Jump to content

Siberian Coal Energy Company: Difference between revisions

From Wikipedia, the free encyclopedia
Browse history interactively
← Previous edit
Content deleted Content added
VisualWikitext
Sasha-int (talk | contribs)
165 edits
Updated the article (clarified data, removed repetition, improved structure)
 
(45 intermediate revisions by 23 users not shown)
Line 1: Line 1:
{{short description|Russian business}}
{{short description|Russian business}}

{{Infobox company
{{Infobox company
| name = Siberian Coal Energy Company<br/>SUEK
| name = Siberian Coal Energy Company<br/>SUEK
Line 16: Line 17:
| locations =
| locations =
| area_served = Siberia and Far East
| area_served = Siberia and Far East
| key_people = <br/>Aleхander Redkin<ref>{{Cite web|url=https://1prime.ru/energy/20230707/841031343.html|title=ЭМаксим Басов оставил пост генерального директора СУЭК|language=ru|date=2022-04-11|publisher=[[Прайм]]}}</ref>
| key_people = [[Andrey Melnichenko (industrialist)|Andrey Melnichenko]] (main beneficiary)<br/>[[Samir Brikho]] (Chairman)<br/>[[Stepan Solzhenitsyn]] (CEO)
| industry = Coal mining, heat and power generation
| industry = Coal mining, heat and power generation
| products = Coal and energy
| products = Coal and energy
| services =
| services =
| revenue = US$7,547 billion
| revenue = US$6,683 billion
| revenue_year = 2019
| revenue_year = 2020
| operating_income = US$1,062 billion
| operating_income = US$892 million
| income_year = 2019
| income_year = 2020
| net_income = US$706 million
| net_income = US$194 million
| net_income_year = 2019
| net_income_year = 2020
| assets = US$16,471 billion
| assets = US$16,034 billion
| assets_year = 2019
| assets_year = 2020
| equity = US$5,501 billion
| equity = US$5,054 billion
| equity_year = 2019
| equity_year = 2020
| owner = [[Andrey Melnichenko (industrialist)|Andrey Melnichenko]] (92.2%)
| num_employees = 70,000 (2020)
| num_employees = 70,000 (2020)
| divisions =
| divisions =
Line 38: Line 38:
| intl =
| intl =
}}
}}
[[File:Стелла при въезде на разрез Тугнуйский.jpg|thumb|Stella at the entrance to the Tugnuisky open-pit mine]]
⚫
'''Siberian Coal Energy Company''' (SUEK) is a coal and energy company based in Russia. SUEK is Russia’s largest coal supplier.<ref name=":0">{{Cite web|title=SUEK - Overview|url=http://www.suek.com/about-us/overview/|access-date=2021-04-16|website=www.suek.com|language=en}}</ref><ref>{{Cite web|title=Russia’s leading coal producer SUEK joins World Coal Association|url=https://www.mining.com/web/russias-leading-coal-producer-suek-joins-world-coal-association/|access-date=2021-04-16|website=MINING.COM|language=en-US}}</ref><ref>{{Cite web | url = https://expert.ru/ratings/krupnejshie-ugolnyie-kompanii-rossii/ | title = Крупнейшие угольные компании России | author = АНО «Творческий коллектив Эксперт» | website = Expert.ru | date = | accessdate = 2021-01-29}}</ref><ref>[https://www.fitchratings.com/research/corporate-finance/fitch-revises-suek-outlook-to-stable-affirms-idr-at-bb-29-04-2021 Fitch Revises SUEK's Outlook to Stable; Affirms IDR at 'BB'], FitchRatings</ref>


⚫
The company was founded in 2001, it is headquartered in Moscow.<ref>{{Cite web|title=SUEK JSC - Bettercoal|url=https://bettercoal.org/producer/suek-jsc/|access-date=2021-04-16|website=|language=en-US}}</ref> The full official name is Joint-Stock Company Siberian Coal Energy Company (SUEK JSC). The CEO of the company is Alexander Redkin.<ref name=":0" />
⚫
'''Siberian Coal Energy Company''' (SUEK) is [[Russia]]'s largest coal company and one of the largest heat and power generators. It is one of the world’s largest coal energy companies and a top-5 global coal supplier<ref name=":0">{{Cite web|title=SUEK - Overview|url=http://www.suek.com/about-us/overview/|url-status=live|access-date=2021-04-16|website=www.suek.com|language=en}}</ref><ref>{{Cite web|title=Russia’s leading coal producer SUEK joins World Coal Association|url=https://www.mining.com/web/russias-leading-coal-producer-suek-joins-world-coal-association/|access-date=2021-04-16|website=MINING.COM|language=en-US}}</ref><ref>{{Cite web | url = https://expert.ru/ratings/krupnejshie-ugolnyie-kompanii-rossii/ | title = Крупнейшие угольные компании России | author = АНО «Творческий коллектив Эксперт» | website = Expert.ru | date = | accessdate = 2021-01-29}}</ref>.

