Russian coal company. Market analysis: Coal mining in Russia. Indicators of coal production and consumption in Russia

According to Deputy Minister of Energy of the Russian Federation Anatoly Yanovsky, Russian coal exports in 2017 will increase by 8% compared to last year and reach 185 million tons. This will mainly happen at the expense of the Asia-Pacific countries, he said in an interview with TASS, naming India and South Korea as the most promising destinations and Japan. Coal supplies to China remain stable.

“We predict that exports to Asia-Pacific countries will grow by 4-5 million tons per year every year,” since we produce higher quality coal than our competitors, Yanovsky said. Export growth will be achieved by improving the quality of coal and flexible pricing policies of companies.

This year, according to the deputy minister, Russia will reach record coal production of 400 million tons (+4% compared to 2016). At the same time, the volume of supplies in the western direction will either be stable or begin to decline.

These statements take on particular significance against the backdrop of the controversy surrounding the Paris climate agreement, one of the objectives of which is the limitation of coal-fired electricity generation, actively supported by the World Bank. The emphasis there is now on Africa.

The environment is important, but Americans are ahead

Despite the careful attitude towards climate and nature among all countries that care about the future of the planet, the economic use of coal is still more profitable for them than the use of LNG or pipeline gas, notes Alor Broker analyst Kirill Yakovenko. Countries where coal plays a large role in industry cannot quickly adapt to more environmentally friendly policies, if only because then they will quickly lose the profitability of the largest companies. Accordingly, the demand for coal is growing here. Of course, we are talking about Russia’s eastern neighbors, as well as Africa and the Middle East.

Let us recall that in the coal industry some time ago supply exceeded demand. From 2011 to 2016, prices fell due to excess supply, which led to the bankruptcy of a number of large players, and this turned the situation around. International quotes for Russian coal on spot markets for Eastern consumers increased from 52 to 91 dollars per ton, for Western countries - from 46 to 80 dollars.

Naturally, says Kirill Yakovenko, such a jump could not leave Russian industrialists indifferent, so last year, coal exports from the Russian Federation for the first time in many years exceeded the volume of domestic supplies: according to the Ministry of Energy, exports increased by 8.7%, amounting to 164.6 million tons , domestic supplies decreased by 4.3%. This helped Russia rise to 5th place in coal production. Only Australia, the USA, India and China are ahead of our country.

Africa remains with us

Regarding the issue of technical re-equipment of the industry, points out Alexander Raksha, partner in the Industry practice of the NEO Center consulting group, indeed, in order to remain competitive with the leaders, it is necessary not only to maintain a loyal price, but also to meet quality requirements. Given the high export potential of coal miners, investments in the industry are regularly increased; for example, last year a total of 73 billion rubles were allocated for modernization; this year the amount amounted to 90 billion rubles.

As for the prospects for global demand for coal, the analyst believes that the Russian government is extremely positive: reserves should last at least another 500 years, and forecasts in the energy sector continue to indicate that coal will remain in the top three for many decades to come earth's energy sources.

It is also important to add that in addition to the main consumers in Asia, coal supplies to Ukraine continue to increase, according to the Federal Customs Service, 9.9 million tons were supplied there in 2016 - an increase of 10.2% by 2015, however, the share of coal in the total export volumes Ukraine does not yet reach 7%.

Russia will maintain its highest priority for coal supplies to Asia and Africa, as well as India and Malaysia. We see great prospects in African countries: Egypt, Nigeria, Kenya, Zambia, Congo, Guinea and Tanzania. One of the reasons is the backwardness of these countries in their ability to use cleaner energy sources. Considering the pricing policy of Russian companies and relatively affordable logistics capabilities, concludes Alexander Raksha, Russia will be able to maintain its position as a global coal producer and remain in the top five.

The coal mining industry is the largest segment of the fuel industry. Throughout the world, it surpasses any other in terms of the number of workers and the amount of equipment.

What is the coal industry

The coal mining industry involves the extraction of coal and its subsequent processing. Work is being carried out both on the surface and underground.

If the deposits are located at a depth of no more than 100 meters, work is carried out using the quarry method. Mines are used to develop deposits at great depths.

