Metalloinvest, a leading manufacturer and supplier of iron ore and hot briquetted iron on the world market, one of the regional producers of high-quality steel, has presented an updated Development Strategy.
The strategy is aimed at leadership in the mining and metallurgical industry and continuous improvement of the Company's efficiency.
In 2015, Metalloinvest announced its Strategy 2023, which provides for strengthening the Company's position as a world leader in the production of commercial hot briquetted iron (HBI); implementation of a large-scale investment program aimed at improving the efficiency of development and production; increasing the share of products with high added value and improving product quality. Key operational and financial targets of Strategy 2023 were achieved and surpassed by the end of 2018. The Company's strong results proved the correctness of the chosen strategic focus and created a platform for achieving long-term leadership.
In the spring of 2019, the Board of Directors of Metalloinvest Management Company decided to update the Strategy taking into account the opportunities and challenges of the new strategic cycle. The company maintains its proven course towards developing value-added production and improving quality. At the same time, the updated Strategy focuses on ensuring production safety, protecting the life and health of employees, protecting the environment, and digital transformation of business processes.
Metalloinvest sees its mission in providing the global metallurgical industry with high-quality iron ore and metallized products to improve production efficiency .
Key priorities of the Strategy:
- Supply of high quality raw materials to reduce harmful impurities, improve properties and reduce processing costs
- Safety of production, protection of life and employee health
- Reducing environmental impact through efficient and innovative production
- Reducing emissions and waste
- Ensuring sustainable development of regions where we operate
“The updated Strategy is based on an in-depth analysis of market development trends,” said Andrey Varichev, CEO of Metalloinvest Management Company. We see significant opportunities in meeting the growing global demand for high quality raw materials for electric steel smelting. The company has an advanced high-performance pellet and HBI production facility. The use of virgin raw materials with a high iron content and low amount of impurities allows metallurgists to reduce emissions into the atmosphere. The focus of the updated Strategy is sustainable development. We are convinced that metallurgy must be “green” and safe. ”
Key objectives of the Strategy:
- Increasing production volumes and improving the quality of iron ore concentrate, pellets and HBI
- Increase in production volumes and quality improvement of SBQ (high quality long products)
- Maintaining leadership in the bridge steel market
- Formation and development of an engineering and design center
- Creation of centralized R&D management
- Development of the Business System
- Normalized EBITDA growth (excluding one-time factors, exchange rate differences and market volatility) by 3% per year
- Reducing the level of accidents, injuries and occupational diseases
- Leadership among mining and metallurgical enterprises in Russia and compliance with the world level in the field of industrial safety and production culture
Metalloinvest also continues to adhere to the policy of strengthening financial sustainability aimed at reducing cost reduction and improvement of the debt repayment schedule.
The strategy provides for the continuation of comprehensive development programs for Metalloinvest enterprises aimed at improving the quality and increasing sales of iron ore, metallized and steel products, and digital transformation of business processes.
At Lebedinsky and Mikhailovsky mining and processing plants, the construction of conveyor systems for the transportation of iron ore (Cyclic-flow technology and Crushing and conveyor complex) continues.
At the Oskol Electrometallurgical Plant (OEMK), a comprehensive program is being implemented to improve customer focus and quality SBQ, it is planned to build a Ball Mill and a complex Arc Steel Smelting Furnace No. 5 - Integrated Steel Processing Unit No. 4.
Ural Steel continues modernization of blast furnace and steelmaking facilities, construction of medium-pressure boilers at CHPP, construction of Air Separation Unit No. 6 outsourced singa in partnership with Linde.
All enterprises are implementing projects for the development of laboratory equipment, automation and mechanization of the maintenance and repair function.
The strategy also provides for a number of measures aimed
