The new mill is being built in the Sheksna industrial zone, located in the Vologodsk region, and is scheduled to start production, with annual output of 250,000 metric tons, by the second half of 2010.
In addition, Severstal has announced the commencement of another project in the Sheksna industrial zone, i.e., the construction of a mill for the production of light structural steel. The investment in this new project totals $60 million. The new mill is expected to be completed by 2012 and is to have an annual production capacity of 100,000 metric tons.