Ukraine has halted production at its Pokrovsk coking coal mine, which is crucial for the country’s steel industry, due to the advancing Russian forces, two industry sources confirmed to Reuters on Monday.
The Pokrovsk mine, located in the conflict zone, is the only source of coking coal in Ukraine. This coal is vital for the steel industry, which has suffered since Russia’s invasion in February 2022. Russian troops have been closing in on Pokrovsk, a key logistics hub, with reports indicating that Russian forces are now within 2 km (1.24 miles) of the mine.
One source stated, “They have all stopped working now,” while another added, “There’s no production there, they’re only working on the surface,” noting that an evacuation of staff is underway.
Metinvest BV, which owns the mine, did not respond immediately to a request for comment but had previously confirmed halting some operations at the site.
In 2023, Ukraine produced approximately 3.5 million tons of coke, solely using coal from the Pokrovsk mine, according to the national coke association. The potential closure of the mine could significantly impact steel production, with the steelmakers’ union projecting a decline in production to 2-3 million metric tons in 2025, down from 7.6 million tons in 2024.
Since the Russian invasion, Ukraine’s steel production has already been severely impacted, with many of its key plants destroyed. In 2022, Ukraine’s steel output plummeted by 70.7%, falling to 6.3 million tons, and remained at 6 million tons in 2023.
DeepState, a Ukrainian military analytical group, reports that Russian troops are advancing toward the villages of Kotlyne and Udachne, which house the mine’s facilities. Additionally, Russia claimed to have captured the village of Pishchane, which also contains a part of the mine’s operations.
While Ukrainian producers are looking for alternative sources of coking coal within the country, they may need to resort to imports, which would increase costs. Metal exports, vital for Ukraine’s economy, generated nearly $4.4 billion in 2024, helping sustain the country nearly three years into the ongoing conflict.
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