The modernisation of the Company’s production assets and better operational efficiency enabled us to achieve our production targets in 2015. With the commissioning of key production facilities, we are able to expand production and improve the quality of our iron ore, HBI/DRI and steel products.
A major part of the Company’s revenue is earned from shipments to Russian consumers, which is why the state of the Russian economy has a significant impact on the Company’s performance.
International sanctions and low oil prices resulted in lower economic growth rates forecast by the International Monetary Fund for Russia (-3.7% in 2015, -1.0% in 2016, 1.0% in 2017).
However, the obvious need to support economic activity in Russia will result in the development of infrastructure projects. In view of this, Metalloinvest closely monitors the largest federal investment programmes and strives to take advantage of the opportunities provided by these projects.
In 2015, the Company continued to implement its initiatives aimed at decreasing ore extraction and processing costs and improving competitiveness in the global market through the optimisation