⚫
The company was founded in 2001, it is headquartered in Moscow<ref>{{Cite web|title=SUEK JSC - Bettercoal|url=https://bettercoal.org/producer/suek-jsc/|url-status=live|access-date=2021-04-16|website=|language=en-US}}</ref>. The full official name is Joint-Stock Company Siberian Coal Energy Company (SUEK JSC). The head of the company is CEO Stepan Solzhenitsyn, son of novelist [[Aleksandr Solzhenitsyn]]<ref name=":0" />.

It is the world's fourth largest coal supplier by international sales (after [[Glencore]], [[BHP|BHP Biliton]], and [[Anglo American plc|Anglo American]]) and the fifth largest company by coal reserves<ref name=":0" />.


== History ==
== History ==
SUEK was based on the idea to consolidate disparate coal enterprises throughout Russian regions into a large industrial holding in the early 2000s<ref name=":8">{{Cite web|title=SUEK - History|url=http://www.suek.com/about-us/history/|url-status=live|access-date=2021-04-16|website=www.suek.com|language=en}}</ref>.
SUEK was based on the idea to consolidate disparate coal enterprises throughout Russian regions into an industrial holding in the early 2000s.<ref name=":8">{{Cite web|title=SUEK - History|url=http://www.suek.com/about-us/history/|access-date=2021-04-16|website=www.suek.com|language=en}}</ref>


The assets that formed SUEK were distressed – the production capacity was less than 30 million tons per year, the enterprises employed 70,000 miners yet productivity was low, and virtually none of its output was exported. Amid the collapse of mining businesses and widespread miners strikes due to unpaid wages and poor working conditions, the average equipment depreciation was 90%<ref name=":8" /><ref>{{Cite news|last=|first=|date=1996-12-04|title=400,000 Miners Strike in Russia|language=en-US|work=The New York Times|url=https://www.nytimes.com/1996/12/04/world/400000-miners-strike-in-russia.html|access-date=2021-04-17|issn=0362-4331}}</ref>.
The assets that formed SUEK were distressed – the production capacity was less than 30 million tons per year, the enterprises employed 70,000 miners yet productivity was low, and virtually none of its output was exported. Amid the collapse of mining businesses and widespread miners strikes due to unpaid wages and poor working conditions, the average equipment depreciation was 90%.<ref name=":8" /><ref>{{Cite news|last=|first=|date=1996-12-04|title=400,000 Miners Strike in Russia|language=en-US|work=The New York Times|url=https://www.nytimes.com/1996/12/04/world/400000-miners-strike-in-russia.html|access-date=2021-04-17|issn=0362-4331}}</ref>


During the early years of the business, SUEK’s assets were modernized, debts were repaid, wages and taxes were paid, and a vast modernization program was launched with new equipment and machinery for all its units. The old mines and worn-out equipment were transformed into modern enterprises, several enrichment factories and modules were put into operation, incorporating the latest processing technologies that allowed SUEK to produce highly enriched coal with low impurity levels<ref name=":8" /><ref>{{Cite web|title=SUEK - Corporate social report 2001-2005|url=http://www.suek.com/investors/reporting/#year_old|url-status=live|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>.
During the early years of the business, SUEK’s assets were renovated and debts were repaid. The old mines and worn-out equipment were transformed into modern enterprises, several enrichment factories and modules were put into operation, incorporating the processing technologies that allowed SUEK to produce highly enriched coal with low impurity levels.<ref name=":8" /><ref>{{Cite web|title=SUEK - Corporate social report 2001-2005|url=http://www.suek.com/investors/reporting/#year_old|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>


SUEK built modern coal bulk terminals and upgraded seaports, and built Russia’s first coal mine methane processing station to generate power within the framework of the Kyoto Protocol. Russia’s first smart mining management control center was built to run all SUEK’s operations, monitoring the location and well-being of miners working underground<ref name=":8" />.
SUEK built coal bulk terminals and seaports, and built a coal mine methane processing station to generate power within the framework of the Kyoto Protocol. According to the Financial Times, it has invested in high-capacity washing plants and has ash control technologies at all its coal ports.<ref name=":102">{{Cite web|title=Clean coal is part of the answer to the Paris Agreement|url=https://www.ft.com/content/79394d9e-d07a-11e7-9dbb-291a884dd8c6|access-date=2021-04-16|website=Financial Times|language=en-GB}}</ref> The first smart mining management control center was built to run all SUEK’s operations, monitoring the location and well-being of miners working underground.<ref name=":8" />


