The largest Russian steelmaker NLMK Group has announced that it has signed an agreement with the Italian company Tenova for the construction of the fifth continuous hot dip galvanizing line (HDG-5) at NLMK's Lipetsk production site.
According to the statement, the HDG-5 will have an annual output capacity of 450,000 mt of high-quality cold rolled galvanized steel, of 0.3-2.00 mm in thickness and 900-1,500 mm in width, for the construction, automative and manufacturing industries. There are currently four HDG lines in operation at the Lipetsk site with a total capacity of 1.175 million mt per year. Meanwhile, NLMK plans to reconstruct the HDG line No.1 in 2015 to increase HDG steel production up by 120,000 mt per year as early as 2016.
"This Strategy 2017 project will enable NLMK Group to consolidate its leadership position in the Russian coated steel market, with total galvanizing capacity at the Lipetsk site exceeding 1.7 million metric tons per year. Consistent development of NLMK's rolling capacities will increase our market offering of Russian-made high-quality steel, reducing the dependence of Russian consumers on imports and increasing sales efficiency through growth of high-value added (HVA) product share," said Konstantin Lagutin, NLMK Group's vice president for investment projects.