Severstal plans to increase its capacity
Russian steel producer
Severstal is planning to acquire certain mills to reach its goal of becoming one of the world's six largest steel producers by year 2010.
As previously reported by SteelOrbis,
Severstal acquired assets of US-based steel producer Rouge Steel for $285.5 million early this year.
Severstal, with the planned acquisitions aims to increase its annual
production capacity to be among the world's six biggest steel producers.
Severstal is expected to produce 12.5 million tons of steel products this year, 10 million tons of which is expected to come from its facilities in
Russia and the remaining from its facility in the US.
Moreover,
Severstal is expected to be among the world's most profitable steel producers. It is estimated that the producer will report EBITDA (earnings before interest, taxation, depreciation and amortization) per ton of steel shipped as $140.