Russia's East-Siberian Metallurgical Company (VSMK) and the Russian mining and steel producer Evraz Group are ready to begin construction of a new rebar producing plant Sibirsky Electrometallurgical Plant in the city of Bratsk in Russia's Irkutsk region.
Accordingly, Evraz, which will be the main investor in the project, intends to invest $130 million, of which about 45 percent will be used for construction of the plant, while 55 percent of the remaining funds will be allocated for the purchase and installation of the equipment, the supplier of which will be the leading Italian producer of steelmaking machinery and plants, Danieli.
The new plant will have an annual production capacity of 300,000 mt of high quality long steel products, and will use scrap as raw material, while using gas in its production cycle. The design and construction of the new plant will take two years.
The site for the construction of the new plant was determined in 2005.