Launch of New Products

The Sibgormontazh Service Company, which is incorporated in Belon Group, has started production of new equipment. Now all the mines of the Company will be provided with anchors to be used for wall bolting.

Currently, a pilot batch of 1,000 anchors is being manufactured to be later tested at the Listvyazhnaya mine.

In late May or early June, as soon as the necessary license is obtained, Belon Group plans to achieve the required volume of anchor production. According to preliminary estimates, the production volume will amount to about 36,000 anchors per month.

For this purpose the Company purchased special equipment, including a crank press at the cost of approximately RUR 160,000. This press will be used at the plant to produce washers for wall bolting, and washers for rock anchors. At present, the equipment is being assembled, and by the end of April it will be completed.

The cost of the Company’s products will be lower than that of other suppliers. This will reduce the drifting costs, and raise the effectiveness of coal production. Today, Sibgormontazh already delivers metal gratings and roof girders used for wall bolting, as well as flanged pipes used for mine drainage and gas-suction systems to the mines of Belon Group.