ArcelorMittal Kryvyi Rih increases steel production by 70-72%, cast iron by 43%, coke by nearly half, concentrate by 72% in 2024

In 2024, PJSC ArcelorMittal Kryvyi Rih (AMKR, Dnipropetrovsk region, Ukraine), a major mining and metallurgical plant, increased its rolled steel production by 72.1% compared to 2023, reaching 1,534,519 tonnes from 891,438 tonnes. Steel production rose by 69.9%, reaching 1,651,410 tonnes compared to 971,846 tonnes.

According to a press release issued by the company on Tuesday, pig iron production grew by 42.7%, totaling 2,167,616 tonnes compared to 1,519,183 tonnes.

Additionally, AMKR increased the production of coke (with 6% moisture content) by 48.5%, reaching 1,254,743 tonnes compared to 845,068 tonnes. Iron ore concentrate production rose by 71.7%, totaling 7,820,682 tonnes compared to 4,555,365 tonnes, while iron ore extraction increased by 68.3%, reaching 19,189,037 tonnes from 11,401,600 tonnes.

Despite these improvements, challenges such as electricity shortages, high energy costs, and expensive logistics, combined with an unfavorable pricing environment for metallurgical products, prevented AMKR from achieving a break-even level in 2024.

During the middle of the year, the plant temporarily reached 50% capacity utilization in its metallurgical operations, while its mining department operated at approximately 70-75% of pre-war levels.

AMKR CEO Mauro Longobardo emphasized that the war continues to affect all production processes.

"We made every effort to achieve a break-even point, cutting internal costs and optimizing consumption. However, this goal was unattainable due to several factors, including operating with only one blast furnace, a fire at the coke battery caused by a blackout in the summer, and its subsequent loss. Additionally, expensive logistics, unstable energy supply due to constant enemy attacks, a labor shortage, and depressed external markets have negatively impacted our competitiveness and financial results," Longobardo explained.

The business plan for the plant remains focused on survival.

"We remain cautious in our forecasts, understanding that our results are far from pre-war levels. We continue to invest only in strategically critical projects, such as constructing the 'Third Map' tailings storage facility, whose first phase we completed this year. In 2025, our goal remains to sustain ourselves independently without financial assistance from the group that has supported us through these challenging times. Despite all obstacles, AMKR remains in Ukraine and with Ukraine. We believe in victory and are ready to contribute to rebuilding the country," Longobardo concluded.

ArcelorMittal Kryvyi Rih is Ukraine's largest producer of long steel products, specializing in rebar and wire rod. The plant operates a full production cycle, with annual capacities of over 6 million tonnes of steel, 5 million tonnes of rolled products, and 5.5 million tonnes of pig iron.