After the consolidation of electric power assets, the Siberian Generating Company (SGC) was created as a part of SUEK, and then spun it out as a separate company. It became one of the leading heating power energy holdings in the country and the fourth largest heat producer in the world. In 2018, SUEK took over SGC making SUEK as one of the world's largest coal energy companies<ref name=":14">{{Cite news|date=2018-08-31|title=Russian coal producer SUEK to take over Siberian Generating Company|language=en|work=Reuters|url=https://af.reuters.com/article/commoditiesNews/idAFR4N1VI01D|access-date=2019-02-21}}</ref>.
After the consolidation of electric power assets, the Siberian Generating Company (SGC) was created as a part of SUEK, and spun out as a separate company. In 2018, SUEK took over SGC.<ref name=":14">{{Cite news|date=2018-08-31|title=Russian coal producer SUEK to take over Siberian Generating Company|language=en|work=Reuters|url=https://af.reuters.com/article/commoditiesNews/idAFR4N1VI01D|archive-url=https://web.archive.org/web/20180831184145/https://af.reuters.com/article/commoditiesNews/idAFR4N1VI01D|url-status=dead|archive-date=August 31, 2018|access-date=2019-02-21}}</ref>


In the last 15 years, SUEK has invested US$10 billion in coal production and power generation<ref>{{Cite web|title=SUEK - Investment Story|url=http://www.suek.com/investors/story/|url-status=live|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>.
In the last 15 years, SUEK has invested US$10 billion in coal production and power generation.<ref>{{Cite web|title=SUEK - Investment Story|url=http://www.suek.com/investors/story/|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>


SUEK's assets produce nearly 110 million tons of coal annually and the company employs over 70,000 people<ref>{{Cite web|title=SUEK - Data bank - Operational results|url=http://www.suek.com/investors/highlights/#operational|url-status=live|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>.
SUEK's assets produce nearly 110 million tons of coal annually and the company employs over 70,000 people.<ref>{{Cite web|title=SUEK - Data bank - Operational results|url=http://www.suek.com/investors/highlights/#operational|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>


== Owners and management ==
== Owners and management ==
The main beneficiary of the company is Russian entrepreneur [[Andrey Melnichenko (industrialist)|Andrey Melnichenko]], who owns 92.2% of SUEK.


The CEO (General Director) from 2004 to 2020 was [[:ru:Рашевский, Владимир Валерьевич|Vladimir Rashevsky]], who owns 7.8% of SUEK.
The CEO (General Director) from 2004 to 2020 was [[:ru:Рашевский, Владимир Валерьевич|Vladimir Rashevsky]].


Since May 2020, SUEK’s new CEO is Stepan Solzhenitsyn (who was CEO of SUEK’s energy division SGC), a former McKinsey Senior Partner in energy, and a son of novelist [[Aleksandr Solzhenitsyn]]<ref>{{Cite web|title=Stepan Solzhenitsyn takes SUEK CEO position|url=https://www.akm.ru/eng/news/stepan-solzhenitsyn-takes-suek-ceo-position/|access-date=2021-04-17|website=AKM EN|language=en}}</ref>.
Since May 2020 to 2022, SUEK’s CEO was Stepan Solzhenitsyn, a former McKinsey Senior Partner in energy, and a son of famous novelist [[Aleksandr Solzhenitsyn]]. He was also CEO of SUEK’s energy division SGC. <ref>{{Cite web|title=Stepan Solzhenitsyn takes SUEK CEO position|url=https://www.akm.ru/eng/news/stepan-solzhenitsyn-takes-suek-ceo-position/|access-date=2021-04-17|website=AKM EN|language=en}}</ref>


In April 2022, Maxim Basov, ex-Rusagro, was appointed SUEK`s new CEO.<ref>{{Cite web|url=https://www.kommersant.ru/doc/5304775?|title=Гендиректором СУЭК назначен Максим Басов|language=ru|date=2022-04-11|publisher=[[Коммерсантъ]]}}</ref>
Chairman of the Board of Directors - [[Samir Brikho]].


In March 2022, due to [[International sanctions during the Russo-Ukrainian War]], Vladimir Rashevsky has left the Board of directors.<ref>{{Cite web|url=https://www.interfax.ru/business/829530|title=Попавший в санкционный список ЕС Рашевский покинул совет директоров СУЕКа|language=ru|date=2022-03-16|publisher=[[Интерфакс]]}}</ref>
⚫
== Operations ==
SUEK operates 27 open-pit and underground mines and 27 power plants in [[Siberia]] and in the [[Russian Far East]], which produce about 24% of coal in Russia and generate 6% of Russia's electricity<ref name=":0" />.