Classic methods of coal mining

Working in open-pit coal mines and underground are the main methods of mining. Most of the work in Russia and in the world is carried out using open-pit mining. This is due to financial benefits and high production speed.

The process is as follows:

Using special equipment, the top layer of earth covering the deposit is removed. Several years ago, the depth of open-pit work was limited to 30 meters, but the latest technologies have made it possible to increase it by 3 times. If the top layer is soft and small, it is removed using an excavator. A thick and dense layer of earth is pre-crushed.
Coal deposits are broken off and taken away using special equipment to the enterprise for further processing.
Workers are restoring the natural topography to avoid harm to the environment.

The disadvantage of this method is that coal deposits located at shallow depths contain impurities of dirt and other rocks.

Coal mined underground is considered cleaner and of higher quality.

The main objective of this method is to transport coal from great depths to the surface. For this purpose, passages are created: an adit (horizontal) and a shaft (inclined or vertical).

In the tunnels, special combines are used to cut layers of coal and load them onto a conveyor that lifts them to the surface.

The underground method makes it possible to extract large quantities of minerals, but it has significant disadvantages: high cost and increased danger for workers.

Unconventional methods of coal mining

These methods are effective, but are not widespread - at the moment there are no technologies that allow you to clearly establish the process:

Hydraulic. Mining is carried out in a mine at great depth. The coal seam is crushed and delivered to the surface under strong water pressure.
Compressed air energy. It acts as both a destructive and lifting force; the compressed air is under strong pressure.
Vibration pulse. The layers are destroyed under the influence of powerful vibrations generated by the equipment.

These methods were used back in the Soviet Union, but did not become popular due to the need for large financial investments. Only a few coal mining companies continue to use unconventional methods.

Their main advantage is the absence of workers in potentially life-threatening areas.

Leading countries in coal production

According to world energy statistics, a ranking of countries occupying leading positions in coal production in the world has been compiled:

India.
Australia.
Indonesia.
Russia.
Germany.
Poland.
Kazakhstan.

For many years, China has been the leader in coal production. In China, only 1/7 of the available deposits are being developed, this is due to the fact that coal is not exported outside the country, and the existing reserves will last for at least 70 years.

In the United States, deposits are evenly scattered throughout the country. They will provide the country with their reserves for at least 300 years.

Coal deposits in India are very rich, but almost all of what is mined is used in the energy industry, since the available reserves are of very low quality. Despite the fact that India occupies one of the leading positions, artisanal methods of coal mining are progressing in this country.

Australia's coal reserves will last approximately 240 years. The mined coal is of the highest quality, and a significant part of it is intended for export.

In Indonesia, the level of coal production is growing every year. A few years ago, most of what was produced was exported to other countries; now the country is gradually abandoning the use of oil, and therefore the demand for coal for domestic consumption is growing.

Russia has 1/3 of the world's coal reserves, but not all of the country's lands have been explored yet.

Germany, Poland and Kazakhstan are gradually reducing their coal production volumes due to the uncompetitive cost of raw materials. Most of the coal is intended for domestic consumption.

Main coal mining sites in Russia

Let's figure it out. Coal mining in Russia is carried out mainly by open-pit mining. The deposits are scattered unevenly throughout the country - most of them are located in the eastern region.

The most significant coal deposits in Russia are:

Kuznetskoe (Kuzbass). It is considered the largest not only in Russia, but throughout the world; it is located in Western Siberia. Coking and hard coal are mined here.
Kansko-Achinskoe. Mining is carried out here. The deposit is located along the Trans-Siberian Railway, occupying part of the territories of the Irkutsk and Kemerovo regions, Krasnoyarsk Territory.
Tunguska coal basin. Represented by brown and hard coal. It covers part of the territory of the Republic of Sakha and the Krasnoyarsk Territory.
Pechora coal basin. Mining is carried out at this deposit. Work is carried out in mines, which allows the extraction of high-quality coal. It is located in the territories of the Komi Republic and the Yamalo-Nenets Autonomous Okrug.
Irkutsk-Cheremkhovo coal basin. Located on the territory of the Upper Sayan. Provides coal only to nearby enterprises and settlements.

Today, 5 more deposits are being developed that can increase the annual volume of coal production in Russia by 70 million tons.

