It is a well-known fact that trading coal is quite profitable business, and when it comes to trading coal with the territories where instead of generally accepted forms of business the strength governs, it brings a lot more profit for masters of piratic economy.
Today it is possible to assign the so-called Donetsk and Luhansk People’s Republics, separatist by their nature, to such territories. In 2017, separatists supported by the Russian authorities and Kremlin laid their hands on the mines within the territories of Ukrainian Donbas which they had occupied.
For obvious reason the only exporter of Ukrainian anthracite from breakaway separatist “republics” is the aggressor state – Russia which trades Ukrainian coal through separatist formations and escaped businessmen of Viktor Yanukovich regime. Such export is an arbitrary ruleless criminal outflow of mineral resources. Export of this coal by other states shall be, by all means, illegal.
The key intermediary between the authorities of the Russian Federation and most economic entities within separatist territory were the organisations controllable by the escaped Ukrainian businessman Sergey Kurchenko who was put in international wanted list. Kurchenko possesses Company Gaz Alliance Ltd (Nizhniy Novgorod, Russia), which is allotted a task to supply materials, raw products and equipment to branches of CJSC “Vneshtorgservis” (Tskhinvali, the Republic of South Osetia).
From March 01, 2017 this company has been performing “external control” over Ukrainian enterprises captured by separatists and sells their products outside the unacknowledged republics. According to Mr. Kurchenko’s scheme, “Gaz Alliance Company” transforms Ukrainian coal into Russian.
All Sergey Kurchenko’s business activities within the territories of unacknowledged Donetsk and Luhansk Republics is governed by the top echelon representatives of Russian government (Dmitry Kozak) and members of interdepartmental Commission for Humanitarian Aid for the Territories of South and Eastern Donetsk and Luhansk regions (Sergey Nazarov, Deputy Minister for Regional Development) and top echelon representatives of the Russia’s FSB. They were those whom Mr. Kurchenko addressed to take in hand the LNR’s leader Igor Plotnitskiy after he imposed a tax on goods manufactured at “Vneshtorgservis” enterprises, namely on coal from his mines.
Since Russia mines quite enough coal of even better quality than Donbas anthracite, then coal mined in territories beyond Ukraine’s control, after transforming it into ‘Russian’ is transferred to other states. Thus, Russia reexports separatist’s coal abroad through Sergey Kurchenko’s company. The only contract with Polish “Dolomit-oil Sp.z.o.o.” involves supply of 10 000 tons of AKO anthracite from DPR/LPR from September till the end of the year. Under other contracts, sea supplies of anthracite shall be adjusted through the ports of the Sea of Azov to Romania, Turkey, Italy, Greece, Bulgaria and Spain (“RZD Logistics” provides logistic services within the territory of Russia).
In terms of international sanctions imposed on the Russian Federation due to Kremlin’s aggressive policy against Ukraine, how should such trade relations with unacknowledged Donetsk and Luhansk Republics be treated if nothing but a contravention of sanctions? If not putting under the question the decency and discretion of the authorities of that states where the companies doing their business using bloody Donbas coal are located, then the ability of authorities to get the situation under control and suppress machinations raise reasonable doubts.