The new pit shaft in Kirovsk, Murmansk Oblast, will enable the company to significantly expand capacity and production. In an opening ceremony this week, regional Governor Marina Kovtun said the mining company now opens a ”new, glorious page in its history”.
The pit shaft will enable Apatit to increase production with as much as 25 percent, a press release from the Murmansk regional government informs.
Apatit is owned by Phosagro, one of the world’s leading producers of phosphate-based fertilisers.
While most mining companies are experiencing serious hardship following lower raw material prices, Phosagro benfits from an opposite trend. The company 2015 first half year financial report shows that revenue for the period increased by 65 percent to $1,63 million (RUB 93.7 billion), while EBITDA grew by 156 percent to $723 million (RUB 41.5 billion). That is the best ever 6-month result for the company.
A key reason is the higher demand from countries like India.
Murmansk Oblast is Russia’s key phosphorous production region. As illustrated by Patchwork Barents, the regional dataportal, a total of 10,77 million tons of apatites were produced in 2014. A lion’s share of that comes from the Apatit company.