Kolmar to invest in coal mining

Coal company Kolmar, 60% of which are owned by Gennady Timchenko and Andrei Bokarev, has planned to invest 25 billion rubles to triple the production to 12 million tons by 2017. The company wants to find a part of the money in the state-owned banks, but they haven’t yet given consent, and analysts don’t believe in rapid return of the money on the project against the background of the global decline in the demand for coking coal.

Kolmar, holding reserves of about 1 billion tons of coking coal in Yakutia, plans to invest 25 billion rubles to increase its production from the current 4 million tons to 12 million tons by 2017. About 30% of this amount are the funds of the company, the rest are the planned borrowings, mainly from Russian banks. And by 2020, Kolmar intends to increase the capacity to 20 million tons per year (investment hasn’t yet been determined), told co-owner (20%) and the general director of the company Sergei Tsivilev and deputy financial director Arkady Ostrovsky.