Metinvest Mining and Metallurgical Group will resume investments in new Ukrainian assets only after the war, the company’s CEO Yuriy Ryzhenkov has said.
“Ukraine must win convincingly in order to resume investment,” he told Forbes-Ukraine.
According to the publication, in the conditions of war the group is rethinking its strategy, but the task remains unchanged – to become one of the key players in the European metallurgical market.
According to Ryzhenkov, the company plans to build a new plant in Bulgaria or Italy, which will provide the group’s mining and processing plants with a market for iron ore.
In turn, Director General of Zaporizhstal Oleksandr Myronenko, predicts that it will be possible to return to new large projects in Ukraine in two or three years after the end of the war. So much time, according to him, will take the resumption of logistics chains, production volumes, the return of old and the search for new employees.
The company is considering two possible options for restoring its assets in Mariupol liberated from the invaders. None of them assumes the resuscitation of Azovstal in the same place.
The first is the restoration of Illich Iron and Steel Works with the expansion of its production lines, which were at Azovstal. The approximate cost of the project, according to Enver Tskitishvili, Director General of Azovstal, is $15 billion, the construction period is seven years. It will take two or three years only to clear and prepare the site.
The second option is to build a new plant on a new territory. The approximate cost of this project is $8-9 billion.
Metinvest is a vertically integrated group of mining and metallurgical enterprises. The group’s enterprises are located mainly in Donetsk, Luhansk, Zaporizhia and Dnipropetrovsk regions.