Prospects for the coal mining industry

Most of the world's coal deposits have already been explored; from an economic point of view, the most promising ones belong to 70 countries. The level of coal production is growing rapidly: technologies are being improved and equipment is being modernized. Due to this, the profitability of the industry increases.

Coal is a type of fuel whose popularity peaked in the late 19th and early 20th centuries. At that time, most engines used coal as fuel and the consumption of this mineral was truly enormous. In the 20th century, coal gave way to oil, which in turn risks being replaced in the 21st century by alternative fuel sources and natural gas. But, nevertheless, coal is still a strategic raw material.

Coal is used to produce more than 400 different products. Coal tar and tar water are used to produce ammonia, benzene, phenol, as well as other chemical compounds, which, after processing, are used in the production of paints and varnishes and rubber. With deep processing of coal, rare metals can be obtained: zinc, molybdenum, germanium.

But still, first of all, coal is valued as fuel. More than half of all coal mined in the world is used in this capacity. And about 25% of coal production is used in the production of coke for metallurgy.

The world's total proven coal reserves amount to more than 890 billion tons, and estimated reserves are very difficult to estimate, since many deposits are located in inaccessible areas. According to some estimates, in Siberia alone, estimated coal reserves could reach several trillion tons. Proven reserves of hard coal are estimated at 404 billion tons, which is 45.39% of the total. The remaining 54.64% comes from brown coal, the quantitative reserves of which are estimated at approximately 486 billion tons. According to scientists' forecasts, coal should last humanity for about 200 years, while natural gas should be exhausted in 60 and 240 years, respectively.

Like other minerals, coal is unevenly distributed on the world map. Proven reserves of about 812 billion tons, which is 91.2% of all global coal deposits, are concentrated in 10 countries. Russia ranks second in the world with an indicator of just over 157 billion tons, of which coal accounts for 49.1 billion tons, that is, 31.2% of the total. And the United States of America leads in world coal reserves - more than 237.3 billion tons, of which 45.7% is hard coal.

At the end of 2014, 358.2 million tons of coal were produced in the Russian Federation. Which is 1.7% more than in 2013. The 2014 production figure is a record for Russia since the collapse of the Soviet Union. In the ranking of leading states in coal production, Russia ranks 6th. And China leads by a wide margin from its competitors; the country produces 3,680 million tons of coal, which is 46% of world production.

The dynamics of global coal production have two opposite directions. In the United States and developed countries of the European Union, coal production is gradually declining. According to experts, the decline in coal production in the United States could reach 20% by 2025. This is primarily due to the low profitability of mines and low prices for natural gas. In Europe, coal production is declining due to the high cost of production, as well as the negative impact of coal enterprises on the environment. Compared to 2000, coal production in the United States decreased by 11%, and in Germany by 8%.

On the other hand, the countries of Southeast Asia are showing enormous growth in coal production. This is due to the sharp economic recovery in the countries of this region. And since these countries are rich in mineral resources and only have coal in large quantities, it is not surprising that the focus is on this type of fuel. For example, in China, 70% of electricity is generated by coal-fired thermal power plants. To provide its industry with the necessary amount of electricity, China increased coal production by 2.45 times compared to 2000, India by 1.8 times, and Indonesia by 4.7 times. Coal production in Russia increased by 25% compared to 2000.

On average, 3,900 million tons of coal are used worldwide per year. The world's main consumer is China. Every year this country consumes about 2,000 million tons of coal. This figure represents 51.2% of average annual global consumption. Russian coal consumers used about 170 million tons of fuel at the end of 2014. This is the 4th indicator in the world. Overall, 8 countries account for 84% of global consumption.

Coal is one of the top three energy minerals. To understand what energy value each type of fuel has, a conventional fuel, the heat content of one kg, was introduced. which is taken equal to 29.306 MJ. Thermal content is the thermal energy that is available to be converted into heat when a material is subjected to a particular action. By the end of 2014, 240 million tons could be created from coal mined in Russia. standard fuel, which is 13.9% of the total amount of extracted energy resources.

The Russian coal industry employs about 153 thousand people. The average salary in the industry at the end of 2014 was 40,700 rubles, which is 24.8% more than the average salary in the country. But at the same time, the wages of coal industry workers are 26.8% lower than the wages of all enterprises involved in mining.