On July 9, 2023 Maxim Basov was replaced by Alexander Redkin.<ref>{{Cite web|url=https://1prime.ru/energy/20230707/841031343.html|title=Максим Басов оставил пост генерального директора СУЭК|language=ru|date=2023-07-07|website=Prime.ru}}</ref>
SUEK's assets produce over 100 million tons of coal annually, with assured coal reserves of 7.6 billion tons.


Its coal, power generation and logistics enterprises in 12 Russian regions employ over 70,000 people<ref name=":1">{{Cite web|title=SUEK - Annual Report 2019|url=http://www.suek.com/investors/reporting/#year_19|url-status=live|access-date=2021-04-16|website=www.suek.com|language=en}}</ref>.
The company was founded by Russian entrepreneur [[Andrey Melnichenko (industrialist)|Andrey Melnichenko]], who controlled 92.2% of SUEK, until he withdrew as its beneficiary and resigned from its board of directors on 9 March 2022.<ref>{{Cite web |title=Owner of Russian coal producer resigns after sanction |url=https://www.montelnews.com/news/1305188/owner-of-russian-coal-producer-resigns-after-sanction |access-date=2022-03-11 |website=Montel |language=en}}</ref>


⚫
== Operations ==
SUEK produces high-calorific coal with low sulphur and nitrogen content. According to The Financial Times, SUEK is Russia's largest producer of higher-quality thermal coal. As reported, according to the International Energy Agency's Clean Coal Centre, "SUEK, Russia's main exporter of higher-quality thermal coal, has invested in modern high-capacity washing plants and has ash control technologies at all its coal ports".<ref name=":102">{{Cite web|title=Clean coal is part of the answer to the Paris Agreement|url=https://www.ft.com/content/79394d9e-d07a-11e7-9dbb-291a884dd8c6|url-status=live|access-date=2021-04-16|website=Financial Times|language=en-GB}}</ref> According to Bloomberg, SUEK is Russia's largest producer of higher quality thermal coal which focusses on "high-quality and less-emitting coal".<ref name=":62">{{Cite news|date=2016-09-29|title=A Young Russian Billionaire Plants the Seeds of Future Success|language=en|work=Bloomberg.com|url=https://www.bloomberg.com/news/articles/2016-09-29/young-russian-billionaire-seeks-plain-sailing-in-commodity-waves|access-date=2021-04-16}}</ref><ref>{{Cite web|title=Bloomberg: SUEK owner says fossil fuels won't be replaced by alternatives|url=http://www.suek.com/media/Melnichenko-in-media/suek-owner-says-fossil-fuels-won-t-be-replaced-by-alternatives/|url-status=live|access-date=2021-04-16|website=www.suek.com|language=en}}</ref>
SUEK operates 28 open-pit and underground mines and 27 power plants in [[Siberia]] and in the [[Russian Far East]].<ref name=":0" /> SUEK's assets produce over 100 million tons of coal annually, with assured coal reserves of 7.6 billion tons. Its coal, power generation and logistics enterprises in 14 Russian regions employ over 70,000 people.<ref name=":1">{{Cite web|title=SUEK - Annual Report 2020|url=http://www.suek.com/investors/reporting/#year_20|access-date=2021-04-16|website=www.suek.com|language=en}}</ref>


SUEK uses automation and digitalization in coal mining. As The Financial Times reported, SUEK "is rolling out big-data tools and automation across its 26 mines in Kemerovo and elsewhere in Siberia. In some mining operations, it is even experimenting with completely replacing workers with machines" and that it "has piloted Russia’s first fully automated longwall in Polysaevo." <ref name=":2">{{Cite web|title=Financial Times {{!}} Russia’s next revolution: how technology came to the mines|url=https://www.ft.com/content/addb7e2a-b90d-11e7-9bfb-4a9c83ffa852|url-status=live|access-date=2021-04-16|website=www.ft.com}}</ref>
SUEK produces high-calorific coal with low sulphur and nitrogen content. According to The Financial Times, SUEK is Russia's largest producer of higher-quality thermal coal. <ref name=":62">{{Cite news|date=2016-09-29|title=A Young Russian Billionaire Plants the Seeds of Future Success|language=en|work=Bloomberg.com|url=https://www.bloomberg.com/news/articles/2016-09-29/young-russian-billionaire-seeks-plain-sailing-in-commodity-waves|access-date=2021-04-16}}</ref><ref>{{Cite web|title=Bloomberg: SUEK owner says fossil fuels won't be replaced by alternatives|url=http://www.suek.com/media/Melnichenko-in-media/suek-owner-says-fossil-fuels-won-t-be-replaced-by-alternatives/|access-date=2021-04-16|website=www.suek.com|language=en}}</ref> SUEK uses automation and digitalization in coal mining across its 26 mines in Kemerovo and elsewhere in Siberia. In some mining operations, workers are replaced with machines. SUEK also piloted Russia’s first fully automated longwall in Polysaevo."<ref name=":2">{{Cite web|title=Financial Times {{!}} Russia’s next revolution: how technology came to the mines|url=https://www.ft.com/content/addb7e2a-b90d-11e7-9bfb-4a9c83ffa852|access-date=2021-04-16|website=www.ft.com}}</ref>


