Russian steelmaker Severstal has announced details of its 2015 capital investment program to support the delivery of Severstal’s strategy and long-term competitiveness.
Severstal plans to invest approximately RUB 30 billion ($0.428 billion) across its business in 2015. This investment will primarily focus on developing key areas of the company’s strategy including increased production of high-value added products, enhancement of customer care, and, continuous improvement to health and safety standards. At the same time, management will remain focused on the reduction of operational and administrative costs.
Planned investment across the Severstal Russian Steel division in 2015 is approximately RUB 16 billion ($0.228 billion). RUB 8 billion ($0.114 billion) of this will be invested in development projects including the construction of a new coating line and the revamping of the four-stand continuous tandem cold rolling mill 1700, both at Cherepovets Steel Mill.
RUB 8 billion ($0.114 billion) will be invested in a combination of maintenance and environmental improvement projects.
Planned investment across the Severstal Resources division in 2015 is approximately RUB 13 billion ($0.185 billion). RUB 7 billion ($0.1 billion) of this will be invested in development projects including the completion of the construction of an incline shaft at Zapolyarnaya and, at Karelsky Okatysh, the construction of a new water rotation unit and improvements to the stripping works.
In 2015, RUB 6 billion ($0.085 billion) will be invested in the maintenance of Severstal’s coal and iron ore operations as well as in health and safety improvement projects.