MINEX Forum

Tag: Yuriy Ryzhenkov

  • Metinvest Completes Buyback of Eurobonds Due 2025

    Metinvest Completes Buyback of Eurobonds Due 2025

    Metinvest BV, the Dutch-based parent company of Ukrainian mining and metallurgical giant Metinvest Group, has fully redeemed its 2025 Eurobonds, according to a stock market disclosure. The bonds were officially paid off on June 17.

    Chief Executive Officer Yuriy Ryzhenkov noted that since the start of Russia’s full-scale invasion in 2022, Metinvest has repaid two bond series totaling nearly $600 million—a significant milestone considering the company continues to operate under extreme wartime conditions.

    “These payments were made despite the war’s profound impact on the Group’s business model, including the loss of operational control and shutdown of certain assets in Ukraine,” Ryzhenkov told Interfax-Ukraine.

    Metinvest, a vertically integrated group with operations across Ukraine (Donetsk, Luhansk, Zaporizhzhia, and Dnipropetrovsk regions), the EU, UK, and US, is majority-owned by SCM Group (71.24%) and Smart-Holding (23.76%).

    In December 2024, Metinvest repurchased $16.27 million worth of its 2025 Eurobonds during an auction, buying them back at prices ranging from 86% to 92.5% of par value. Following the auction, €161.9 million in bonds remained outstanding.

    The company explained the buyback was part of a broader strategy to manage its debt portfolio, smooth payment obligations, bolster resilience, and ease liquidity pressures amid the high-risk operating environment in Ukraine.

    Despite these financial maneuvers, Metinvest reported a third consecutive annual loss in 2024, totaling $1.15 billion, mainly due to asset write-downs at Pokrovske Coal Group. In Q1 2025, steel output held steady, though coal production declined due to the situation in Pokrovsk, and iron ore concentrate volumes dropped by 21% compared to the same period in 2024.

  • Ukraine Needs Security Guarantees to Attract Investment in Industry and Mining

    Ukraine Needs Security Guarantees to Attract Investment in Industry and Mining

    To attract investments in industrial production and the lithium and uranium deposits, Ukraine requires security guarantees, says the CEO of Metinvest.

    2025 must become the year of economic recovery, stated Metinvest’s General Director, Yuriy Ryzhenkov.

    For investments in industrial production and mineral resources, security guarantees are needed to attract international investments in key industries. This will provide the country with new jobs and technological opportunities, according to Yuriy Ryzhenkov, the CEO of Metinvest.

    He emphasised that building a people-centric business, where employee and community well-being take precedence over financial success, is crucial for Ukraine’s recovery.

    “We already have over 1,000 veterans and are ready to train anyone interested in jointly building an economically stable and peaceful Ukraine. Victory efforts are being made by workers maintaining production, mobilized soldiers in the armed forces, and even women, some as young as 19, working in mines,” said Ryzhenkov.

    Since the start of the full-scale invasion, Metinvest has directed 8 billion UAH to aid Ukraine and its citizens, according to the company’s website. Of this, 4.4 billion UAH has been allocated for military needs under the “Steel Front” initiative.

  • Metinvest on the use of AI in green metallurgy

    Metinvest on the use of AI in green metallurgy

    Metinvest, a Ukrainian metallurgical company, has been utilizing artificial intelligence (AI) and analytics to improve its processes and become more environmentally friendly. In 2021, Azovstal Iron & Steel Works, a subsidiary of Metinvest, outperformed its competitors in terms of process efficiency thanks to AI. Ukrainian specialists were also able to perform maintenance twice as fast as their counterparts in neighbouring countries using augmented reality. The company has implemented a computer vision system that has improved the quality of its products. Metinvest’s CEO, Yuriy Ryzhenkov, stated that the company is undergoing a “green” and digital transition and that IT specialists are needed to implement these changes. The company plans to invest $9 billion in its green transformation, which includes modernizing its factories to produce low-carbon steel and building a new rolling plant in Italy. The green transformation of Metinvest’s Ukrainian assets could cost about $9 billion, according to Ryzhenkov. The company is also planning to replace four coal-fired blast furnaces with new equipment to cut carbon emissions, which will require an investment of $20-30 billion in the coming years. Metinvest aims to cut greenhouse gas emissions by 15% by 2030 and by 40% by 2040.

  • Metinvest Group Invests in Polish Logistics Center to Boost Ukrainian Metal Exports

    Metinvest Group Invests in Polish Logistics Center to Boost Ukrainian Metal Exports

    In a recent interview with leading Polish business publication Business Insider, CEO Yuriy Ryzhenkov unveiled Metinvest mining and metallurgical group’s plans to invest in a logistics center in Poland. The objective behind this investment is to enhance the supply of Ukrainian metal products for export.

    Ryzhenkov revealed that Zaporizhstal and Kamet Steel, two subsidiaries of Metinvest, are currently operating at 65-70% and 75% of their respective capacities. Approximately 25% of their products are sold within the domestic market, while the majority is exported, primarily to European Union countries. Notably, neighboring nations such as Poland, Slovakia, the Czech Republic, Romania, and Bulgaria are significant destinations for these steel products. The company also caters to customers in countries like Italy, Germany, and France.

    Ryzhenkov acknowledged that steel mills are faring relatively well in terms of sales. However, iron ore enterprises face different challenges. Aside from serving domestic consumption, China was a key buyer. Unfortunately, due to current circumstances, exports to China are nearly impossible as Black Sea ports are blocked. Consequently, EU border countries remain as buyers. Iron ore enterprises are currently operating at 35-40% of their capacity. Efforts were made to send raw materials to China through Romanian and Polish ports, but the logistics economics proved unviable in the current market conditions.

    Ryzhenkov pointed out that the company’s coal production in Ukraine is operating at full capacity. The coal is supplied to Metinvest’s coking enterprises within Ukraine and is also sold in the local market. Exports, mainly to Slovakia and Poland, account for the remaining portion.

    The CEO also mentioned that Metinvest’s 2022 steel production decreased by 69% compared to the previous year, significantly impacting various financial indicators, with profits in 2022 down by 54% compared to the prior year.

    Despite these challenges, Metinvest’s overarching strategy remains unchanged. The company aims to integrate Ukraine and its iron ore resources into the European steel production chain. Consequently, Metinvest continues to seek opportunities to acquire assets that facilitate the utilization of Ukraine’s raw materials to produce goods in the EU and supply them to European consumers.