NLMK Group launches project to boost slab capacity
NLMK Group, a global steel company with operations in Russia, the USA, and the EU, has launched a project to upgrade its continuous casting line (CCM-9) at its flagship Lipetsk production site.
The upgrade will enable an 80% boost in the capacity of the line (to 1.8 mtpa), and the production of ‘heavy’ slabs up to 400 mm thick and up to 2,800 mm wide.
Heavy gauge slabs are rolled into plates used for the production of large-diameter pipes, wind turbines, sea vessels, and offshore drilling rigs.
Konstantin Lagutin, NLMK Group Vice President, Investment Projects, said:
“The CCM-9 upgrade is one of the key projects of NLMK Group’s new strategic cycle. The goal is to consolidate our long-term competitive advantages in the global market. Together with other steelmaking upgrade projects, CCM-9 will enable NLMK Lipetsk to boost its slab capacity by 1 mtpa, and add new products to its market offering.”
The new CCM-9 project incorporates advanced process solutions that will enhance the line’s capacity to produce heavy gauge slabs. The reconstruction will improve process logistics and cut repair and maintenance costs. The use of a modern deep learning mathematical control model, and innovative solutions for slab cooling mode control, will enable the production of high-strength and crack-sensitive steel grades used in the manufacture of products designed for harsh environments, i.e. drilling rigs, bridges, cranes, dump truck bodies, and wind turbines.
SMS Group (Germany) was selected as the supplier of engineering and main process equipment for the project.
Basic engineering has already been completed. Project design documentation is currently being finalized. Construction and assembly works are scheduled to begin in Q4 2018. In Q2 2019, the line will be idled for the reconstruction until December 2019.
About NLMK Group
NLMK Group is the largest steelmaker in Russia and one of the most efficient in the world.
NLMK Group’s steel products are used in various industries, from construction and machine building to the manufacturing of power-generation equipment and offshore windmills.
NLMK operates production facilities in Russia, Europe and the United States. The Company’s steel production capacity exceeds 17 million tonnes per year.
NLMK has the most competitive cash cost among global manufacturers and one of the highest profitability levels in the industry. In 3M 2018, the Company generated $2.79 billion in revenue and $0.8 billion in EBITDA. As of 31 March 2018, Net debt/EBITDA stood at 0.31х. The company has investment grade credit ratings from S&P, Moody’s and Fitch.
NLMK’s ordinary shares with a 16% free-float are traded on the Moscow Stock Exchange (ticker "NLMK") and its global depositary shares are traded on the London Stock Exchange (ticker "NLMK:LI"). The share capital of the Company is divided into 5,993,227,240 shares with a par value of RUB 1. For more details on NLMK shareholder capital, please follow the link.
NLMK Group received the Steel Industry Leadership Award at the prestigious 2016 Platts Global Metals Awards held by S&P Global Platts, a leading international industry analytical periodical.
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