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Ukraine controls only 35 out of 95 mines in Donbas

http://en.interfax.com.ua/news/general/406212.html
The headquarters of the blockade of trade with invaders has said that armed hired thugs have attempted to assault the redoubt of the 16th volunteer battalion in Kryvy Torets, Donetsk region, the police arrested 37 attackers on the blockade participants.

"Right now they are storming the redoubt of the 16 volunteer battalion in Kryvy Torets. Armed 'titushky' (hired muscle), whose numbers are 5-6 times higher [than that of the blockade participants] are storming the redoubt. There are pensioners and video cameras in order to disguise it, the police are completely idle... 'Titushky' are trying to seize locomotives with coal and destroy the redoubt," the headquarters of the trade blockade against wrote on its Facebook page on Tuesday.

According to headquarters, one of the defenders of the redoubt received a minor stab wound in the leg.

The headquarters also pointed out that, according to preliminary data, the attackers are in fact employees of a security company.

Later, the headquarters reported that as of 14:30 they rebuffed two attempts to storm the redoubt of the 16th volunteer battalion.

"'Titushky' moved away and blocked the approaches and entrances to the redoubt. They were acting together with the so-called police. Firearms were not used," the statement reads.

In turn, Chief of the National Police branch in Donetsk region Viacheslav Abroskin on his Facebook page said that an investigative team has left for the site of the incident, police are interrogating witnesses.

As of 14:40, police arrested 37 people who attacked the blockade participants.

"We are establishing identities of each participant of the conflict. Checks are held," Abroskin said.

http://www.interfax.com/newsinf.asp?id=737873

KYIV. Feb 28 (Interfax) - The Ilyich Iron and Steel Works in Mariupol, part of the Metinvest Group, estimates its losses from the blockade of rail lines leading to southeastern Ukraine (Donbass) at 4 million hryvni ($148,000) a day, plant CEO Yuri Zinchenko said.

"Our enterprise alone is incurring losses due to such actions on the railroad of about 4 million hryvni a day," Zinchenko said at a meeting Prime Minister Volodymyr Groysman held with representatives of the metallurgical sector in Kyiv on Tuesday.

Since the blockade of the rail lines began in early February, the Ilyich plant has received 30% less coke than it consumes.

Opposition activists blocked the rail line linking Kurdyumivka-Horlivka at the beginning of February. Earlier, on January 25, the Hirske-Zolote segment of the Luhansk-Lisichansk rail line was blocked. The goal of the blockades is to end trade with the separatists in the self-proclaimed Donetsk People's Republic and Luhansk People's Republic.

The Ilyich plant boosted production of rolled product 7% to 2.472 million tonnes in 2016. Steel output increased 3.5% to 2.737 million tonnes and pig iron production rose 6.9% to 3.815 million tonnes.

The official exchange rate on February 28 was 27.05 hryvni/$1.

http://www.interfax.com/newsinf.asp?pg=4&id=737763

KYIV. Feb 28 (Interfax) - An import-export mechanism for the districts of the Donetsk and Luhansk regions uncontrolled by Kyiv has yet to be coordinated with relevant governmental agencies, Heorhiy Tuka, Deputy Minister for Temporarily Occupied Territories and Internally Displaced Persons of Ukraine, told Interfax on Tuesday.

"This procedure is still being coordinated," he said.

The document might be considered at the next meeting of the Ukrainian government, Tuka said.

Ukrainian Interior Minister Arsen Avakov made a similar statement earlier.

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http://en.interfax.com.ua/news/general/407819.html

The meeting of NATO-Ukraine Commission at ambassadorial level has been held at the NATO Headquarters, where the sides discussed the situation in the east of Ukraine and in the Autonomous Republic of Crimea, the prospects of the Minsk process, as well as the situation with the blocking of traffic in the Donetsk region.

"The allies expressed concern over the situation with the blocking of coal supply from uncontrolled territories, noting the necessity of resolving the existing contradictions legally," a statement reads released on the website of the Mission of Ukraine to NATO.

There was also an exchange of information on Russia's large-scale military activity near Ukraine's borders and NATO and a new wave of escalation of Russia's aggression against Ukraine. The continuing aggravation of the security situation in eastern Ukraine, caused by armed provocations by Russian-backed militants, was discussed.