In 2014, 152 million tons of Russian coal were exported. This figure exceeded the amount of exports in 2013 by 7.8%. The total amount received for exported coal in 2014 was 11.7 billion US dollars. 12.76 million tons were exported to neighboring countries, and the bulk of 139.24 million tons were sent to non-CIS countries. 63% of exported coal was sent through seaports, the remaining 37% was sent through land border crossings. coal in the Russian Federation in 2014 amounted to 25.3 million tons, which is 15% less than in 2013. About 90% of imports are the import of thermal coals from Kazakhstan.

Geography of the industry

Today, there are 121 open-pit mines and 85 mines operating in the Russian Federation. The main centers of the coal industry are Siberia, where the Kuznetsk coal basin is located. Other large coal basins in the country are Kansko-Achinsky, Pechora, Irkutsk, Ulug-Khemsky, and Eastern Donbass. Promising areas for development are the Tunguska and Lena coal basins.

The Kuznetsk coal basin (Kuzbass) is one of the world's largest coal basins. Total geological reserves of coal are estimated at 319 billion tons. Today, more than 56% of all hard coal in Russia is mined in Kuzbass, as well as about 80% of all coking coal.

Coal mining is carried out both underground and open pit. There are 58 mines and 38 coal mines operating in the basin. More than 30% of coal is mined in open-pit mines; in addition, there are three mines in Kuzbass where mining is carried out using the hydraulic method. The thickness of the coal seams ranges from 1.5 to 4 meters. The mines are relatively shallow, with an average depth of 200 meters. The average thickness of the developed layers is 2.1 meters.

The quality of coal in the Kuznetsk basin varies. At depth, coals of higher quality occur, and closer to the surface, the moisture and ash content of coals increases. To improve the quality of mined coal, 25 washing plants operate in Kuzbass. 40-45% of mined coal is used for coking. The average heat content of coal is 29 – 36 MJ per 1 kg.

The main problem of the Kuznetsk coal basin is its remoteness from the main centers of consumption. High transport costs for transporting coal by rail increase it, which negatively affects competitiveness. In this regard, investments aimed at the development of Kuzbass are decreasing.

Unlike Kuzbass, the Donetsk coal basin, the eastern part of which is located on the territory of the Russian Federation, occupies an advantageous geographical location. Geological coal reserves in the Eastern Donbass are estimated at 7.2 billion tons. Currently, mining in the region is carried out only underground. There are 9 operating mines, the total production capacity of which is about 8 million tons of coal per year.

More than 90% of coal in the Eastern Donbass is the most valuable grade of this fuel - anthracite. Anthracites are coals that have the highest calorific value - 34-36 MJ per 1 kg. Used in the energy and chemical industries.

Coal mining in the Eastern Donbass is carried out from great depths. As a rule, the depth of the mines exceeds 1 km, while the thickness of the developed seams ranges from 1.2 to 2.5 meters. Difficult mining conditions affect the cost of coal, and therefore the Russian government spent over 14 billion rubles on restructuring the coal industry in the region from 2006 to 2010. In 2015, a government program was launched to liquidate unprofitable coal enterprises in the Eastern Donbass. The program is currently at the stage of developing project documentation.

The Ulug-Khem coal basin is one of the most promising for development and investment. It is located in the Republic of Tyva and has geological coal reserves of 10.2 billion tons. Here is the Eleget coal deposit, which has huge reserves of scarce coking coal of the Zh. grade. The total reserves of this type of coal are estimated at 1 billion tons, with the bulk lying in a seam 8.3 meters thick. For comparison, coals of this class are mined in Kuzbass from seams with a thickness of 2 – 2.3 meters.

The Mezhegey coal deposit with proven reserves of 213 million tons of Zh grade coal is also located here, as well as the largest coal mine in the Republic of Tyva - the Kaa-Khemsky coal mine. The section is developing a powerful Ulug seam, the average thickness of which is 8.5 m. The annual production volume is more than 500 thousand tons of coal.

The Kansk-Achinsk coal basin is the largest in Russia in terms of brown coal production. This basin is located in the Krasnoyarsk Territory and partly on the territory of the Irkutsk and Kemerovo regions. Coal reserves are estimated at 221 billion tons. Most coal is mined by open pit mining.

