VIZ-Stal, the Ekaterinburg-based subsidiary of the Russian steelmaker Novolipetsk Steel (NLMK), has announced that in 2010 it will double its investments for the modernization of its production facilities to Ruble 640 million (about $21.8 million).
Accordingly, within the framework of its technical upgrade and development program for 2007-2015, VIZ-Stal will continue the implementation of five investment projects.
In Q2 2010, VIZ-Stal plans the commissioning of its high-temperature annealing furnaces, which will improve electrical steel quality and will reduce production costs by decreasing energy costs for steel processing. The total investment for acquisition and installation of a set of eight furnaces will amount to about Ruble 940 million (about $32 million).
In addition, VIZ-Stal is continuing the construction of its new reversible rolling mill, which will produce high-permeability steel. Within the implementation of the project, amounting to a cost of Ruble 1.4 billion (about $47.8 million), the plant has already purchased the necessary equipment and has begun the construction of the foundation. In the current year VIZ-Stal will start the installation works.
Moreover, during the current year, VIZ-Stal plans to complete the reconstruction of the straightening annealing unit, to continue the construction of a roll grinding machine and the installation of natural gas reforming unit.