Ukrzaliznytsia sold scrap for 10.6 million UAH out of the planned 45.5 million UAH

Ukrzaliznytsia (UZ) successfully sold 2.62 thousand tons of ferrous metal scrap worth UAH 10.6 million. Initially, the railway operator planned to sell 11.62 thousand tons of raw materials for UAH 45.47 million. The average price per ton of sold secondary scrap metal was UAH 3.93 thousand. This is evidenced by the relevant information of the electronic trading system Prozorro.Sale.

In total, 25 lots of scrap were published, and only 3 auctions were successfully held. UZ failed to sell 8.99 thousand tons of scrap worth more than UAH 34.96 million. This is not the first time that such lots have been put up for sale, but buyers are not interested in these types of scrap or consider the value high.

Lots that UZ managed to sell at auctions on February 16, 2023

Source: prozoro.sale.

Among the scrap sold are types 501 and 503. These are worn parts of rolling stock, etc. Other lots of scrap consist of shavings, wire, engine parts, and more. Such scrap is not popular among steel enterprises.

From the beginning of 2023, UZ successfully implemented 9.91 thousand tons of ferrous metal scrap worth UAH 41.7 million.

As GMK Center reported earlier, in 2022, Ukrzaliznytsia successfully implemented 113.04 thousand scrap ferrous metals with a total value of UAH 669.98 million. This is 43.8% and 55.4% less, respectively, compared to 2021.

Among the main buyers of raw materials were:

• Metinvest-Resources – 37 lots (33.28 thousand tons for UAH 178.1 million);
• Dniprostal – 36 lots (30.34 thousand tons for UAH 155.66 million);
• Ferolit – 16 lots (12.3 thousand tons for UAH 95.19 million).

In general, the railway year the operator planned to implement 170 thousand tons of scrap metal. The state company also intended to dismantle 13,000 wagons, the weight of which is partially included in the above figure.