Operational model

P&P reserves

8.2
bln t of iron ore
1.8
bln t of coking coal

Self-coverage

81%
of iron ore
195%
of coking coal

Number of employees (as of 31.12.2016)

55,725
in Steel segment
14,974
in Coal segment
3,005
in Steel, NA segment

Operations

Steel segment

Iron ore products consumption, kt 18,956
Internal consumption, kt 13,728
3rd parties purchases, kt 5,228
3rd parties scrap purchases, kt 1,758
Coking coal products consumption, kt 9,030
Coal segment raw coking coal, kt 1,249
Coal segment coking coal concentrate, kt 4,452
Steel segment coking coal concentrate, kt 1,808
3rd parties raw coking coal, kt 1,144
3rd parties coking coal concentrate, kt 2,770
Pig iron production, kt 11,314
Crude steel production, kt 12,157
Vanadium slag output, mtV 16,886
Steel products output, kt 11,182
Vanadium products (saleable) output, mtV 12,861
Steel
products
11,792
kt
Semi-finished products  —  5,601
Construction products  —  4,135
Railway products  —  1,134
Flat-rolled products  —  351
Tubular products  —  53
Other steel products  —  518
Iron ore products
4,218 kt
Vanadium products (saleable)
1 1,394 mtV

EBITDA

US $ 1 , 0 0 4
million
7.1%
yoy
The Steel segment’s EBITDA fell amid negative steel price trends and a reduction in sales volumes. This was partly offset by lower expenses in US dollar terms due to rouble depreciation, as well as the effects of cost-cutting initiatives implemented in 2016 as part of the ongoing productivity improvement programme.

Coal segment

EVRAZ’ unique combination of reserves, operations, product quality and clients make its Coal segment the crucial pillar of its business model. The synergy between the steelmaking and coal operations, combined with a broad export client base, provides the opportunity for further development of the coal business.
Total raw coking coal mined, kt 22,257
Sales to Steel segment, kt 1,249
Total coking coal concentrate sales, kt 12,750
Sales to Steel segment, kt 4,452
Coking
coal products
9,867
kt
Raw coal, kt  —  1,569
Coking coal concentrate, kt  —  8,298

EBITDA

US $ 644
million
83.5%
yoy
The Coal segment’s EBITDA increased year-on-year on the back of higher sales prices and volumes, accompanied by the effects of cost-cutting initiatives and rouble depreciation, which was favourable for costs.

Steel, North America segment

3rd parties scrap puchases, kt 990
Crude steel production, kt 1,370
Slab purchases, kt 485
Steel segment slab, kt 466
3rd parties purchases, kt 19
Steel products output, kt 1,650
Steel
products
1,672
kt
Flat-rolled products  —  536
Tubular products  —  534
Railway products  —  321
Construction products  —  281

EBITDA

US $ 2 8
million
49.1%
yoy
The Steel, North America segment’s EBITDA was impacted by lower sales volumes and prices, stemming from a downturn in the OCTG and rail markets.