PRODUCTION IN THE TIME OF CHOLERA: KHW

For KHW 2013 was a year of relative stability. The company produced 12m Mt of coal (18% of total domestic steam coal production) and had almost 45m PLN of net profit. Just like Kompania Węglowa at the time, Katowicki Holding Węglowy planned investing in its own power plants. Also, KHW was running its underground coal gasification project (which is today under investigation by Supreme Audit Office, but on the aspect of insufficient support from the former Minister of Economy).

Unlike KW, KHW decided to prepare itself for possible troubles. To do so, company prepared a voluntary quit benefits program for employees working in the administration staff. As far as this went well, negotiations with the rest of the crew were not going so smoothly. The biggest problems KHW management had with their satellite mine – Kazimierz Juliusz (KHW with KWK Kazimierz Juliusz forms Katowicka Grupa Kapitałowa). Labor unions were surprised by the decision of speeded up shutting down the mine, but were even more surprised and enraged by the irregularities connected with management over the company-owned flats; many miners faced possibility of homelessness. Unions went on strike and after a month PM with Silesian voivode came to and agreement with them. Part of the agreement was to remove Roman Łój from his CEO position, after he became inconvenient both for the unions and the government (after making some emotional comment). He was replaced by Zygmunt Łukaszczyk, former Silesian voivode and VP responsible for development in JSW.

The new CEO was later fighting shoulder to shoulder with Zbigniew Stopa from private-owned (back then) LW Bogdanka against the price dumping practices in Kompania Węglowa, which dragged down all the other steam coal producers in 2015.

TO RECEIVE FULL DETAILED REPORT ON THE SUBJECT PLEASE WRITE TO US AT REQUESTS@POLISHCOALDAILY.COM, INCLUDING “KHW CRISIS” IN THE SUBJECT OF YOUR EMAIL.

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