SUEK supplies high-calorific value coal to 48 countries on 5 continents through its own sales and distribution network, including the Asia Pacific where coal plays a key role in energy access and new HELE (high efficiency, low emission) coal-fired power plants are being built to reduce their environmental impact<ref name=":0" /><ref name=":3">{{Cite web|date=2016-03-25|title=WCA report: HELE coal-fired power mitigates more CO2 than renewables|url=https://www.worldcoal.com/power/25032016/HELE-coal-fired-power-mitigates-more-CO2-than-renewables-454/|access-date=2021-04-17|website=World Coal|language=en}}</ref>.
SUEK supplies high-[[calorific value]] coal to 48 countries on 5 continents through its own sales and distribution network, including the Asia Pacific where coal plays a key role in energy access.<ref name=":0" /><ref name=":3">{{Cite web|date=2016-03-25|title=WCA report: HELE coal-fired power mitigates more CO2 than renewables|url=https://www.worldcoal.com/power/25032016/HELE-coal-fired-power-mitigates-more-CO2-than-renewables-454/|access-date=2021-04-17|website=World Coal|language=en}}</ref> In 2020, sales of SUEK comprised 67% of the total export coal sales to Asia-Pacific market. <ref>[https://finance.yahoo.com/news/suek-finance-moodys-affirms-suek-184311080.html SUEK Finance -- Moody's affirms SUEK' Ba2 ratings, outlook changed to stable from negative], https://finance.yahoo.com/</ref> In 2022, the company's revenue amounted to 83 billion rubles.<ref>{{Cite web |title=АО "СУЭК" |url=https://www.rusprofile.ru/id/2615690 |access-date=2023-11-30 |website=www.rusprofile.ru |language=ru}}</ref>


== Sustainability ==
== Sustainability ==
Residents of the Kemerovo region live 3-4 years less than the average Russian due to coal dust from the Siberian Coal Energy Company. The cheapness of coal generation is due to the fact that profits are privatized and losses are nationalized and borne by the regional budget. Melnichenko diligently whitewashes himself in the media (a recent example in Lenta.ru).
According to S&P Global Ratings, "while the coal sector faces increasingly immediate environmental and social risks, SUEK's mining segment outperforms peers on greenhouse gas (GHG) emissions", noting that "the company is generally in line with peers for its most material factors of safety and communities, but we note strong performance in workforce and diversity. Its governance structure compares positively to local standards and well with international standards<ref>{{Cite web|title=ESG Evaluation: Siberian Coal Energy Co. {{!}} S&P Global Ratings|url=https://www.spglobal.com/ratings/en/research/pdf-articles/210129-esg-evaluation-siberian-coal-energy-co-100048694|access-date=2021-04-17|website=www.spglobal.com|language=en-us}}</ref>. According to ESG Ranking of Russian companies 2021 by RAEX, SUEK ranks 11th out of 110 companies.<ref>{{Cite web|title=RAEX Europe - ESG Corporate Ranking|url=https://raexpert.eu/esg_corporate_ranking/|access-date=2021-04-17|website=raexpert.eu}}</ref>

According to The Financial Times, SUEK "offers merit-based pay components", paying its workers "more than four times the salary ordinary workers in neighbouring mines say they get."<ref name=":2" />

According to Bettercoal and [[International Energy Agency|IEA]], SUEK produces coal sustainably with the best environmental technologies in coal mining including dust suppression and air filtering, methane capturing for energy generation, a closed water cycle with wastewater treatment, and land re-cultivation projects. As part of Bettercoal Code compliance audit in 2018, SUEK demonstrated best practice environmental performance in effective water and energy management, reducing hazardous waste and re-cultivation programmes<ref>{{Cite web|title=SUEK Public Report - Bettercoal|url=https://bettercoal.org/resource/suek-public-report/|access-date=2021-04-17|website=Bettercoal is working towards a global responsible coal supply chain|language=en-US}}</ref><ref>{{Cite web|date=2020-06-29|title=Russia: SUEK flotation technology gives coal a deep clean|url=https://www.iea-coal.org/russia-suek-flotation-technology-gives-coal-a-deep-clean/|access-date=2021-04-17|website=IEA Clean Coal Centre|language=en-GB}}</ref>.

