Coal shortage returns: Impact of halting mining in Pokrovsk amid Russian advances

Russian forces continue their active offensive actions near Pokrovsk in Donetsk Oblast, attempting to bypass the town and intensively shelling it. The situation has become so tense that the Metinvest Group, owned by Rinat Akhmetov, was forced to suspend operations at local enterprises specializing in coal mining and processing. Employees have been evacuated.
After losing coal mines in non-government-controlled territories in 2014, the Pokrovske Mine Management remained the sole source of coking coal, essential for metallurgical production. Now, Ukrainian steelmakers will have to import this resource from abroad.
LIGA.net investigated how domestic steelmakers prepared for the shutdown of the only source of coking coal, how much their costs would increase, and how this would affect the competitiveness of Ukrainian steel products in foreign markets.
Suspension does not mean closure
In mid-January, Metinvest announced the suspension of operations at the Pokrovsk Coal Group due to worsening security conditions for employees. This includes the Pokrovske Mine Management, the Svyato-Varvarynska enrichment plant, and other coal production units in Pokrovsk.
"The Pokrovsk Coal Group is the energy heart of Ukrainian metallurgy, providing a significant portion of export revenues to Ukraine's budget. However, under conditions of daily escalation, we cannot risk the safety of thousands of employees and their families," said Metinvest CEO Yuriy Ryzhenkov.