Coke Segment
The Group’s coking activity is presently conducted in Dąbrowa Górnicza, Zabrze, Radlin and Czerwionka-Leszczyna. In principle, more than 40% of the coking coal produced by the Group is processed by the Group’s coking plants into coke which, next to iron ore, is the key raw material used in steel production in steel mills. Furthermore, coke is used in foundries, in the non-ferrous metal industry, in the chemical industry and in the production of insulation materials.
Sales of coke
In comparison to 2016, coke production fell by 14.6%. The decline in the production and sales of coke follows from the sale of WZK Victoria to an external investor in Q3 2016 and downsizing the coke production in the beginning of the year because of unfavorable relations of coke prices to coking coal prices. Revenues on sales of coke and hydrocarbons in the period under analysis reached PLN 3,688.1 million and were 30.7% higher than in 2016.
Coke production and sales and sales revenues on coke and hydrocarbons
| ITEM | 2017 | 2016 | 2015 | 2014* | 2013 | GROWTH RATE 2016=100 |
|---|---|---|---|---|---|---|
| Production (million tons) | 14.8 | 16.8 | 16.3 | 13.9 | 13.6 | 88.1 |
| § Coking coal (million tons) | 10.7 | 11.6 | 11.1 | 9.9 | 9.8 | 92.2 |
| § Steam coal (million tons) | 4.1 | 5.2 | 5.2 | 4.0 | 3.8 | 78.8 |
| Total volume of JSW’s sales (million tons)** | 14.6 | 17.2 | 16.6 | 13.7 | 14.4 | 84.9 |
| § Coking coal (million tons) | 10.4 | 11.8 | 11.1 | 9.9 | 10.3 | 88.1 |
| § Steam coal (million tons) | 4.2 | 5.4 | 5.5 | 3.8 | 4.1 | 77.8 |
| Intra-group sales (million tons)** | 4.5 | 5.5 | 5.4 | 4.9 | 5.2 | 81.8 |
| § Coking coal (million tons) | 4.5 | 5.4 | 5.3 | 4.7 | 5.0 | 83.3 |
| § Steam coal (million tons) | - | 0.1 | 0.1 | 0.2 | 0.2 | - |
| External sales volume (million tons)** | 10.1 | 11.7 | 11.2 | 8.8 | 9.2 | 86.3 |
| § Coking coal (million tons) | 5.9 | 6.4 | 5.8 | 5.2 | 5.3 | 92.2 |
| § Steam coal (million tons) | 4.2 | 5.3 | 5.4 | 3.6 | 3.9 | 79.2 |
| Revenues on sales of coal (PLN million)(3) | 7929.2 | 5846.2 | 5724.3 | 5166.7 | 5970.3 | 135.6 |
| Inter-segment coal sales revenues (PLN million) | 3003.3 | 2294.6 | 2274.9 | 2194.4 | 2411.3 | 130.9 |
| Coal sales revenues from external buyers (PLN million) | 4925.9 | 3551.6 | 3449.4 | 2972.3 | 3559.0 | 138.7 |
* coke production from the Group’s coking plants,
** revenues on the sales of coke and hydrocarbons.