On average, more than 40 million tons of brown thermal coal are mined in the Kansk-Achinsk basin per year. The largest coal mine in Russia, Borodinsky, is located here. The average annual coal production at this enterprise is more than 19 million tons of coal. In addition to Borodinsky, there is the Berezovsky open-pit mine with production of 6 million tons of coal per year, Nazarovsky - 4.3 million tons per year, Pereyaslovsky - 4 million tons per year.

The Irkutsk coal basin has an area of 42,700 sq. km. Estimated coal reserves amount to more than 11 billion tons, of which proven reserves are 7.5 billion tons. More than 90% of the deposits are coals of the G and GZh grades. The thickness of the layers is 1 – 10 meters. The largest deposits are located in the cities of Cheremkhovo and Voznesensk.

The Pechersk coal basin is located in the Komi Republic and the Nenets Autonomous Okrug. Geological reserves of coal in this basin are estimated at 95 billion tons, and according to some sources at 210 billion tons. Mining is carried out underground and about 12 million tons of coal are mined annually. Coal enterprises are located in the cities of Vorkuta and Inta.

Valuable grades of coal are mined in the basin - coking coal and anthracite. Coal is mined under difficult conditions - the average mining depth is about 300 meters, and the coals have an average thickness of seams - 1.5 m. The seams are subject to subsidence and bending, as a result of which they increase in coal extraction. In addition, the cost of coal is influenced by the fact that mining is carried out in the Far North and workers receive a “northern” salary bonus. But, despite the high coal content, the role of the Pechersk basin is very important. It provides enterprises in the North and North-West of Russia with important raw materials.

The Lensky and Tungussky giant coal basins are located in the Eastern part of Siberia and Yakutia. The area of the Lena basin is 750,000 square meters. km., Tunguskoe - about 1 million sq. km. Data on the amount of coal reserves varies greatly; the geological reserves of the Lena basin range from 283 to 1,800 billion tons, and the Tunguska basin ranges from 375 to 2,000 billion tons.

Coal mining in these basins is difficult due to the inaccessibility of the territories. Today in the Lena basin, production is carried out in 2 mines and 3 open-pit mines, the average annual production is about 1.5 million tons of coal. In the Tunguska basin, production is carried out by 1 mine and 2 open-pit mines, the average annual production is about 800 thousand tons of coal.

Indicators of coal production and consumption in Russia

The coal industry of the Soviet Union, and after that of the Russian Federation, experienced several ups and downs. After record levels of coal production in the late 80s, a crisis in the industry began in the mid-90s. In 1988, a production record was recorded - 426 million tons, and after 10 years in 1998, production decreased by almost 2 times and amounted to only 233 million tons of coal.

The reasons for the crisis lie in the low profitability of the coal industry. In the 90s, it was decided to close subsidized and unprofitable mines. 70 mines were closed, which in total produced more than 25 million tons of coal. In addition to the rather low productivity of the mines, the coal they mined was of substandard grades, and its further processing was very expensive. As a result of the crisis, coal enterprises in the Moscow region practically ceased to exist. In Eastern Donbass, more than 50 mines were closed, which in percentage terms accounted for 78% of the total. In Kuzbass, production decreased by 40%. In the Urals and Far East, production decreased by 2 times.

At the same time, the construction of 11 new mines and 15 coal mines began. As a result of the reforms carried out, the share of open-pit coal increased to 65%, the productivity of mines increased by 80%, and the productivity of open-pit mines by 200%. Thus, it was possible to increase coal production and at the beginning of the 2000s, an increase in coal mining began, which continues to this day.

In 2014, 252.9 million tons of coal were mined by open-pit mining, which in percentage terms amounted to 70% of the total. Compared to 2013, this figure increased by 0.8%. And if we compare it with 2000, this figure increased by 34%.

About 45% of mined Russian coal is processed at washing plants. In 2014, out of 358 million tons of mined coal, 161.8 million tons were processed at factories. 43% of coal mined in the Pechersk basin is sent for processing, for Eastern Donbass this figure is 71.4%, for Kuzbass - 44%.