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March 09, 2017

12:41
Transport blockade of Donbas unacceptable - Lavrov
 
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http://en.interfax.com.ua/news/general/408543.html

The checkpoint of the so-called "Blockade Against Trade with Occupiers" at the Kryvy Torets railway station in the village of Scherbynivka in the jurisdiction of Torets Town Hall in Donetsk region has been taken over by Ukrainian SBU Security Service officers and members of the Ukrainian police's KORD Special Weapons and Tactics force, according to the blockade headquarters.

"Information about the storming of the checkpoint has been confirmed. The facility in Kryvy Torets has been taken over by the SBU and KORD troops. The headquarters is trying to defend other checkpoints and seeking the release of blockade activists who are illegally in custody," blockade organizers said on Monday.

Blockade activists earlier said unidentified people began storming the checkpoint of the 16th Volunteer Battalion at Kryvy Torets station. The blockade HQs later said SBU troops riding armored transport carriers had arrived and were checking documents and taking pictures. The blockade HQs also said that activists at its "Zaporoshia" checkpoint in Bakhmut, Donetsk region, reported Ukrainian special forces had arrived there.

The SBU said it was conducting counter-insurgency operations in the Anti-Terrorist Operations (ATO) zone, SBU spokeswoman Olena Hitlianska said.
 
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http://en.interfax.com.ua/news/economic/408972.html
The self-proclaimed Donetsk People's Republic (DPR) has sent the first, 'trial', consignment of its coal to Russia.

"Today first 95 wagons [of coal] departed. This is a trial consignment," DPR leader Alexander Zakharchenko told reporters.

Zakharchenko did not elaborate on any specific characteristics of the coal supplied.
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http://en.interfax.com.ua/news/general/408975.html
Participants of a trade blockade in Donbas have not been broken up, armed people were detained on Monday, but were released from custody later, Ukrainian Security Service chief Vasyl Hrytsak said.

"As to dispersion, I see that no one has broken up someone, people were detained, work has been conducted with them and they were released from custody," Hrytsak told reporters in Uzhhorod on Tuesday, adding that one cannot breach the rules and stay with weapons where it is forbidden.

"We cannot allow people with arms walking along the streets of our cities and villages [...] The ATO zone, which the Ukrainian state authorities are controlling, is also Ukrainian territory [...] I stand for people voicing their protests peacefully [...] Let's have some discussions, let's the Verkhovna Rada express its stance, local recommendations," the SBU head said. "And let it be the position [...] no one has not yet built democracy in Makhno's manner," he said.

Law enforcement employees have detained over 40 armed people in the Toretsk, Shcherbynivka and Kurdiumivka populated localities in the Donetsk region on March 13. All of them have been released from custody as of Tuesday morning.
 
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http://en.interfax.com.ua/news/general/409085.html

The National Security and Defense Council (NSDC) of Ukraine has supported a temporary cessation of transport ties with the Russian occupied areas in Donetsk and Luhansk regions in connection with the seizure of Ukrainian-managed enterprises and escalation in the Anti-Terrorist Operation zone, NSDC Secretary Oleksandr Turchynov said.

"Taking note that there is sharp escalation of Russian aggression against Ukraine, the forced seizure of Ukrainian enterprises in separate areas in Donetsk and Luhansk regions and acknowledging the aggravation of threats to Ukraine's economic and energy security triggered by deliberate action by terrorists and recognition by Russia of documents issued by the self-proclaimed republics on the state level, the NSDC has decided to suspend transportation of freight across the contact line until the realization of Clauses 1-2 of the Package of Measures for the Implementation of the Minsk Agreements dated February 12, 2015, and until the return of the seized enterprises under the jurisdiction of Ukraine. The measure is aimed at protecting rights and freedoms of citizens of Ukraine and ensuring Ukraine's national security," Turchynov announced at the end of an NSDC meeting on Wednesday.
 
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March 15, 2017

22:02
Ukraine enforces decision on transport blockade for Donbas

21:46
Rinat Akhmetov's SCM Group says it fully lost control over assets in breakaway parts of Donbas (Part 2)
 
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http://en.interfax.com.ua/news/general/409303.html

The Ukrainian side is ready to lift a ban on cargo transportation through the disengagement line in eastern Ukraine, if all enterprises on territories not controlled by Kyiv are returned to Ukrainian owners and ceasefire is observed, Ukrainian President Petro Poroshenko said.

