OREANDA-NEWS. Coal reserves at thermal power stations increased by 11% in October but the increase was uneven among the GenCos. This caused the dramatic change in the companies' coal reserve rating levels y/y compared to the end of September.  On September 30, 2007, at Zakhidenergo <  ZAEN UZ USD119.61 Hold  > the level of coal reserves was down by 31.6% compared to the same date in 2006, but by the end of October the figure was just -2.6%. For Dniproenergo <  DNEN UZ USD503.96 Sell  > the figures were -5.4% and -23.9%, respectively (a marked deterioration). For Donbasenergo <  DOEN UZ USD37.03 UR  > the move was from -52..0% to -38.3% and for Centrenergo <  CEEN UZ USD5.00 UR  > -11.9% to -36.7%.

Millennium Capital experts believe the coal reserve deterioration at DNEN and CEEN is directly connected with them starting to use their units that run on expensive natural gas and guess this development is negative for both companies' profitability. The improving coal reserves situation at DOEN and ZAEN, on the other hand, is positive for these two companies.