News

2 February 2006

2005 NLMK Group Trading update

OJSC Novolipetsk Steel (LSE: NLMK) today released its trading update for Q4 2005 and for the twelve months ended 31 December 2005.*

The table below shows the production volume of NLMK’s principal steel products for the periods indicated:

Q4 ended 

Year ended 

December 31,

December 31,

Q4 2004

Q4 2005

Change

2004

2005

Change

Amount

Amount

Amount

%

Amount

Amount

Amount

%

  (in million of tonnes, except for percentages)

Pig Iron

2,27

2,16

(0.12)

(5.1)

8,99

7,89

(1.11)

(12.3)

Steel

2,21

2,28

0,07

3,2

9,12

8,47

(0.65)

(7.2)

Finished steel products

2,08

2,18

0,1

4,8

8,58

7,98

(0.60)

(7.0)

Slabs

1,01

1

(0.02)

(1.8)

3,76

3,2

(0.56)

(14.9)

Rolled steel products

1,07

1,18

0,12

11

4,81

4,78

(0.04)

(0.8)

Hot-rolled steel

0,48

0,46

(0.02)

(4.2)

1,98

2,04

0,06

2,9

Cold-rolled steel

0,58

0,72

0,14

23,6

2,83

2,74

(0.09)

(3.3)


* All information on production volumes is preliminary and may be subject to change. 

Anton Bazulev, NLMK’s spokesman, commented: 

 “We are satisfied with our overall production performance. Despite a substantial downturn in the global steel market, NLMK has achieved its production targets, taken the opportunity to undertake equipment overhauls and maintained production discipline.  All these measures have helped to support our solid margins. We remain on track to implement our production goals and further technical upgrading targets in 2006. NLMK is well placed to achieve optimal results on that strong basis in 2006“.