DTEK Energy disclosed unaudited consolidated financial statements for six months of 2017, which ended on 30 June 2017.
“Energy security of any country is based on own energy resources and production. One third of the Ukrainian electricity generation is coal-based. In the current environment, the key objective of thermal power generation is the preservation of the larger share of Ukrainian coal in the fuel mix of power stations,” underlined the CEO of DTEK Energy Dmitriy Sakharuk. “The company focuses on investment projects aimed at increasing the production of gas coal and the transfer of thermal power plants from anthracite coal to this coal grade. During the first half-year, CAPEX have already increased by 64% up to UAH 3.6 bln. In general, DTEK Energy plans to invest more than UAH 8 bln in the production in 2017.”
The net loss of DTEK Energy for six months of 2017 was UAH 1 bln.
In January-June 2017, the company paid UAH 8.2 bln to central and local budgets.
The production cost increased in absolute terms by 8% (UAH 4.4 bln) as compared to the performance during six months of 2016. Such results are attributed both to the increase in production volumes and the growth of expenses due to the rise in prices of technological fuel, equipment, and materials, as well as increase of transportation and logistics expenses.
In six months of 2017, the company’s capital investments grew by 64% (UAH 1,4 bln) YOY. The company invests in the development of gas coal grades, which includes the stimulation of production and increase of the use in thermal production, which will allow reducing a need for imported coal resources in the future. In 2017, the company plans to convert two generating units of DTEK Prydniprovska TPP to use gas coal grades instead of anthracite.
DTEK Energy continued operating in the conditions of substantial debt owed to it by Energorynok for electricity supplied by the company’s thermal power plants. As of 30 June 2017, the aggregate indebtedness increased by 10.2% since the beginning of the year, reaching UAH 7.4 bln.
Note
1) The semi-annual Financial Report of DTEK ENERGY B.V. has been submitted to the National Storage Mechanism and available for inspection at: www.Hemscott.com/nsm.do.
2) The Financial report was also sent to FCA.