"We say: return the enterprises to the Ukrainian owners no matter if they are state-owned legal entities or not. They seized state-owned legal entities as well. Enforce Article 1 and 2 of the Minsk agreements: the ceasefire and withdrawal of heavy equipment and artillery, and we will lift restrictive measures on cargo transportation through the contact line," Poroshenko said in an interview with Ukrainian TV channels on Wednesday.

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http://en.interfax.com.ua/news/economic/409319.html
SCM Group says it has fully lost control over all of its assets in the breakaway parts of Donbas.

"SCM Group hereby states that as of today, March 15, 2017, is not in control of its assets located in the territories of the Donetsk and Luhansk regions, temporarily not controlled [by the central government]," SCM said on its website on Wednesday.

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http://en.interfax.com.ua/news/economic/409313.html
Metinvest metallurgical group stated it had lost control over all of its enterprises in the territories of Donetsk and Luhansk regions temporarily not controlled by Ukrainian authorities.

"Metinvest group declares a complete loss of control over the operation of all its assets in the uncontrolled areas due to the requirements of the leadership of the unrecognized republics about the need to re-register the enterprises located in the so called Donetsk and Luhansk People's Republics," the press service of the group said.

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http://en.interfax.com.ua/news/general/409329.html
President of Ukraine Petro Poroshenko has instructed Finance Minister Oleksandr Danyliuk to calculate and present losses to the Cabinet of Ministers from the blockade of Donbas.

"Today, Finance Minister Danyliuk was instructed to prepare calculations for the government. And the government should count losses, minimizing them, but inform the society about the price that Ukraine will pay for these irresponsible decisions [trade blockade of Donbas by activists]," he said in an interview with Ukrainian television channels on Wednesday.

Poroshenko noted that not only the DPR/LPR leaders, but also the political forces that took responsibility for the blockade: Batkivschyna and Samopomich factions, will pay for the negative consequences of the blockade.

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https://www.unian.info/economics/18...losses-from-donbas-blockade-at-13-of-gdp.html

According to the Ukrainian steelmakers' association Ukrmetprom, the blockade may result in at least $3.5 billion in losses in metallurgical and related industries alone by the end of the year.

On March 1, the Cabinet introduced rules for transportation of goods through the contact line to settle the situation: only humanitarian freight, as well as goods required to ensure operations of the ore-mining and processing sector, metallurgy, coal production, and the energy sector were allowed for crossing the contact line in the ATO zone.


On March 14, Poroshenko said that a number of Ukrainian enterprises in the occupied areas had been illegally seized by the so-called authorities of the self-proclaimed Luhansk and Donetsk People's Republics. In his words, Ukraine cannot have any economic ties with these entities until control of them is retaken.

The National Security and Defense Council of Ukraine at a meeting on March 15 decided to temporarily ban movement of goods through the contact line in the ATO zone until the seized assets estimated at $2 billion are returned under Ukraine's jurisdiction.

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http://en.interfax.com.ua/news/general/409469.html
Ukrainian President Petro Poroshenko has signed a decree implementing the March 15 decision by Ukraine's National Defense and Security Council (NDSC) to temporarily halt cargo shipments across the line of demarcation between Ukrainian troops and combined Russian-separatist militant groups in Donetsk and Luhansk regions.

"To implement the NSDC decision taking on March 15, 2017, titled 'On urgent additional measures to counteract hybrid threats to Ukraine's national security,'" the decree says.

The decree takes effect upon its publication.

According the NSDC's decision, which is attached to the decree, "temporarily, until the realization of items 1 and 2 of the Minsk 'Set of measures' from February 12, 2015, as well as the return of seized enterprises to operations in accordance with the legislation of Ukraine, to cease cargo shipments across the line of demarcation in Donetsk and Luhansk regions."

The Cabinet of Ministers of Ukraine is ordered to immediately take measures to cease cargo shipments across the line of demarcation in Donetsk and Luhansk regions, except for cargo carrying humanitarian goods and shipments of Ukrainian and international humanitarian assistance.

The government is also tasked with ensuring the safe and reliable functioning of energy and metallurgical enterprises of Ukraine, the neutralization of economic security threats and minimization of consequences for the economy and budget of Ukraine, in accordance with a number of earlier adopted NSDC decisions and presidential decrees.

Ukraine's Foreign Ministry, the National Police of Ukraine, the National Guard, State Fiscal Service of Ukraine are ordered with the participation of Ukraine's SBU Security Service to immediately ensure fulfillment of this decision, having halted railway and overland road cargo shipments across the line of demarcation of demarcation in Donetsk and Luhansk regions, to create conditions for engaging citizens in the control of implementing these measures as provided for by this decision, as well as to take addition measures to strengthen public safety and prevent incidents of a diversionary and terrorist nature designed to disrupt public order.

