Metalloinvest plans to build a new electric arc furnace (EAF #5) with an annual production capacity of 1.2mn mt of liquid steel and an integrated steel processing unit (ISPU #4) with 1.3mn mt annual output at its Alexey Ugarov OEMK.
The company plans to invest RUB 6.4bn ($85.1mn) in this new project and will purchase key process equipment and services from Italian equipment manufacturer Danieli, it said in a statement. EAF #5 is scheduled to be commissioned by 2023 and ISPU #4 by 2024. The project is expected to create around 30 new jobs in the area.
Moreover, ISPU #4 will replace Metalloinvest’s EAF #2, which will be decommissioned. The step will help the company produce steel using modern technologies and improve quality and competitiveness of the products. The use of EAF #5 will minimize the amount of slag in the steel ladle, which, in turn, will improve the overall production capacity of the steelmaker.
The investment in the two equipment is also expected to boost Metalloinvest’s export sales as OEMK ships steel to over 30 countries across the world.
($1=RUB75.19)