Russian steel mill Magnitogorsk Iron and Steel Works (MMK) plans in 2010 to increase investments in its expansion by Ruble 1.3 billion (about $42.8 million) year on year to Ruble 35.3 billion (about $1.16 billion), the Russian news agency Dostup reports citing MMK's vice president for sales Vladimir Shmakov.
According to Mr. Shmakov, MMK will invest a part of these funds for the continuation of the construction of its new cold rolling mill 2000 with an annual capacity of two million mt. The total investments in this project will amount to Ruble 46 billion (about $1.51 billion). As SteelOrbis previously reported, MMK expects that this construction work will be completed next year and that its new cold rolling complex will be commissioned in late 2011.
In addition, MMK is also to invest in the reconstruction of its hot rolling mill 2500 and in the expansion of its iron ore producing company Bakalskoe Rudoupravlenie. As SteelOrbis previously reported, the reconstruction of its hot rolling mill 2500, which started in 2007, is scheduled to be completed by 2010 and is aimed at allowing MMK to increase the production capacity of the mill to 5 million mt per year and will allow the production of coils and sheets for the pressure vessel construction, shipbuilding and bridge building industries.
Meanwhile, in 2010 MMK will also to continue the construction of its joint venture plant in Turkey, namely, MMK Atakas, which will have an annual production capacity of 2.3 million metric tons of flat steel products for sale in the domestic and export markets. MMK Atakas' flat steel-making complex and related infrastructure facilities in Turkey are scheduled to be completed by the end of December 2010.
"In the current December-January period, MMK plans to complete the construction of its new slab concaster No. 6 and of its secondary steel treatment unit, which will ensure full capacity utilization of its new plate mill 500," Mr. Shmakov said.