Integrated annual report | Samruk-Energy JSC

Coal

“Bogatyr Komir” LLP

(Forum Muider B.V. – 100%)

R. Sansyzbayev
Director General

After becoming a part of the country’s main energy holding company in 2008 which is “Samruk-Energy” JSC the coal mining company Bogatyr Komir significantly strengthened its leading position in the field of fuel power industry and entered a game-changing level of production. Having tremendous reserves of coal. which is about 2.75 billion tons. Bogatyr and Severny open-pit coal mines are impressive with the scale of their industrial development.     Today “Bogatyr Komir” LLP is on the threshold of another technological breakthrough. Responding to modern challenges, the company is actively preparing for the transition to cyclical-and-continuous technology of mining, blending and loading of coal. Auto-railway and conveyor-and-railway technologies, which are an intermediate stage of the transition to cyclic-and-continuous technology, have already been introduced at the “Bogatyr” open-pit coal mine that belongs to the partnership.

Along with this, in the past years, an investment project worth 2,880 million tenge was implemented to reconstruct the transport scheme of “Bogatyr” open-pit coalmine to prepare sites for the construction of cyclical-and-continuous technology facilities. The implementation of this project allowed:

preparing sites for construction of cyclical-and-flow technology facilities;

reducing the average range of coal transportation from 16.2 km in 2006 to 12.9 km in 2010;

reducing the length of railway tracks of the coal complex by 19.4 km and 128 turnouts.

Thanks to this systematic work. “Bogatyr Komir” LLP continues to be one of the largest enterprises in the world for extraction of coal by open-pit coal mining method. The company accounts for 60 percent of all coal produced in the Ekibastuz coal basin and 40 percent of the total coal production in the Republic of Kazakhstan. At the same time, the production capacity of the enterprise allows it to produce up to 42 million tons of coal per year, including 32 million tons at the “Bogatyr” open-pit coal mine and 10 million tons at the “Severny” open-pit coal mine.

For almost half a century history of the mine, “Bogatyr” miners extracted and shipped to consumers over 1.5 billion tons of coal. The company firmly holds the position of the most reliable and time-tested supplier of solid fuel for the energy systems of Kazakhstan and the Russian Federation.

The prospective plans of “Bogatyr Komir” LLP are associated with major projects of Kazakhstan’s power sector for reconstruction and commissioning of new power capacities at Ekibastuz SDPP–1, SDPP–2, Karaganda CHP–3, the power system of Astana, as well as with the construction of Balkhash TPP and TPP in Taldyqorgan city.

Financial performance

Indicator

Measurement unit

2008

2015

2016

2017

Net income

mln. tenge

11,637

9,268

11,191

21,960

EBITDA

mln. tenge

19,893

23,307

22,785

34,506

EBITDA Margin

%

44.6

41.8

36.4

43.4

Results of operating activities

Description

Measurement unit

2008

2015

2016

2017

Coal production volume

mln. tons

46.1

34.5

35.1

40.4

The volume of coal sales in the RK

mln. tons

24.0

23.3

25.9

30.7

To own PP

mln. tons

13.7

11.6

11.5

15.6

Third party PP

mln. tons

10.3

11.7

14.4

15.1

Coal export volume

mln. tons

22.2

10.6

9.2

10.2

Commercial consumers

Ekibastuz SDPP–1, SDPP–2, Almaty and Karaganda CHP, Akmola CHP–2, Petropavlovsk CHP–2 and Russian – Reftinsk, Troitsk SDPPs and Kurgan CHP

* The share of coal supplies to thermal power plants is 95 % of the total volume of supplies, to budget organizations (municipal coal) – 5 %.

    Deliveries to the domestic market of the Republic of Kazakhstan account for 75 % of the total volume of deliveries, for exports – 25 %

Environmental indicators

Social indicators

Dynamics of average wage, tenge