OREANDA-NEWS. Key Highlights:
In  9M2013, overall raw coal production amounted to approx. 6 million tonnes,  24% higher than in 9M2012.
In 3Q2013,  overall  raw coal production increased by 18% compared to 2Q2013 and totaled 2 million tonnes.

In  9M2013, raw coal production at Raspadskiy open pit almost doubled  compared to the same period of 2012 and totaled 3 million tonnes.
In 3Q2013, MUK-96 mine also increased its production after capacity reached the plan at face 5-15-22(2) following a repositioning there in 2Q2013. Raspadskaya-Koksovaya mine increased production at face 0-5-3 as well.
In 3Q2013, concentrate output ratio was 73.8%.
In 9M2013, sales volumes of coal concentrate increased by 37% compared to the same period of 2012 and exceeded 4 million tonnes.
In 3Q2013 and 9M2013, sales volumes to EVRAZ’s  assets  in Russia and Ukraine  accounted for about ј of total sales volumes of Raspadskaya’s coal products.
Export  share amounting to approximately 40%  of the total sales in 9M2013,  70% of export sales were directed to the Asian Pacific region and 30% to Ukraine.
A decrease in raw coal  sales volumes  by 5% in 3Q2013 compared to 2Q2013 and  by 12% in 9M2013 compared to 9M2012 occurred mainly  because of
Raspadskaya coal preparation plant started  washing coal of KO grade, with sales  volumes of KO concentrate amounting to 70 thousand tonnes.
In 3Q2013, weighted average sales price of coal concentrate  decreased by 9% in  rubles and 13% in US dollars compared to 2Q2013. The main reasons for the negative dynamics of weighted average sales price were an overproduction on  the world coal market and the impact of low Chinese prices on the global price environment in the coal sector, as well as the general situation with the metallurgical overproduction.
Signed domestic contracts to supply coal products in 4Q2013 maintain 3Q2013  price (based on FCA Mezhdurechensk, 2,550 rubles per tonne of SHCC  concentrate). 4Q2013 international market price of HCC concentrate based on  FOB Australia (USUSD 152/t as against USUSD 145/t in 3Q2013) will be reflected in  contracts to supply Raspadskaya’s SHCC concentrate on export markets  particularly Asian premium markets.

Raspadskaya’s CEO, Gennady Kozovoy, commented:
"We continue to work on the long-term supplies to premium Asian markets.  Following recent discussions with large steel companies in Japan and South  Korea, we signed contracts to supply our coal products in 4Q2013 and 1Q2014  with subsequent prolongation.
This year at Raspadskaya coal preparation plant we started production of  concentrate of KO grade which is being sold to EVRAZ’s plants in Russia and  Ukraine alongside raw coal".