At the end of 2014, the most coal was mined in the Siberian Federal District - 84.5% of the total. For other Federal Districts the situation is as follows:

Far Eastern Federal District – 9.4%
Northwestern Federal District – 4%
Southern Federal District – 1.3%
Ural Federal District – 0.5%
Volga Federal District – 0.2%
Central Federal District – 0.1%

In 2014, taking into account imports, 195.95 million tons of coal were supplied to the Russian domestic market. This is 5.5% less than in 2013. The distribution of coal on the market is as follows:

Supply of power plants – 55.1%
For coke production – 19.3%
Municipal consumers and population – 13.3%
Metallurgy needs – 1.3%
JSC Russian Railways - 0.7%
Ministry of Defense of the Russian Federation – 0.4%
Nuclear industry – 0.3%
Other needs (State reserve, cement plants, Ministry of Internal Affairs of the Russian Federation, etc.) – 9.6%

The largest coal companies in Russia

The leader of the Russian coal industry is the Siberian Coal Energy Company (SUEK). At the end of 2013, enterprises included in the SUEK structure produced 96.5 million tons of coal, which is 27.4% of the total amount of coal produced in Russia. The company has the largest proven coal reserves in the Russian Federation – 5.6 billion tons. This is the fifth highest figure among all coal companies in the world.

The company's structure includes 17 coal mines and 12 mines. SUEK's coal mining enterprises are located in 7 regions of the Russian Federation. At the end of 2013, in the constituent entities of the Russian Federation, SUEK produced the following coal:

Kemerovo region - 32.6 million tons;
Krasnoyarsk Territory – 26.5 million tons;
Republic of Buryatia – 12.6 million tons;
Republic of Khakassia – 10.6 million tons;
Trans-Baikal Territory - 5.4 million tons;
Khabarovsk Territory - 4.6 million tons;
Primorsky Krai – 4.1 million tons;

SUEK enterprises specialize in the extraction of hard coal grades D, DG, G, SS, as well as brown coal. In total, open-pit coal mining accounts for 68%, and underground coal mining accounts for 32%. The turnover of the Siberian Coal Energy Company in 2013 amounted to 5.4 billion US dollars. The number of employees of the company exceeds 33 thousand people.

The second largest coal company in the Russian Federation is OJSC Kuzbassrazrezugol. The company specializes in open-pit coal mining and operates in 6 open-pit mines. At the end of 2013, 43.9 million tons of coal were produced at open-pit mines owned by Kuzbassrazrezugol.

The company's structure includes coal mining enterprises with proven coal reserves of more than 2 billion tons. Kuzbassrazrezugol produces and sells coal of the D, DG, G, SS, T, KO, KS grades; more than 50% of the products are exported. At the end of 2013, the company's turnover amounted to 50 billion rubles. The total number of employees exceeds 25 thousand people. Coal mines owned by Kuzbassrazrezugol:

Taldinsky;
Bachatsky;
Krasnobrodsky;
Kedrovsky;
Mokhovsky;
Kaltansky;

The SDS-Ugol company has the third highest level of coal production in Russia. In 2013, SDS-Ugol enterprises produced 25.7 million tons of coal. Of these, 66% were mined by open-pit mining, and 34% by underground mining. About 88% of the products were exported. The main importing countries of the SDS-Ugol company: Germany, Great Britain, Turkey, Italy, Switzerland.

The SDS-Ugol company is a subsidiary of the Siberian Business Union holding company. The structure of "SDS-Coal" includes 4 coal mines and more than 10 mines. Also in the company's structure there are 2 enrichment plants “Chernigovskaya” and “Listvyazhnaya” with an annual processing capacity of 11.5 million tons of coal and 10 million tons of coal, respectively. The staff of the SDS-Ugol company is about 13 thousand people. The company's average annual turnover is about 30 billion rubles.

Vostsibugol is the largest coal company in Eastern Siberia and the fourth largest coal company in Russia. The company's coal mining enterprises supply 90% of fuel to OAO Irkutskenergo. In addition, coal is supplied to enterprises in the Angara region and other regions of the country. Coal production at the end of 2013 amounted to 15.7 million tons.