In addition, the decision recommends heads of the Anti-terrorism Operation (ATO) in Donetsk and Luhansk regions to take comprehensive steps to neutralize any possible acts of armed provocation.

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21:12
Russian permanent representative to OSCE denounces Ukrainian sanctions against Russian banks, transport blockade on DPR, LPR
 
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http://en.interfax.com.ua/news/general/409744.html

Washington is closely monitoring the situation related to the transport blockade of Donbas by the Ukrainian authorities and expects that the situation will be peacefully settled.

"We are closely keeping watch over this blockade," the State Department spokesman Mark Toner said during a telephone briefing.

He expressed hope that the situation could be "settled peacefully."

Answering the question about how the current situation could affect implementation of the Minsk agreements, Toner said: "This can have potentially dangerous consequences. Therefore, we want this situation to be settled."

He recommended that further comments should be directed to the government of Ukraine, and assured that the U.S. supports the territorial integrity of Ukraine in its internationally recognized borders.
 
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http://en.interfax.com.ua/news/general/409956.html

The Foreign Ministry of Ukraine has reported that since Thursday, March 16, the ministry has been providing explanations on the decision of the National Security and Defense Council (NSDC) of Ukraine to temporarily halt cargo shipments across the line of demarcation between Ukrainian troops and combined Russian-militant groups in Donbas to foreign partners.

"We have started explaining and bringing our position to our partners: the NSDC decision that was enacted by the president's decree and why we have made it," Ukrainian Foreign Ministry spokesperson Mariana Betsa said at a briefing on Friday.

She said that the measures have been taken only to protect the national interests of Ukraine. This step is a temporary measure, until Ukraine restores control over the enterprises and Russia starts observing the Minsk agreements, Betsa said.
 
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http://en.interfax.com.ua/news/economic/410159.html

President of Ukraine Petro Poroshenko has said that the blockade of the uncontrolled territories of Donbas is aimed at pushing them away from Ukraine to the Russian Federation.

"The organizers of the blockade deceived the society, since it was not a blockade of the ORDO/ORLO. What a blockade can we talk about, when there is a hole in the border in hundreds of kilometers, including with the Russian Federation? In fact, it turned out to be a special operation aimed at pushing out the occupied areas from Ukrainian Donbas to the Russian Federation," he said during a speech at a meeting of the Regional Development Council in Kyiv on Monday.

Poroshenko noted that the organizers of the blockade should be ready to bear responsibility for their actions.
 
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http://en.interfax.com.ua/news/economic/410421.html

The impact of the blockade of traffic with the uncontrolled territories of Donbas on the Ukrainian economy will definitely be negative, but the degree of influence depends on a number of accompanying factors, experts polled by Interfax-Ukraine believe.

"The economy [after the decision to suspend goods transportation through the contact line in Donetsk and Luhansk regions] is likely to face the risk of recession. In the second quarter of 2017 real GDP might fall compared to the first quarter in seasonally adjusted terms. If the blockade is not eliminated in the third quarter of 2017, the decline in real GDP will continue in July-September. If GDP falls two consecutive quarters, it means that the economy will go into recession," head of the research department of ICU Oleksandr Valchyshen said.

According to the expert, if the authorities use measures to stimulate the economy, it is likely that the dynamics of GDP by the end of this year will slow down to 0% from 2.2% last year.

Valchyshen also noted a high probability of increasing pressure on the hryvnia exchange rate.

"The authorities, including the National Bank, will have to choose whether to maintain the stable exchange rate by increasing the refinancing rate or support the economy. The issues cannot be done simultaneously," he said.

Head of the analytical department of Concorde Capital investment company Oleksandr Paraschiy has the opposite opinion.

"If we proceed from official statistics and the assumption 'all other things being equal,' we'll get exactly the figures the official sources indicate: the effect on the balance of payments will be minus $1.6-2 billion, the negative effect on GDP down to 2%, the negative effect on the U.S. dollar exchange rate up to several hryvnias. But this is theory, which has very little to do with the reality," the expert said.

According to his estimates, metallurgy is unlikely to be affected, however metal goods output might decrease by $1.3-1.4 billion given the down time of the enterprises located in the uncontrolled territories.
 
