Evraz steel production falls in 2015 despite fourth quarter bounce

19th Jan 2016 11:56

(ShareCast News) - A year-end update from Evraz revealed production by the steel group fell in 2015 despite higher output in the fourth quarter.With average steel selling prices in the fourth quarter varying by between a half and a third from 2014 prices, the FTSE 250 group reduced crude steel production by 8% over the year, or by 5% if excluding the reconsolidated Highveld Steel and Vanadium business.In the fourth quarter, crude steel output increased 2% to 3.6m tonnes thanks to the completion of maintenance works at steel mills in the US and Ukraine.Production of steel products, net of re-rolled volumes, was down 6% year-on-year, or down 4% without Highveld.Steel product production was up 5% in the fourth quarter, on the back of an improved performance in Ukraine.Raw coking coal output jumped 12% after work was done at Russia's Yuzhkuzbassugol mines, though production of coking coal concentrate was down 6% as a result of seasonally softer demand from the country's steelmakers.Shares in Evraz were up 7% to 62.75p just after noon on Tuesday, still around their all-time lows.