News. Russian ferrous metallurgy news

MMK increases sales for its SteelArt polymer-coated products

It has been three years since the commissioning of the polymer-coating unit No. 5 at the Lysvensky Metallurgical Plant, which currently manufactures products with decorative designs under the SteelArt brand. These products consist of a metal base with a three-layer polymer coating, which accurately imitates the look and feel of natural materials such as stone, wood, brick and others, as well as being much cheaper and easier to install. The product has a number of advantages relating to its base ...
04 March 2019., 12:30   comment

Air Liquide and Severstal further strengthen their partnership with a new long-term contract

PAO Severstal and Air Liquide have signed a new long-term contract for the supply of oxygen, nitrogen and argon in Cherepovets. Air Liquide will invest around 50 million euros in the construction of a state-of-the-art Air Separation Unit (ASU) which will improve the energy efficiency and the overall environmental footprint of the Severstal production process. Air Liquide will design, construct and own a new ASU on the Severstal CherMK site in Cherepovets producing 2,000 tons of oxygen per day. ...
04 March 2019., 12:28   comment

Metalloinvest purchases new heavy-duty excavator for Lebedinsky GOK

A new heavy-duty excavator (EKG-20), with a 20 cubic metre ladle, has been launched into operation at Lebedinsky GOK (part of Metalloinvest). Modern and powerful production equipment, such as the new excavator, is regularly purchased by Metalloinvest for Lebedinsky GOK as part of its investment programme designed to modernise its mining transportation complex. Lebedinsky GOK’s mining fleet consists of three excavators, each with a 20 cubic metre ladle. Together with the plant’s BelAZ fleet, ...
04 March 2019., 12:26   comment

NLMK updates reheating furnace at its hot-rolling shop in Lipetsk

NLMK Group’s Lipetsk site, has started installation of the reheating furnace equipment in its hot-rolling shop. A new walking-beam furnace will replace a previous-generation pusher-type furnace. The new furnace will add 110 k t per year (+2%) to the hot-rolling mill's output, improve product quality thanks to a more sophisticated technology for charging slabs into the rolling mill, reduce energy consumption by 50% and cut this section's emissions by half. Investment in the project will total ...
04 March 2019., 12:24   comment

Paul Wurth blast furnace equipment – long-term solutions for EVRAZ NTMK

Luxembourg, 13 March 2019. By October 2020, EVRAZ will complete a technical upgrade of No. 6 Blast Furnace of their integrated steel works NTMK located at Nizhnij Tagil in the Urals, Russia. The modernization will concern all systems of the existing installation and enables increasing the nominal capacity by about 40% compared to the previous campaign design. With a hearth diameter of 9.8 meters and an inner volume of 2,200 cubic meters, the new furnace will be able to produce 2.5 million tons ...
13 March 2019., 15:34   comment

ExxonMobil and Primetals Technologies sign global lubrication agreement

• Partnership introduces a joint lubricants and technical services offering • Available to Primetals Technologies long rolling and Morgoil flat rolling equipment owners • Offer includes an enhanced new equipment warranty ExxonMobil and Primetals Technologies have signed a global lubricants agreement to provide lubricants and enhanced technical services exclusively to Primetals Technologies customers. The offer includes three new product families engineered specifically for the unique performance ...
03 December 2019., 09:00   comment

MMK Board of Directors Recommends Dividends For Q4 2018

PJSC Magnitogorsk Iron & Steel Works ("MMK" or "the Company”, ticker: MMK:LI) announces that on 8 February 2019 the Company’s Board of Directors recommended that the Annual General Meeting of shareholders approve a dividend of RUB 1.398 (before taxes) per share for the fourth quarter of 2018 on MMK’s issued ordinary registered shares. The dividend will represent the total of approximately USD 239 mln at the current exchange rate, which equals to 100% of the Company’s FCF for Q4 2018. As a result, ...
15 February 2019., 14:22   comment

Severstal’s Izhora Pipe Mill to supply Gazprom with over 200 thousand tons of pipes

Izhora Pipe Mill (IPM, part of PAO Severstal) has won several tenders to supply PAO Gazprom with over 200 thousand tons of large diameter pipes. The products will be used in the development of gas transmission capacities for the Unified Gas Supply System in the North-West Region (NEGP), as well as the construction of the Kovykta-Chayanda section of the Power of Siberia gas pipeline. The Company will produce and supply pipes with diameters of 720 to 1420 mm with varying wall thickness using K60 ...
15 February 2019., 14:20   comment

Moody’s upgrades NLMK Group’s long-term credit rating

International rating agency Moody’s has upgraded NLMK Group’s long-term credit rating from Baa3 to Вaа2 with a stable outlook (both are investment grade). The decision follows a rating action to upgrade Russia’s sovereign rating which took place on 8 February 2019. Shamil Kurmashov, NLMK Group CFO, said: “We welcome Moody’s decision to upgrade NLMK’s rating. This decision acknowledges the Company’s high creditworthiness and the sustainability of NLMK’s business model.” NLMK’s current credit ...
15 February 2019., 14:18   comment

MMK Group Financial Statements

Q4 2018 highlights vs Q3 2018 The decrease in revenue for Q4 2018 was due to the fall in the average sale price of finished products against a backdrop of a seasonal decrease in sales of steel products. In Q4 2018, the cost of sales grew q-o-q, mainly due to higher prices of key raw materials on the domestic market. As a result, EBITDA decreased by 20.0% on the previous quarter. EBITDA margin amounted to 27.4%. Quarterly profit amounted to USD 245 mln. One-off factors that had an impact on profit ...
02 August 2019., 16:15   comment

