Consumption of captive iron ore in 2011 has increased by 3% YoY to 4,825,000 tonnes.

MMK's consumption of iron ore from its Bakal subsidiary in 2011 totalled 832,000 tonnes, 41% YoY lower than in FY 2010. This was due to lower shipments of iron ore after transfer of the Sosnovsky deposit from the Bakal subsidiary. Shipments from this deposit were subsequently included in shipments from the Magnitogorsk iron ore base.

Consumption of iron ore from the Magnitogorsk base in 2011 was 1,976,000 tonnes, an increase of 33% YoY. This growth was due to increased concentrate production at crushing and beneficiation plant No 5, and also to the inclusion of the Sosnovsky deposit in deliveries from the Magnitogorsk iron ore base.

Slag processing volumes in 2011 increased by 14% YoY to 2,017 thousand tonnes. This was due to the upgrades to the Amcom 1 processing facility in late 2010 and the launch of the Amcom 2 and Amcom 3 facilities, leading to higher processing of tailings.