Предприятия группы Метинвест Feedback

Ilyich Iron and Steel Works

Metinvest implements the largest environmental project in the history of independent Ukraine

4 December 2013

Metinvest Group signed a contract with Italy's Termokimik Corporation, a leading producer of environmental equipment for industrial companies, to develop the basic engineering to upgrade the sinter plant at Ilyich Iron & Steel Works of Mariupol (MMKI). Total investments in the project will amount to about $220 million. This is the largest environmental project in the history of independent Ukraine. The reconstruction of the sinter plant will allow the enterprise to achieve international environmental standards in terms of emissions of dust and sulfur oxide.

The contract for the first phase of the project, the development of basic engineering, was signed by Metinvest Group CEO Igor Syry and Termokimik Corporation President and CEO Gianluigi Castellani. The signing ceremony was attended by Donetsk Regional Administration Head Andrey Shishatsky and Mariupol City Mayor Yury Khotlubei.

 The project to reconstruct the gas cleaning system at MMKI's sinter plant includes the replacement of existing equipment with state-of-the-art equipment to clean gas from dust to the maximum possible degree. Plants for cleaning sinter gas from sulfur oxide will also be built at the enterprise. The first phase of the project involves basic engineering and design, with manufacturing and installation of the equipment to begin in 2015.

 The completion of all of the reconstruction phases is scheduled for 2020. As the project continues, the sinter plant will reach best international environmental standards for emissions treatment.  Namely, emissions of dust and sulfur oxide from the sintering zone will decrease by 85% and 30%, respectively, and emissions of dust from the cooling zone will decline by 90%.

 Igor Syry, CEO of Metinvest Group:

 "Metinvest Group continues to modernize its sinter-making facilities to make the air cleaner in the cities where we operate. This task was set for us by the Company's shareholder.  Zaporizhstal's sinter plant is being reconstructed and a new sinter plant will be built at Yenakiieve Iron and Steel Works. The reconstruction of gas cleaning equipment at the sinter plant of MMKI will become the largest environmental project in Ukraine's steel industry. Despite the current challenges of the steel market, we understand that these investments will help us establish competitive, environmentally-friendly world-class operations in the future."

Yuriy Zinchenko, general director of MMKI:

"People have always been the priority of Metinvest Group. These are residents of cities where we are present and employees of our enterprises. We care about the quality of their life and, therefore, the environment. The impact of MMKI's sinter plant on the ecology of Mariupol will decrease as the project to reconstruct the gas cleaning is implemented. This project is a major part of the municipal program on environmental protection and improvement in 2012-2020. Thus, Metinvest is consistent in delivering its commitments to the city as far as ecology goes, and we have no intent to suspend the work."

Paolo Cavezzale, commercial director of Termokimik Corporation:

“This project will be delivered using state-of-the-art technologies and in line with the stringent requirements of Metinvest. It's a top-notch project in terms of ecology, and will surely be beneficial to all citizens of Mariupol. The project is unique given its brownfield nature. There are currently no other large-scale projects to construct sinter plant gas cleaning systems like this elsewhere in the world. We are sure the Mariupol project will become part of international industrial history.”

For editors:

PJSC «Ilyich Iron and Steel Works of Mariupol» is one of the greatest enterprises in Ukraine with full metallurgical cycle. The Works produces pipes and flat rolled products of carbon, low-alloy and alloy steels for different applications: hot-rolled plates and sheets intended for the production of pipes for main pipelines, ships, pressure vessels, bridge constructions, other metal constructions for critical application; hot-rolled plates, sheets and strips including pickled; cold-rolled, including galvanized, bands, sheets and strips, including for cold stamping, flooring and others; thick-walled pipes including for oil pipe lines; water- and gas-supply welded thin-walled pipes of circular section and structural pipes of rectangular section; flasks for different compressed gases, including automobile and others. 

50 certificates issued by seven International Certification Bodies and Ukraine Certification Centers confirm the high quality of the metal products of 200 steel grades produced at the Works. Quality Management System functions at the PJSC «Ilyich Iron and Steel Works of Mariupol» developed and certified according to the requirements of ISO 9001.

Production facilities of the Works allow to produce about 6,1 million tons of steel per year, 12 million tons of agglomerate, more than 5,5 million tons of pig-iron, more than 6,1 million tons of steel including converter steel – 3,6 million tons, more than 5 million tons of finished rolled products.

METINVEST is an international vertical-integrated mining-and-metallurgical Group of companies, which runs assets in every link of production chain from iron-ore and coal mining till semi-finished and finished metal products manufacture. The structure of the Group comprises mining and metallurgical enterprises in Ukraine, Europe and USA, and sales network covering the key world markets. METINVEST GROUP consists of Metallurgical and Mining Divisions. According to the strategical vision of the Group its aim is to become lead European vertical-integrated steel producer with stable ratio of growth and cost effectiveness in spite of market cyclicity, and to ensure investment return higher than industrial standards. In the first half of 2012 the Group has received US$6,74 milliards of sale proceeds, cost effectiveness by EBITDA was 16%.


The main shareholders of METINVEST B.V. Company (holding company of METINVEST GROUP) are SKM GROUP (71,25%) and SMART-HOLDING (23,75%), which control Company at partnership relations.