News Room - Business/Economics

Posted on 08 Jun 2023

Metinvest, Interpipe continue production despite power plant destruction

Ukrainian steelmakers Metinvest and Interpipe’s Nikopol seamless pipe plant, Niko Tube, are operating normally after the Kakhovskaya Hydroelectric Power Plant (HEPP) was destroyed on Tuesday.

Ukraine has accused Russia of being responsible for the destruction of the large Nova Kakhovka dam. Russia has denied this and instead accused Kyiv of being behind the disaster.

“The situation at the Metinvest Group enterprises in Kryvyi Rih is now under control,” a spokesperson tells Kallanish. “However, the Ukrainian authorities urged that it is necessary to reduce water consumption by industrial enterprises as much as possible, because 70% of Kryvyi Rih's water is supplied from the Kakhovsky Reservoir.”

Metinvest is helping Ukrainian army engineers to build fortifications around Pokrovsk, Donetsk region, the company says in a separate announcement. Metinvest Pokrovskugol is providing special equipment, diesel fuel and specialists for this project.

Interpipe Niko Tube also reports normal operation after the Kakhovskaya HPPP was destroyed.

“Of all the industrial assets included in Interpipe, the Interpipe Niko Tube plant may be at risk due to the current situation at the dam,” it notes. “While the enterprise is operating as planned, production has not stopped. The company's management is constantly monitoring the situation.”

Interpipe Niko Tube is one of the largest manufacturers of pipe for the oil and gas industry, special pipe for machine building and the energy industry, and general pipe for other industrial applications.

On Thursday, ArcelorMittal Kryvyi Rih (AMKR) suspended steel production due to the disaster (see Kallanish passim).

The operation of almost all water-cooled equipment at AMKR has been temporarily suspended to preserve production units and reduce water consumption until the situation returns to normal. At the same time, the blast furnace and coke-chemical production are still functioning. The company expects to resume normal operations after assessing the impact of the water level drop.

Source:Kallanish