Vostsibugol manages 7 coal mines, a processing plant with a processing capacity of 4.5 million tons of coal per year and an ore repair plant. The company produces coal grades 2BR, 3BR, D, SS, Zh, G, GZh. The total coal reserves at the deposits of the Vostsibugol company are estimated at 1.1 billion tons, of which 0.5 billion tons are hard coal, 0.6 billion tons are brown coal. The company's average annual turnover is about 10 billion rubles. Number of employees – 5 thousand people.

The Southern Kuzbass company closes the top five leaders in the Russian coal industry. At the end of 2013, the company's enterprises produced 15.1 million tons of coal. Southern Kuzbass is part of the Mechel holding and has 3 mines, 3 open-pit mines and 4 processing plants. Explored coal reserves amount to about 1.7 billion tons.

Industry development prospects

According to analysts, demand for coal will increase until around 2020. After which the consumption of this type of fuel will begin to gradually decrease. This forecast is associated with an increase in natural gas consumption in the future. And even the growing needs for coal in the countries of Southeast Asia and India will not be able to cover the decline in coal consumption in the developed countries of Europe and America.

Coal mining in Russia is a very important component of the country's economy. In addition to meeting domestic needs, coal is a strategically important export raw material. The demand for Russian coal is very high, but there is one problem due to which the cost of fuel increases. These are the costs of transporting coal.

In 2014, the average annual cost of a ton of Kuzbass export coal was $76, with about half of the amount having to be spent on transporting fuel to Far Eastern seaports. Coal consumption on the domestic market is decreasing due to the gasification of regions and enterprises, so for the development of the industry it is necessary to focus on exports.

In order to “stay afloat”, Russian coal companies must necessarily reduce the costs of coal production and transportation. It is also very important to develop technologies for the enrichment and processing of raw materials in order to supply more expensive grades of coal to the market.

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Coal is one of the most important energy sources in the world. It accounts for 41% of the world's electricity. The availability of coal among other types of fossil fuels makes this resource key in solving a significant problem of the 21st century: growing energy consumption

First position In the ranking of Russian coal companies, SUEK deservedly ranks: the largest coal association in our country. Enterprises managed by the company extract to the surface about 35% of the total amount of thermal coal in the Russian Federation. The formation of the holding began in 2001 with the merger of VostSibUgol and Chita Coal Company. Today, the association also includes the Krasnoyarsk Coal Company, the Sakhalin Coal Corporation, the Montenegrin Coal Company, the Izykhsky and East Beysky coal mines, and coal mining enterprises in Komi.

At the end of December 2016, SUEK management officially confirmed that the company had crossed the annual production line of 100 million tons of coal. This result was achieved for the first time in the history of the holding, which celebrated its 15th anniversary last year.

The main consumers of the products of the leader of the Russian coal industry, with a total workforce of 34 thousand people, are still the energy systems of Eastern Siberia and the Far East, large industrial enterprises and housing and communal services of these regions. In addition, energy raw materials are successfully exported abroad.

According to financial statements published in January of this year, the net profit of the SUEK holding for 2016 amounted to $303 million, which is 52% more than in 2015. Demand for coal continued to be strong both internationally and domestically. This allowed SUEK to reach a record production level of 105.4 million tons - 8% more than in 2015. Coal production increased by 17% due to investments in capacity expansion in previous years, as well as a program to improve operational efficiency.

The report particularly emphasized the policy of capital investment in improving industrial safety systems, as well as in environmental protection. In 2016, SUEK’s expenses for these purposes amounted to about 750 million rubles. Probably, the mentioned positive reporting was the reason that already in March 2017, according to the results of the independent Eco Best Award, Andrei Melnichenko’s company won in the nomination “For Contribution to the Sustainable Development of Russia”, and the main beneficiary himself was included in the 100 richest people world according to Forbes magazine. The publication estimated his personal capital at $13.2 billion.

Second place The ranking is occupied by Mikhail Gutseriev's Russian Coal OJSC, who, in addition, is a co-owner of the SAFMAR financial group. This coal company was founded in 2002. Its production assets are located in four regions of Russia: Kemerovo and Amur regions, the Republic of Khakassia and the Krasnoyarsk Territory. The joint-stock company includes nine coal mining enterprises, a processing plant, as well as energy supply, transport and repair divisions.

