Poland’s JSW increases the share of coking coal production

Poland’s Jastrzebska Spolka Weglowa has opened new sections with a depth of 900 m in a longwall 34 at the Knurow-Szyglowice mine. This is stated on the company’s website.

The daily load of longwall will be close to 3.5 thousand tons.

As Jaroslav Tvardokens, the head of the Knurov-Szyglowice mine, noted, this is an important investment, part of a strategy to increase the share of coking coal in the total volume of production at JSW mines. Operation of the bench is planned to be completed in March 2024.

Jastrzebskie Zaklady Remontowe (JZR), a member of the JSW Group, supplied the complex of 143 sections of mechanized bench fixing. These are the first sections completely designed and produced by JZR staff.

As GMK Center reported earlier, JSW in the 3rd quarter of 2022 reduced production of coking coal and coke by approximately 2.7% y/y and 15.5% y/y, respectively. The company preferred the production of thermal coal against the background of higher prices for it. Total sales of coking coal in this period fell by 4.5% compared to the same period last year – to 2.65 million tons.

Also, the international credit rating agency Fitch Ratings has updated its forecasts for the prices of metals and raw materials for 2022-2023. In the current year they were supported by its use in the production of electricity due to the European energy crisis, the increase in prices for thermal coal and gas. However, prices are expected to fall in 2023 on the back of lower demand from the steel industry and more stable energy markets. By the end of 2022, Fitch expects, the price of coking coal will be $370/t.

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