The Russian pipe producer United Metallurgical Company (OMK) has disclosed its modernization plans for its Chusovoy Steel Works (Chusovoy) subsidiary.
Accordingly, in 2008 OMK will start the implementation of its massive investment project at Chusovoy. The project includes the reconstruction of Chusovoy's blast furnace production facility which will allow the mill to increase its pig iron production capacity by three-fold.
In addition, by 2011 OMK will construct a new oxygen converter workshop at Chusovoy with an annual production capacity of 1.5 million metric tons of crude steel, in addition to a new continuous slab caster. Slabs manufactured at the new caster are to be supplied to another OMK subsidiary, Vyksa, for use in the production of plates at its mill-5000. OMK will thereby be able to close the full cycle of large diameter pipe production.
The total investment in Chusovoy amounts to $1 billion.