OKD Coal Mine


OKD Mines Phaseout Costs To Exceed Kc6 Billion


Karvina, North Moravia, April 4 (CTK) – The expert opinion of the A-Consult plus institute estimated the phaseout costs of the OKD company’s black coal mines at some Kc6.6bn, daily Mlada fronta Dnes (MfD) said today.


OKD’s price is estimated by the insitute at Kc540m in total, the value itself at Kc234m and non-operating assets at Kc304m, the paper said.


So far the mines phaseout has been preliminarily calculated at some Kc5bn.


OKD had the expert opinion made because of the transfer of mines to the successor OKD Nastupnicka which is to go to the state-run company Prisko for some Kc80. The opinion is based on OKD’s business plan until 2024.


CSA, Lazy and Darkov mines’ phaseout is expected to cost about Kc2.4bn, the highest amount, with social costs making up a half of the figure, MfD said.


CSM mine’s activity is to last the longest – until 2023 at least.


Mining activity at Paskov ended last year. Other mines continue operating. With supplier companies, OKD has a 9,500-strong workforce.


It plans to finance the wind-down from the mining activities revenue.


OKD got into serious financial trouble due to falling prices of coal and its excessive debts. It filed for insolvency, and was declared insolvent in May 2016. More than 550 creditors lodged their claims whose value topped Kc23bn. According to the insolvency administrator, over Kc17bn worth of claims are not valid.