According to the company, SUEK’s subsidiary SGC produces more sustainable energy in Russia by co-generation of electricity and heat which reduces the coal combusted and the environmental impact by 25% for the same output. SGC operates modern combined heat and power plants (CHPP) which reduce fuel use and emissions per unit of energy produced, with 96% for heat and 38% for electricity produced in the combined cycle. According to the company, co-generation reduces 10 times more CO2 emissions already today than from the use of all Russia’s renewables currently planned (including wind and solar), while it is 5-10 times more cost-effective in cutting CO2 emissions than are renewables (with 45% of electricity and 95% of heat in Siberia generated from coal)<ref name=":1" /><ref name=":3" />.


Melnichenko's PR team tried to ensure that European and American officials, whose decisions are influenced by Wikipedia articles, had a better impression of Melnichenko. They also tried to present Eurochem as a Swiss company.
The company is one of the largest philanthropists and social investors in Russia. Social programs and projects covered 60 cities and towns of Russia<ref>{{Cite web|title=SUEK - Sustainability - Communities|url=http://www.suek.com/sustainability/communities/|url-status=live|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>.
Melnichenko's PR service greenwashes Russia's largest coal producer, promoting that it is at the top of ESG ratings, and that they tackle greenhouse gases.
<ref>{{Cite web|title=Greenwashing Siberian Coal Energy - Telegram|url=https://web.telegram.org/a/#-1986036273|language=ru}}</ref>


== Performance Indicators ==
== Performance Indicators ==
Performance indicators for years, coal production amounted to:
Performance indicators for years, coal production amounted to:
* 2019—106.2 million tons of coal<ref>{{Cite web|title=SUEK announces financial results for the full year 2020|url=http://www.suek.com/media/news/suek-announces-financial-results-for-the-full-year-2020/|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>
* 2020—101.2 million tons of coal<ref name=":0" /><ref>{{Cite web|title=SUEK - Annual Report 2020|url=http://www.suek.com/investors/reporting/#year_20|access-date=2021-05-11|website=www.suek.com|language=en}}</ref>
*2019—106.2 million tons of coal<ref>{{Cite web|title=SUEK announces financial results for the full year 2020|url=http://www.suek.com/media/news/suek-announces-financial-results-for-the-full-year-2020/|access-date=2021-04-17|website=www.suek.com|language=en}}</ref>
*2018—110.4 million tons of coal<ref>{{Cite web | url = http://www.uk42.ru/index.php?Id=8312 | title = SUEK increased coal production in 2018 by 2.4 % | author = | website = | date = | publisher =}}</ref>
*2018—110.4 million tons of coal<ref>{{Cite web | url = http://www.uk42.ru/index.php?Id=8312 | title = SUEK increased coal production in 2018 by 2.4 % | author = | website = | date = | publisher =}}</ref>
* 2017—107.8 million tons of coal<ref>{{Cite web | url = http://www.suek.ru/media/news/suek-opublikovala-finansovye-rezultaty-po-msfo-za-2017-god/ | title = SUEK published the results for 2017 | author = | website = | date = | publisher =}}</ref>
* 2017—107.8 million tons of coal<ref>{{Cite web | url = http://www.suek.ru/media/news/suek-opublikovala-finansovye-rezultaty-po-msfo-za-2017-god/ | title = SUEK published the results for 2017 | author = | website = | date = | publisher =}}</ref>
Line 108: Line 102:


== External links ==
== External links ==
{{portal|Russia|Companies}}
*{{official website|http://www.suek.com/en/}}
*{{official website|http://www.suek.com/en/}} {{lang in|en}}


[[Category:Coal companies of Russia]]
[[Category:Coal companies of Russia]]

Latest revision as of 18:45, 10 May 2024

Siberian Coal Energy Company
SUEK
Company typePrivate (Joint stock company)
IndustryCoal mining, heat and power generation
Founded2001 (2001)
FounderAndrey Melnichenko
Headquarters
Moscow
,
Russia
Area served
Siberia and Far East
Key people

Aleхander Redkin[1]
ProductsCoal and energy
RevenueUS$6,683 billion (2020)
US$892 million (2020)
US$194 million (2020)
Total assetsUS$16,034 billion (2020)
Total equityUS$5,054 billion (2020)
Number of employees
70,000 (2020)
Websitewww.suek.com
Stella at the entrance to the Tugnuisky open-pit mine

Siberian Coal Energy Company (SUEK) is a coal and energy company based in Russia. SUEK is Russia’s largest coal supplier.[2][3][4][5]

