The NLMK group, a global steel company with operations in Russia, the U.S., and the E.U., has launched a project to upgrade its continuous casting line (CCM-9) at its flagship Lipetsk production site.

The upgrade will enable an 80-percent boost in the line’s capacity to 1.8 million tons per annum (mtpa), and will allow for the production of heavy slabs up to 400 mm thick and up to 2,800 mm wide.

Heavy gauge slabs are rolled into plates used for the production of large-diameter pipes, wind turbines, sea vessels, and offshore drilling rigs.

The new CCM-9 project incorporates advanced process solutions that will enhance the line’s capacity to produce heavy gauge slabs. The reconstruction will improve process logistics and cut repair and maintenance costs. The use of a modern deep learning mathematical control model and innovative solutions for slab cooling mode control will enable the production of high-strength and crack-sensitive steel grades used in manufacturing products designed for harsh environments, i.e. drilling rigs, bridges, cranes, dump truck bodies, and wind turbines.

The NLMK group’s vice president for investment projects Konstantin Lagutin said, “The CCM-9 upgrade is one of the key projects of the NLMK group’s new strategic cycle. The goal is to consolidate the company’s long-term competitive advantages in the global market. Together with other steelmaking upgrade projects, CCM-9 will enable NLMK Lipetsk to boost its slab capacity by one mtpa and add new products to its market offering.”

The SMS group (Germany) was selected as the supplier of engineering services and the main processing equipment for the project.

Basic engineering has already been completed. Project design documents are currently being finalized. The construction and assembly works are scheduled to begin in the fourth quarter of 2018. In the second quarter of 2019, the line will be idled for reconstruction until December 2019.

The NLMK group is the largest steelmaker in Russia and one of the most efficient steelmakers in the world. NLMK’s steel products are used in various industries, from construction and machine building to the manufacturing of power-generation equipment and offshore windmills.

NLMK’s steel production capacity exceeds 17 million tons per year.

NLMK has the most competitive cash cost among global manufacturers and one of the highest profitability levels in the industry.

In the three months of 2018, the company generated USD2.79 billion in revenue, and its EBITDA stood at USD0.8 billion. The company has investment-grade credit ratings from S&P, Moody’s, and Fitch.

NLMK’s ordinary shares with a 16 percent free-float are traded on the Moscow Stock Exchange (ticker NLMK), and its global depositary shares are traded on the London Stock Exchange (ticker NLMK).

The NLMK group received the Steel Industry Leadership Award at the prestigious 2016 Platts Global Metals Awards held by S&P Global Platts, a leading international industry analytical periodical.