22 September 2010 Novolipetsk

NLMK upgrades its steelmaking facilities at the Lipetsk site

Novolipetsk Steel (NLMK) has completed the reconstruction of gas exhaust ducts with a secondary emissions collection and cleaning system at its Lipetsk site. The reconstruction at BOF Shop #1 - which accounts for approximately 40% of steel output at Lipetsk is a key environmental project forming part of the second stage of NLMKs Technical Upgrade Program.

This measure, undertaken at a cost of RUR6.6 billion (over USD200 million), will reduce the environmental impact of steelmaking facilities by over 50% and enable the plant to use the collected gases for in-house power generation. The project represents a vital stage in expanding steelmaking capacities after the launch of Blast Furnace #7 (with 3.4 million tonnes capacity) which is currently under construction at the Lipetsk site.

From 2009, NLMK has been working on the step-by-step installation of a new aspiration system for its three BOF’s, in full compliance with the most advanced ecological requirements. Using innovative technical solutions and equipping the facilities with a single highly efficient system for emissions collection and cleaning of dust formed during the BOF loading and tapping stages will contribute to curtailing the plant’s environmental impact.

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Since the launch of NLMK’s Technical Upgrade Program in 2000, 12 large-scale projects involving highly-efficient environmental protection technologies have already been completed or are currently in progress. The total amount of investments into promoting the ecological program over this period exceeded RUR13 billion. As a result, over the last 10 years NLMK’s air emissions decreased by 36%. Owing to NLMK’s environmental efforts the city of Lipetsk was excluded from the list of Russia’s highly polluted cities in 2005. This list is compiled based on the observations of Russia’s Hydrometeorology and Environmental Monitoring Agency and published in the Natural Resources Ministry’s annual Governmental Report on the State of the Environment in the Russian Federation.

In 2010 NLMK is planning to direct over RUR4 billion towards funding ecological projects at the main production site in Lipetsk. This is the biggest amount of funds into the environmental program since the launch of NLMK’s upgrade plans. The plant’s environmental management system is certified to be in compliance with the international standard ISO 14001-2004. In 2010 NLMK successfully passed the annual oversight audit conducted by an independent certifying body TÜV Rheinland Cert GmbH (Germany).