Metinvest estimates damage from war at $3.5 billion

Metinvest Group estimated the damage caused by damage and loss of control over some enterprises as a result of Russia's military actions against Ukraine at $3 billion 523 million. Such data is contained in a presentation for the JP Morgan Global Emerging Markets Corporate Conference.

In particular, the company estimated the losses from the shutdown of enterprises located in the temporarily occupied Mariupol at $3.181 billion. We are talking about the Azovstal and Ilyich Iron and Steel Works, the Mariupol Mechanical Repair Plant. This amount includes damage associated with damage to production facilities, as well as the loss of finished products and equipment.

Some of the Group's businesses located in government-controlled territory also sustained physical damage. The company estimated the damage from the actions of the Russian army, which led to this situation, at $290 million. Another 52 million dollars. Metinvest assessed the damage from the termination of the activities of its traders Metinvest Eurasia and Metinvest Distribution, operating in Russia and Belarus.

The Company is making efforts to recover compensation from the Russian Federation in court.

As Metinvest previously reported, the group's enterprises in Mariupol and Avdiivka suspended their operations due to hostilities. Other assets of the group operate at different levels of loading, taking into account security, logistics, energy, economic and other factors. In particular, thanks to the stabilization of the electricity situation, a gradual increase in the utilization rate of the Group's iron ore assets in Krivoy Rog is expected to be at least 30% of the pre-war level. In addition, Kametstal and the joint venture Zaporizhstal operate two blast furnaces each. The Pokrovskaya coal group operates at about 80% of its pre-war power.