1 November 2011 Новолипецкий металлургический комбинат

NLMK expands secondary metallurgy capacity

Novolipetsk, NLMK’s main production site in Lipetsk, has commissioned a new 2 mtpa ladle furnace (LF). As a result, the Company will be able to expand its product mix and improve quality by reducing the amount of nonmetallic inclusions and sulfur in its steel to 0,001%. An advanced fume extraction and gas cleaning system at the facility will ensure its excellent environmental performance. Waste gas dust removal is 99.5% efficient. The project will increase production output by 200 ktpa, in addition to reducing the consumption of deoxidizing agents, ferroalloys and refractories at the site. The commission of the new LF is part of Stage II of NLMK’s Technical Upgrade Program being carried out together with Siemens VAI (Austria). A similar capacity LF is currently under construction at BOF Shop No.1. Launch is planned before the end of the year. Investment into the two LFs will amount to RUR2.7 bln. In 2010 two LFs with a total capacity of 8 mtpa were commissioned at BOF Shop No.2. For reference: The main objectives of Stage II of NLMK's Technical Upgrade Program (2007 to 2012) are: - To increase steel output by 40% to 17.4 mtpa, including from 9.1 to 12.4 mtpa at the Lipetsk site; -To develop secondary metallurgy at the Lipetsk site; -To achieve maximum self-sufficiency in basic raw materials; - To increase finished rolled product output through the revamping and construction of new rolling facilities; - To increase labor efficiency and improve environmental performance.