8 August 2011 NLMK Group

NLMK invests in new equipment to increase cold-rolled steel production

NLMK has signed a EUR10.4 million contract with LOI Thermprocess GmbH, Germany, for 23 bell type annealing furnaces with an aggregate capacity of 480 ktpy to anneal low-carbon coils at the Group’s main site in Lipetsk. This project is part of the Company’s plan to increase finished product output as part of Stage II of NLMK’s Technical Upgrade Program.

The new furnaces will replace 30 obsolete inefficient ones. The high speed of heating and cooling in a hydrogen atmosphere will result in significantly better performance and improved quality of annealing.
Under the contract, the German company is to supply the equipment in 2012. Two installation stages are planned, in 2012 and in 2013, in the Cold-Rolled and Coated Flats Shop.

For reference:

The main objectives of Stage II of NLMK's Technical Upgrade Program for the period from 2007 to 2012 are:
- To increase liquid steel capacity by 40% to 17 mtpy, including from 9 to 12.4 mtpy at the Lipetsk site;
- To achieve maximum self-sufficiency in basic raw materials;
-To increase finished product output from 8.9 to 10.7 mtpy due to revamping and construction of new rolling facilities producing finished flats;
- To increase labor productivity and reduce environmental impact