CAPEX strategy

Key investment project

The coal division’s main investments have gone towards ensuring stable production by increasing efficiency: replacing and repairing worn-out equipment, and upgrading production processes by using more modern equipment (eg increasing tunnelling rates, degassing volumes, and concentrate output), as well as preparing new blocks and seams as future mining reserves.

Mezhegey project

Additional capacity of 1.5 mtpa of hard coking coal (grade Zh under Russian classification)


Construction completed, start of room-and-pillar mining.

CAPEX US$148 million
IRR 12%

The Group plans to begin implementing investment projects aimed at maintaining current output levels in 2017.