 million tons this year. In the first six months, JSW produced 6.7 million tons.

    On Wednesday, the company reported second-quarter coking coal production edged up 1.4% to 2.7 million tonnes from the prior quarter, while revenue from sales to external recipients slumped to 1.87 billion zlotys ($436.74 million) from 2.16 billion in the first quarter.

    Net profit in the second-quarter fell 67% to 780.6 million zlotys from the prior year, with core profit tumbling to 3.33 billion zlotys versus 5.97 billion zlotys in the same period last year.

    Members of the management board pointed out on the call that last year’s results had benefited from favourable macroeconomic conditions, including a spike in the price of coal after Russia’s invasion of Ukraine.

    “We had used that moment and the effects could be seen in our results from the year 2022,” Cudny said.

  • JSW presents its integrated report for 2022

    JSW presents its integrated report for 2022

    JSW has been publishing integrated reports since 2018 in response to the growing needs of the Group’s stakeholders, who require detailed information beyond the traditional set of operational or financial indicators to fully understand the directions of JSW’s development.

    It is worth adding that in 2022 JSW won first place in “The Best Annual Report” competition organized by the Institute of Accountancy and Taxes in the 2021 integrated report category. This confirms the Company’s great contribution to the creation of value in use for shareholders and investors and the promotion of best practices in non-financial reporting in the area of sustainable development.

    The 2022 integrated report will familiarize readers with the context of the Group’s market environment, explaining the unique status of the Group’s core products, i.e. coking coal and coke, against the backdrop of the changes taking place in the economy in light of the energy transition and the pursuit of climate neutrality. Both financial and non-financial data were presented using interactive tools to facilitate analysis and allow references to indicators recorded in previous years.

    Link to the report: www.jsw.pl/raportroczny-2022/en