Металлургия

Zaporizhstal [ZPST UZ, Strong BUY] decreased crude steel output to 250-270 thsd mt in September, according to Metal Courier; this is about 35-40% below the average 8M08 level of 417 thsd mt per month.

Alchevsk ISW [ALMK UZ, BUY] plans to launch the 3 mln mt oxygen converter No. 1, the company’s second, on September 19-20. According to Metal Courier, the company will simultaneously retire a total of 1.4 mln tpa of open hearth steel smelting capacities.

Evraz Group [EVR LI, N/R] announced on September 11 that it has closed the acquisition of 48.6% of shares in Palmrose Ltd of Cyprus.

At a September 10 EGM, shareholders of the Dnipropetrovsk Metallurgical Plant named after Komintern, or Kominmet [DMZK UZ, N/R], approved a share capital increase plan.

Daniel Valk, the CEO of Dniprospetsstal [DNSS UZ, U/R], shared his vision of the company’s short-term future. Its 2008 plans and projections: CapEx, USD 20-30 mln; output, 340-350 thsd mt; net income, same as in 2007 give or take 10%. The three-year CapEx program: USD 150 mln.

Concern Stirol [STIR UZ, U/R] declared UAH 10 mln (USD 1.98 mln at USD/UAH 5.05) dividends at its AGM on September 06. The payout ratio is 4.5%, DPS is 7.3 USc per share, and dividend yield is 0.54%. The ex-rights date is supposedly September 06.

Zaporizhya Ferroalloys [ZFER UZ, N/R] produced 324.4 thsd mt of ferroalloys in 8M08, down 1.5% YoY. According to Interfax-Ukraine, FeSi (45%) output was up 9.5% to 48.4 thsd mt, SiMn output was down 13.9% to 194.7 thsd mt, FeMn output was up 51.7% to 76.3 thsd mt, and the output of metallic Mn was down 41.9% to 5 thsd mt.

Stakhaniv Ferroalloys [SFER UZ, N/R] produced 169.8 thsd mt of ferroalloys in 8M08, up 5.7% YoY. According to Interfax-Ukraine, FeSi (45%) output was up 26.6% to 69.5 thsd mt, while SiMn output was down 18.5% to 86.1 thsd mt.

Nikopol Ferroalloys [NFER UZ, N/R] produced 687.7 thsd mt of ferroalloys in 8M08, down 3.8% YoY. According to Interfax-Ukraine, SiMn output was down 13.8% to 465 thsd mt, whereas FeMn output was up 26.8% to 22.7 thsd mt.

Metinvest B.V., a member of the Metinvest Group, was assigned a Ba3 corporate family rating with a positive outlook by Moody’s.