The plan, approved by the JSW Supervisory Board on 26 August 2016 envisages sale of selected assets of JSW Group – Spółka Energetyczna Jastrzębie, WZK Victoria, the transfer of the Jas-Mos Site (second half of 2016) and Krupiński mine (first quarter 2017) to the Mines Restructuring Company. In addition, the plan also envisages obtaining additional financing till the end of the first half of 2017 for the further activity of the Capital Group.
The plan also envisages obtaining external financing for investments in the Budryk mine and Knurów - Szczygłowice mine intended for the modernization of processing plants in the years 2016-2018. The aim of these investments is to increase the volume of production of coking coal type 35 and to increase the share of coking coal in global production.
- This will change the structure of the JSW Group's product, and thus increase the production of coking coal from 70% in 2016 to almost 85% in 2025. While minimizing the production of coal for energy purposes. We need to invest in the production of high-quality coking coals, because hard type coal achieves higher prices on world markets - says Tomasz Gawlik, CEO of JSW.
The plan also envisages austerity measures in various areas of the Group's functioning to reduce total operating costs by about 1.6 billion by 2025 (without taking into account the effects of the agreements with the unionists signed in February and September 2015).
- The program we adopted, is to ensure stable activity in the coming years - says Tomasz Gawlik, President of JSW. - We are committed to achieving long-term profitability of the Company's positive financial results, the timely repayment of debt and investments that guarantee a secure future - adds CEO of JSW.
