The authorities of the Chelyabinsk region asked the Ministry of Industry and Trade to help save the plant in Bakal from closing
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The government of the Chelyabinsk region sent an appeal to the Ministry of Industry and Trade of the Russian Federation with a request to assist in establishing cooperation ties with the city-forming enterprise of Bakala, the Bakal mine administration, which is threatened with closure due to economic problems. This was reported in the press service of the Ministry of Industry, New Technologies and Natural Resources of the region.
In 2022, the financial condition of the Bakal Mine Administration deteriorated due to a decrease in demand and prices for iron ore, as well as a sharp increase in the cost of spare parts and consumables. For several months, the company operated with negative profitability and did not invest in production. Due to non-payment, the Bakal mining department was turned off the electricity supply.
Now, a commission organized by the government of the Chelyabinsk region is working in the Bakalsky Mining Administration, which resolves the issue of providing support. According to the Minister of Industry of the region Pavel Ryzhy, the department is working with the management of the enterprise to preserve production and staff.
“In order to support the enterprise, the regional government is negotiating with potential consumers of products – the largest metallurgical companies in the region,” Pavel Ryzhiy said.
In January, the Arbitration Court of the Chelyabinsk Region received an application from the MIFNS No. 18 for the region to declare the subsidiary of the Bakalsky Mining Administration OOO Rudnik bankrupt. The amount of the creditor’s claims is 69.7 million rubles.
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