The company was founded in 2001, it is headquartered in Moscow.[6] The full official name is Joint-Stock Company Siberian Coal Energy Company (SUEK JSC). The CEO of the company is Alexander Redkin.[2]

History

[edit]

SUEK was based on the idea to consolidate disparate coal enterprises throughout Russian regions into an industrial holding in the early 2000s.[7]

The assets that formed SUEK were distressed – the production capacity was less than 30 million tons per year, the enterprises employed 70,000 miners yet productivity was low, and virtually none of its output was exported. Amid the collapse of mining businesses and widespread miners strikes due to unpaid wages and poor working conditions, the average equipment depreciation was 90%.[7][8]

During the early years of the business, SUEK’s assets were renovated and debts were repaid. The old mines and worn-out equipment were transformed into modern enterprises, several enrichment factories and modules were put into operation, incorporating the processing technologies that allowed SUEK to produce highly enriched coal with low impurity levels.[7][9]

SUEK built coal bulk terminals and seaports, and built a coal mine methane processing station to generate power within the framework of the Kyoto Protocol. According to the Financial Times, it has invested in high-capacity washing plants and has ash control technologies at all its coal ports.[10] The first smart mining management control center was built to run all SUEK’s operations, monitoring the location and well-being of miners working underground.[7]

After the consolidation of electric power assets, the Siberian Generating Company (SGC) was created as a part of SUEK, and spun out as a separate company. In 2018, SUEK took over SGC.[11]

In the last 15 years, SUEK has invested US$10 billion in coal production and power generation.[12]

SUEK's assets produce nearly 110 million tons of coal annually and the company employs over 70,000 people.[13]

Owners and management

[edit]

The CEO (General Director) from 2004 to 2020 was Vladimir Rashevsky.

Since May 2020 to 2022, SUEK’s CEO was Stepan Solzhenitsyn, a former McKinsey Senior Partner in energy, and a son of famous novelist Aleksandr Solzhenitsyn. He was also CEO of SUEK’s energy division SGC. [14]

In April 2022, Maxim Basov, ex-Rusagro, was appointed SUEK`s new CEO.[15]

In March 2022, due to International sanctions during the Russo-Ukrainian War, Vladimir Rashevsky has left the Board of directors.[16]

On July 9, 2023 Maxim Basov was replaced by Alexander Redkin.[17]

The company was founded by Russian entrepreneur Andrey Melnichenko, who controlled 92.2% of SUEK, until he withdrew as its beneficiary and resigned from its board of directors on 9 March 2022.[18]

Operations

[edit]

SUEK operates 28 open-pit and underground mines and 27 power plants in Siberia and in the Russian Far East.[2] SUEK's assets produce over 100 million tons of coal annually, with assured coal reserves of 7.6 billion tons. Its coal, power generation and logistics enterprises in 14 Russian regions employ over 70,000 people.[19]

SUEK produces high-calorific coal with low sulphur and nitrogen content. According to The Financial Times, SUEK is Russia's largest producer of higher-quality thermal coal. [20][21] SUEK uses automation and digitalization in coal mining across its 26 mines in Kemerovo and elsewhere in Siberia. In some mining operations, workers are replaced with machines. SUEK also piloted Russia’s first fully automated longwall in Polysaevo."[22]

SUEK supplies high-calorific value coal to 48 countries on 5 continents through its own sales and distribution network, including the Asia Pacific where coal plays a key role in energy access.[2][23] In 2020, sales of SUEK comprised 67% of the total export coal sales to Asia-Pacific market. [24] In 2022, the company's revenue amounted to 83 billion rubles.[25]

Sustainability

[edit]

Residents of the Kemerovo region live 3-4 years less than the average Russian due to coal dust from the Siberian Coal Energy Company. The cheapness of coal generation is due to the fact that profits are privatized and losses are nationalized and borne by the regional budget. Melnichenko diligently whitewashes himself in the media (a recent example in Lenta.ru).

Melnichenko's PR team tried to ensure that European and American officials, whose decisions are influenced by Wikipedia articles, had a better impression of Melnichenko. They also tried to present Eurochem as a Swiss company. Melnichenko's PR service greenwashes Russia's largest coal producer, promoting that it is at the top of ESG ratings, and that they tackle greenhouse gases. [26]

Performance Indicators

[edit]

Performance indicators for years, coal production amounted to:

  • 2020—101.2 million tons of coal[2][27]
  • 2019—106.2 million tons of coal[28]
  • 2018—110.4 million tons of coal[29]
  • 2017—107.8 million tons of coal[30]
  • 2016—105.4 million tons of coal.[31]
  • 2014 - 98.9 million tons of coal.[32]
  • 2013 - 96.5 million tons, which is 1% less than in 2012 (according to the company's annual report for 2013).
  • 2012 - 97.5 million tons of coal, which is 6% more than in 2011 (according to the company's annual report for 2012).
  • 2011 - 92.2 million tons of coal (an increase of 3% compared to 2010).[33] Reserves as of mid-2008 - 5.8 billion tons.