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https://www.unian.info/war/1837891-...loot-enterprises-seized-from-ukraine-ngo.html

The authorities of the so-called "Luhansk People's Republic" ("LPR") have received permission to block shipments of products from the "nationalized" Ukrainian enterprises if they do not pay taxes to the budget of the "LPR," according to Information Resistance, a non-governmental project on information security.


"On this occasion, the leadership of the 'LPR' appealed to Russia's Presidential Administration through the Russian 'supervisors' and received permission to block shipments of products from the 'nationalized' enterprises without payment of taxes to the budget of the 'LPR,'" Information Resistance reported.


As UNIAN reported, on February 27, the leaders of the terrorist organizations "DPR" and "LPR" demanded that the Ukrainian activists lift the blockade of the occupied territories before March 1, threatening to introduce interim administrations at all enterprises of the Ukrainian jurisdiction that operate in temporarily occupied territory of Donetsk and Luhansk regions. Militants have announced that they will reorient all production processes for working with of Russia and other countries.

On March 1, the "DPR" and "LPR" announced the "nationalization" of all Ukrainian enterprises in occupied Donbas. On March 2, the "DPR" published a list of 43 expropriated businesses.
 
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http://en.interfax.com.ua/news/economic/411373.html

Public joint-stock company Ukrzaliznytsia has denied accusations of providing preferences for transit of Russian iron ore.

"Now the level of transit tariffs if we compare them for similar distances for this cargo is higher by $5.60-7.50 per tonne in contrast to domestic transportation. Even if the domestic tariffs are indexed, the tariff for iron ore transit would remain high," the company said.

Ukrzaliznytsia said that the actual difference between transit and domestic tariffs is from $7.60 to $12.80, and the situation for domestic producers is more favorable, as for exports the distance is 20-70% less than for transit transportation. These are smaller transportation expenses.

"Media publish the misinterpreted assessment of the influence of the tariff indexation on operations of Ukrainian enterprises and no grounds for the loss of the market share by the enterprises are presented. Actually, national producers have privileges compared to Russian producers, which products are exported across Ukraine and they pay transportation fees on the territory of own country and transit fees in Ukraine. Transportation spending for national producers of iron ore are 63-81% less compared to Russian ones," the company said.

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http://en.interfax.com.ua/news/economic/411381.html

The European Bank for Reconstruction and Development (EBRD) that took away a fleet of 2,400 freight wagons under the collateral agreement in court from Interleaseinvest could sell it later, Director of the EBRD Corporate Recovery Department Kamen Zahariev has said.

He said wagons on the bank's balance sheet are for some period of time. The bank is not the natural operator of the wagons. Usually assets used as collateral are transferred to someone's management or in some period of time the assets are sold, he said. The bank would stick to the same strategy in this situation, Zahariev said.

He said that strategic decisions that would positively influence the private wagon operators market could be made.

The EBRD would look for a better decision for Ukraine, he said. There is a large interest to these wagons. The bank receives many proposals from operators and investors in the sector. It is too early to speak about the decision, but anyway this will be a transparent process that the bank would present, he said.

Commenting on the story how the bank had received these wagons, the EBRD representative said that it showed in what 'climate' non-performing loans (NPL) are returned in Ukraine. This is not only EBRD's loans. One should not forget about billions of U.S. dollars of NPL on the balance sheet of the Deposit Guarantee Fund and the on balance sheets of many Ukrainian commercial banks. They would have to return them somehow, Zahariev said.

He said that this story also shows that the company with liquid collateral assets and large revenue becomes a target for illegal seizers. There is a blur line between business and politics, he said. The loan issued to a private company at first turned out to be a loan issued to the minister, and the fall of the minister resulted in the collapse of his company, he said.

Zahariev said that the story with the return of collateral showed the weakness of the judicial system in Ukraine. The bank managed to protect its rights. It has ownership documents to the wagons, but it took much time to do this, he said. There were over 60 ineffective hearings in courts of Kyiv and Dnipro. There were cases when on the same day in one court two judges made absolutely opposite decisions. There were attempts to press on people, he said.

EBRD Country Director in Ukraine Sevki Acuner said that this was an interesting case that shows that investment climate in Ukraine is improving, as it is important for other financial institutions and investors to have confidence that if something goes wrong, their rights under the contracts will be observed and protected.
 
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10:54
DPR enterprises with outside management planning to sell their products to Russia - acting minister of industry

10:43
Donbas conflict parties trade accusations of ceasefire violation
 
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