The products of the Russian Coal company are supplied to consumers in 60 constituent entities of the Russian Federation, as well as beyond its borders: the Baltic countries, Poland, Japan and South Korea. In 2016, the level of production was approximately equal to the same figure a year earlier and exceeded 10 million tons of coal.

Trying to keep up with the industry leader, the management of the Russian Coal company regularly invests working capital in the development of a new resource base, specialized equipment and in expenditure items for capital construction. The press service assures that mining equipment is annually modernized or replaced with more modern and productive ones.

In its work, Russian Coal OJSC adheres to the principles of social responsibility and investment in human capital. Agreements on socio-economic cooperation have been concluded in all regions of its presence. The company is active in charity and sponsorship activities, aimed primarily at helping children, as well as preserving natural resources. The enterprises of this open joint-stock company employ about 5 thousand people.

Third place Our rating, which is based on statistical data from Russian government agencies, is confidently occupied by the leading Russian industrial group En+ Group. It unites companies operating in the fields of metallurgy, energy, mining, as well as strategically related industries. The president and controlling shareholder of the holding, which was founded in 2002, is currently Oleg Deripaska.

En+ Group is the largest private investor in the economy of Eastern Siberia: in recent years, the Group's investments in regional projects have exceeded 280 billion rubles. En+ Group's portfolio of new investment projects in the East of Russia includes the development of coal deposits and other mineral resources. Following in this direction, En+ Group launched a railway in 2016 to the Beyskoye field in Khakassia, the potential of which is estimated at 3.3 billion tons. A significant part of the products of the coal division of the described industrial group is focused on export and fast-growing Asian markets.

The management of the holding, of which VTB Capital is also a shareholder, hopes that the implementation of the plans, combined with investments in infrastructure development, will make it possible to turn Eastern Siberia and the Far East into one of the key points of growth for the entire domestic economy.

All enterprises of the Group of Companies employ a total of over 100 thousand employees. Today, only at the stage of development of open-pit coal mines, the share of thermal coal supplied by the En+ Group group of companies to the Russian market is comparable to the share of Russian Coal - and amounts to 8%. The stated ambitious plans force us to assume that one day Oleg Deripaska’s holding will break into second position.

Fourth line The top list is occupied by the Ural Mining and Metallurgical Company (UMMC) OJSC of Iskandar Makhmudov, who has a fortune of $4 billion and, according to last year’s Forbes ranking, is among the top thirty richest businessmen in Russia. The holding, which unites over 40 enterprises in 12 regions of Russia, the Czech Republic and Lithuania, has been operating since October 1999. As of 2015, this industrial group occupied 7% of the Russian coal mining market.

Kemerovo-based Kuzbassrazrezugol, the largest company in the region and country specializing in open-pit coal mining, is responsible for coal mining in the UMMC system. At the end of 2016, the volume of coking coal production at the UK deposits amounted to 6.2 million tons.

Among the priority areas of development, the management of the Kuzbassrazrezugol company highlights an increase in the volume of coal processing and enrichment, an increase in the quality and competitiveness of manufactured products through the modernization of production, as well as other, including environmental, measures. The technical park of the industrial flagship of the Kemerovo region is 1,600 units of special equipment: including 270 excavators of domestic and imported production, as well as over 530 mining dump trucks with a carrying capacity from 45 to 360 tons.

In fifth position global holding of mining and metallurgical companies Mechel by Igor Zyuzin, founded in 2003. This major player in the Russian coal market today unites more than 20 industrial enterprises. First of all, these are producers of coal, iron ore, ferroalloys, thermal and electrical energy. All PJSC enterprises operate in a single production chain: from the extraction of raw materials to products with high added value.

The holding remains the first and only production association of mining companies in Russia that managed to list its shares on the New York Stock Exchange. Since 2004, ADRs for the company's ordinary shares have been traded on the largest American platform. Since May 2010, ADRs for preferred shares of Mechel have also been traded on the New York Stock Exchange.

The company's key investment project still remains the Elga coal deposit in the Sakha Republic. Based on reserves of high-quality coking coal, it is estimated at 2.2 billion tons (JORC standards). Mechel's mining segment also includes such coal companies as: Southern Kuzbass, YakutUgol and Moscow Coke Plant. Based on the results of financial activities for 2016, the revenue of the Mechel group of companies exceeded 190 billion rubles.

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