Metinvest Group is launching a large-scale project for the construction of a new workshop for the production of cold-rolled steel, galvanized and painted coils at the Mariupol Ilyich Iron and Steel Works. Total investments in the project will exceed $ 1 billion. On June 10, the Group signed a contract for the supply of equipment with the world’s leading supplier of technologies for the metallurgy, the Italian company Danieli.
containing the project
Construction of a cold rolling shop is planned at the Ilyich Iron and Steel Works of Mariupol. It will include a continuous cold rolling mill combined with a pickling line, as well as three modern lines for applying zinc, aluzinc and polymer coatings. At the first stage, investments in the project will exceed $ 800 million.
Metinvest will involve a large foreign contractor with experience in similar projects to the construction of the complex.
It is planned that in 2025, after the completion of the first stage of the project, the mill will produce about 1,200,000 tons per year of highly competitive cold-rolled and galvanized steel, as well as color-coated steel. In particular, the capacity for the production of cold-rolled coils will amount to over 400,000 tons, galvanized coils – over 600,000 tons, and polymer-coated coils – over 140,000 tons.
The second stage of the project includes the construction of a new section for curing ovens, tempering condition and a coil slitting unit, as well as a new line for applying polymer products to galvanized coils.
After the completion of the second phase of the project, the capacity for the production of cold-rolled products will exceed 1,600,000 tons per year.
What is the effect of construction
The new technology for the production of cold-rolled steel will give Metinvest the opportunity to enter the premium segments of coated steel – galvanized and painted coils, the latter of which is presented in the Group’s product line, as well as to improve the quality and expand the range of cold-rolled products.
The products are intended mainly for the Ukrainian market and, in particular, will make it possible to replace a low-quality imported coated roll with a high-quality Ukrainian-made product. Rolled products are also exported to the CIS countries and Europe.
In addition, the project provides for an environmental component: the existing sulfuric acid digestion technology will be replaced with hydrochloric acid with an acid regeneration unit, which allows it to be returned back to production.
Highly efficient gas cleaning equipment that meets the latest environmental standards of Ukraine and Europe will be installed in the new workshop. Thanks to gas cleaning systems, emissions of harmful substances will be 1.5-3 times lower than the maximum permissible standards in Ukraine, and fuel consumption will decrease by 20%.
In addition, the new production will create more than 230 jobs.