RusForest AB announced preliminary Q2 2016 production and sales results for its Magistralny and Ust-Ilimsk units in Russia. In Q2 2016, RusForest harvested 31,770 m3 of logs, compared with 29,704 m3 in Q2 2015 (+7%), which included 24,636 m3 of own harvesting in Ust-Ilimsk. Harvesting operations in Magistralny decreased by 76% in Q2 2016 to 7,134 m3. The main reasons for lower harvesting volumes were an early wet spring and therefore problems with hauling in the beginning of April, as well as planned lower harvesting volumes in Q2 due to strong Q1 2016 harvesting. Harvested volumes in Magistralny for the first half 2016 only decreased by 4% compared with the first half 2015.
Sawmilling
In Q2 2016, RusForest produced 17,838 m3 of sawnwood, compared with 18,467 m3 in Q2 2015 (-3%). Lower sawnwood production volumes were caused by sawlogs shortage in June. At the same time sawmilling volumes for the first half 2016 increased by 2% compared with the first half 2015.
Wood pellets
In Q2 2016, RusForest produced 6,658 tonnes of pellets.
Sales
In Q2 2016 RusForest sold 20,651 m3 of sawnwood compared with 21,572 m3 in Q2 2015 (-4%). Northern African market environment remained difficult with low prices and the share of this market in total RusForest’s sales decreased from 39% in Q2 2015 to just 6% in Q2 2016. At the same time, the share of Japanese market in total sales increased from 31% in Q2 2015 to 38% in Q2 2016. Relatively large volumes of sawnwood were also sold to China, 6,830 m3 in Q2 2016 compared with 2,203 m3 in Q2 2015.
In Q2 2016 RusForest sold 11,364 m3 of sawlogs from Magistralny compared with 11,476 m3 in Q2 2015 (-1%). In Q2 2016 RusForest also delivered 18,868 m3 of sawlogs from own harvesting in Ust-Ilimsk to local Russian market.
A total of 6,269 tonnes of wood pellets were sold from Magistralny in Q2 2016.