Q4 and 12m 2018 NLMK Group consolidated financial results under IFRS

NLMK Group (MICEX and LSE: NLMK) is pleased to announce an EBITDA growth of 35% yoy to $3.6 bn in 2018. EBITDA margin hit a decade high at 30%. Free cash flow grew by 60% to $2.0 bn. 12M 2018 key highlights Group revenue in 12M 2018 totalled $12.0 bn (+20% yoy), driven by the growth of average sales prices and higher sales volumes. EBITDA grew to $3.6 bn (+35% yoy), driven by higher revenue and operational efficiency gains in 2018. Free cash flow increased by 60% yoy to $2.0 bn, due to the increase ...
02 August 2019., 16:13   comment

Tenaris and Severstal to form joint venture to build a welded pipe plant in West Siberia

Moscow, February 5, 2019 –Tenaris S.A. (NYSE, Buenos Aires and Mexico: TS and MTA Italy: TEN) and PAO Severstal (MICEX-RTS: CHMF; LSE: SVST) announced today that they will create a joint venture to build a welded pipe plant to produce OCTG products in the Surgut area, West Siberia, Russian Federation. Severstal will have a 51% interest in the joint venture company, with Tenaris owning the remaining 49%. The commencement of the project is subject to regulatory approvals and other customary conditions. ...
02 May 2019., 13:51   comment

Fletcher Group consolidates service functions into Corporate Solutions Centre

NLMK Group, an international steel company, has sold 100% of its stake in NLMK Accounting Centre to Fletcher Group Holdings Limited for a total of 23.9 million rubles. NLMK Accounting Centre will be used as a platform for setting up a single service company, NLMK Corporate Solutions Centre, that will provide services to NLMK Group companies and Universal Cargo Logistics Holding (UCL Holding), an international transport group, including Freight One (PGK). This transaction will ensure a balance ...
02 May 2019., 11:43   comment

Severstal announces 2019 capital investment programme

PAO Severstal ("Severstal"; "the Company"), one of the world’s leading vertically integrated steel and steel-related mining companies, today announces its capital investment programme for 2019. In line with previous announcements, Severstal plans to invest approximately 95.7 billion rubles in 2019, focusing on the key areas of the Company’s updated strategy disclosed during its Capital Markets Day in November 2018 – superior client experience, cost leadership and embracing new opportunities ...
02 May 2019., 11:41   comment

IMH operational results for FY 2018

Industrial Metallurgical Holding (IMH), one of the global leading suppliers of merchant pig iron and the biggest merchant coke producer in Russia, announces its operational results for FY 2018. In 2018, Tulachermet achieved record-high pig iron production for the whole history working with two blast furnaces. Total production increased by 3% to 2,343 kt compared to 2,276 kt in 2017. This was the result of higher production efficiency upon completion of maintenance at blast furnaces № 2 and 3 ...
02 May 2019., 11:39   comment

MMK's hot-rolled products Mill 2000 sets annual production record

PJSC Magnitogorsk Iron and Steel Works’ (MMK) hot-rolled products Mill 2000 achieved its maximum annual production rate in 2018, for the second time since its launch, breaking the 6 million tonne mark for production of hot-rolled products. The previous record was set at the end of 2016, when the annual output of the mill reached 5.948 million tonnes of hot-rolled steel. In 2018, the figure was 6.002 million tonnes. MMK's most productive rolling mill is located in sheet-rolling shop No. 10. This ...
02 May 2019., 11:37   comment

Izhora Pipe Mill to supply pipes for the European gas pipeline Poland–Slovakia Gas Interconnection

Izhora Pipe Mill (IPM, part of PAO Severstal) is to produce and supply over 11 thousand tons of large diameter pipes for the Poland–Slovakia Gas Interconnection project, which will become part of the EU energy infrastructure priority corridor North–South gas interconnections in Central Eastern and South Eastern Europe (NSI East Gas). IPM will supply the customer, Eustream, with pipes with a diameter of 1016mm and length of 18m, made of grade L485ME steel. Metal plates for the products will be ...
25 January 2019., 14:57   comment

Mechel Launches Steel Trade Online Store

Mechel reports launching an online store to market the company’s rolls. Mechel Service OOO’s online store offers a wide range of rolls, including over 40,000 articles in 49 categories such as flat and section rolls, pipes, hot- and cold-rolled products, hardware, stainless rolls and others. The store’s website is www.mechelservice.ru/catalog The website also shows updated information on all of Mechel Service sales network’s subsidiaries located in 41 Russian cities and towns. Any Russian-based ...
25 January 2019., 14:54   comment

TMK Announces FY 2018 Operational Results

FY 2018 Highlights Total pipe shipments grew 6% year-on-year, to 4,010 thousand tonnes, mainly driven by higher seamless OCTG shipments at the Russian division and increased shipments of both seamless and welded OCTG pipe at the American division, due to stronger drilling activity in North America. Seamless pipe shipments were up 3% year-on-year, to 2,767 thousand tonnes, mainly reflecting increased shipments of OCTG pipe at the Russian division. Welded pipe shipments were up 11% year-on-year, ...
25 January 2019., 14:52   comment

MMK Group Trading Update for Q4 and FY 2018

Q4 2018 highlights vs. Q3 2018 MMK Group’s total sales of finished products in Q4 2018 totalled 2,936 thousand tonnes, down 3.8% quarter-on-quarter (q-o-q). MMK Group’s sales of HVA products in Q4 2018 were 1,349 thousand tonnes, almost flat q-o-q. The share of HVA products in total sales increased to 45.9%. MMK Coal’s coal concentrate production in Q4 2018 totalled 781 thousand tonnes, down 3.4% q-o-q. FY 2018 highlights vs. FY 2017 MMK Group’s total sales of finished products in FY 2018 totalled ...
25 January 2019., 14:49   comment