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Exclusive-Ukraine halts production at Pokrovsk coal mine as Russia closes in, sources say

Published by Global Banking & Finance Review

Posted on January 24, 2025

2 min read

· Last updated: January 27, 2026

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Ukraine's Pokrovsk coal mine halted production amid advancing Russian forces - Global Banking & Finance Review
A view of the Pokrovsk coal mine in Ukraine, which has ceased operations due to the proximity of Russian military forces. This mine is crucial for Ukraine's steel industry, and its closure poses significant risks to production levels.
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By Pavel Polityuk and Yuliia Dysa KYIV (Reuters) -Ukraine has stopped production at its coking coal mine in Pokrovsk, which feeds the country's steel industry, because of the proximity of advancing

Ukraine Suspends Pokrovsk Coal Mine Operations as Russia Advances

By Pavel Polityuk and Yuliia Dysa

KYIV (Reuters) -Ukraine has stopped production at its coking coal mine in Pokrovsk, which feeds the country's steel industry, because of the proximity of advancing Russian forces, two industry sources told Reuters on Monday.

The facility in the embattled city of Pokrovsk is Ukraine's only mine that produces coking coal needed for the country's once giant steelmaking industry, which has withered since Russia's February 2022 invasion.

Russia has long been closing in on the key logistics hub of Pokrovsk, and DeepState, a Ukrainian military analytical blog based on open-source intelligence, said Moscow's troops were less than 2 km (1.24 miles) from one of the mine shafts.

"They have all stopped working now," one source said.

"There's no production there, they're only working on the surface," the second source said, adding that an evacuation was underway.

Steelmaker Metinvest BV, which owns the facility, did not immediately respond to a request for comment. It said last month it had halted some operations at the site.

Ukraine produced about 3.5 million tons of coke in 2023, according to the national coke association, exclusively using coking coal mined in Pokrovsk.

Its steelmakers' union said last year the potential closure of the mine could cause steel production to slump to between 2 million and 3 million metric tons in 2025 from 7.6 million in 2024.

Steel production has already suffered since Russia's invasion, which has led to the destruction of the country's leading steel plants.

Ukraine, formerly a major steel producer and exporter, reported a 70.7% drop in output in 2022 to 6.3 million tons. It fell to 6 million tons in 2023.

DeepState, which uses analysis to map out battle lines, says Russian troops are advancing to the villages of Kotlyne and Udachne where the mine has facilities. It also has a facility in the village of Pishchane, which Russia said on Monday it had captured.

Producers have said they hope to find alternative sources of coking coal from elsewhere in Ukraine should the Pokrovsk mine be seized by Russian troops, but imports would inevitably be needed, hiking costs.

Metal exports were worth almost $4.4 billion in 2024, according to trade data - money needed to keep Ukraine going almost three years into Russia's full-scale invasion.

(Reporting by Pavel Polityuk and Yuliia DysaEditing by Tom Balmforth and Jan Harvey)

Key Takeaways

  • Ukraine halts production at Pokrovsk coal mine due to Russian forces.
  • Pokrovsk is Ukraine's only coking coal mine for steelmaking.
  • Steel production may drop significantly if the mine closes.
  • Russia's invasion has already reduced Ukraine's steel output.
  • Alternative coking coal sources and imports are being considered.

Frequently Asked Questions

What is the main topic?
The article discusses Ukraine halting production at its Pokrovsk coal mine due to the proximity of Russian forces, affecting the steel industry.
Why is the Pokrovsk coal mine important?
It is Ukraine's only source of coking coal for its steel industry, crucial for production and exports.
What are the potential impacts of the mine closure?
Closure could lead to a significant drop in steel production and increased reliance on imports.

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