References

[edit]
  1. ^ "ЭМаксим Басов оставил пост генерального директора СУЭК" (in Russian). Прайм. 2022-04-11.
  2. ^ a b c d e "SUEK - Overview". www.suek.com. Retrieved 2021-04-16.
  3. ^ "Russia's leading coal producer SUEK joins World Coal Association". MINING.COM. Retrieved 2021-04-16.
  4. ^ АНО «Творческий коллектив Эксперт». "Крупнейшие угольные компании России". Expert.ru. Retrieved 2021-01-29.
  5. ^ Fitch Revises SUEK's Outlook to Stable; Affirms IDR at 'BB', FitchRatings
  6. ^ "SUEK JSC - Bettercoal". Retrieved 2021-04-16.
  7. ^ a b c d "SUEK - History". www.suek.com. Retrieved 2021-04-16.
  8. ^ "400,000 Miners Strike in Russia". The New York Times. 1996-12-04. ISSN 0362-4331. Retrieved 2021-04-17.
  9. ^ "SUEK - Corporate social report 2001-2005". www.suek.com. Retrieved 2021-04-17.
  10. ^ "Clean coal is part of the answer to the Paris Agreement". Financial Times. Retrieved 2021-04-16.
  11. ^ "Russian coal producer SUEK to take over Siberian Generating Company". Reuters. 2018-08-31. Archived from the original on August 31, 2018. Retrieved 2019-02-21.
  12. ^ "SUEK - Investment Story". www.suek.com. Retrieved 2021-04-17.
  13. ^ "SUEK - Data bank - Operational results". www.suek.com. Retrieved 2021-04-17.
  14. ^ "Stepan Solzhenitsyn takes SUEK CEO position". AKM EN. Retrieved 2021-04-17.
  15. ^ "Гендиректором СУЭК назначен Максим Басов" (in Russian). Коммерсантъ. 2022-04-11.
  16. ^ "Попавший в санкционный список ЕС Рашевский покинул совет директоров СУЕКа" (in Russian). Интерфакс. 2022-03-16.
  17. ^ "Максим Басов оставил пост генерального директора СУЭК". Prime.ru (in Russian). 2023-07-07.
  18. ^ "Owner of Russian coal producer resigns after sanction". Montel. Retrieved 2022-03-11.
  19. ^ "SUEK - Annual Report 2020". www.suek.com. Retrieved 2021-04-16.
  20. ^ "A Young Russian Billionaire Plants the Seeds of Future Success". Bloomberg.com. 2016-09-29. Retrieved 2021-04-16.
  21. ^ "Bloomberg: SUEK owner says fossil fuels won't be replaced by alternatives". www.suek.com. Retrieved 2021-04-16.
  22. ^ "Financial Times | Russia's next revolution: how technology came to the mines". www.ft.com. Retrieved 2021-04-16.
  23. ^ "WCA report: HELE coal-fired power mitigates more CO2 than renewables". World Coal. 2016-03-25. Retrieved 2021-04-17.
  24. ^ SUEK Finance -- Moody's affirms SUEK' Ba2 ratings, outlook changed to stable from negative, https://finance.yahoo.com/
  25. ^ "АО "СУЭК"". www.rusprofile.ru (in Russian). Retrieved 2023-11-30.
  26. ^ "Greenwashing Siberian Coal Energy - Telegram" (in Russian).
  27. ^ "SUEK - Annual Report 2020". www.suek.com. Retrieved 2021-05-11.
  28. ^ "SUEK announces financial results for the full year 2020". www.suek.com. Retrieved 2021-04-17.
  29. ^ "SUEK increased coal production in 2018 by 2.4 %".
  30. ^ "SUEK published the results for 2017".
  31. ^ Enterprises SUEK produced 105.4 million tons of coal in 2016
  32. ^ SUEK in 2014 increased coal production to 98.6 million tons | Companies | PRIME Economic Information Agency <! - Title added by bot ->
  33. ^ "SUEK enterprises produced 92.2 million tons of coal in 2011". suek.ru. Archived from the original on 2012-05-04. Retrieved 2012-03-05.
[edit]
Retrieved from "https://en.wikipedia.org/enwiki/w/index.php?title=Siberian_Coal_Energy_Company&oldid=1223232536"