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PJSC “Ilyich Iron and Steel Works of Mariupol” reduced the energy intensity of the enterprise

12 August 2014

PJSC “Ilyich Iron and Steel Works of Mariupol” in 2014 during 6 months reduced the costs on the energy resources purchasing on 5.83 million dollars. The implementation of the complex program connected with energy saving measures allowed the enterprise sufficiently reduce the consumption of natural gas during half year.

A number of important energy saving measures aimed at production energy intensity reducing have been implemented at metallurgical plant. At blast-furnace shop due to selection of air heaters optimal work it was managed to reduce the consumption of natural gas on 8.2 million cubic meters to the amount of 3.7 million dollars.

In rolling shop “3000” due to the reduction of the heating furnaces bottom beams working life the consumption of natural gas has been reduced on 2.4 million cubic meters to the amount of 1 million dollars. The activation of additional burner devices on the two boilers of Heat-power plant-1 allowed reducing the consumption of natural gas in mixture on 558 thousand cubic meters that is equivalent to the sum of 257 thousand dollars.

Altogether during first six months 56 energy saving measures have been implemented at Ilyich plant.

The general manager of PJSC “Ilyich Iron and Steel Works of Mariupol” Yuriy Zinchenko:

- The high price of natural gas influences directly on the cost-price of our production. The customers of our enterprise want to buy a high quality metal at competitive price. That’s why we fully solve the questions connected with the reduction of power intensity of the enterprise influencing the cost of our production. Metallurgical enterprises of Metinvest Company sufficiently reduced the dependence from natural gas price. Thus, pulverized-coal injection units are already operating at Ilyich plant and “Zaporozhsteel”, EMZ and Azovsteel will also replace gas on pulverized coal fuel in blast-furnace production. Our example proves once more that only modernization and energy saving will provide us stable positions at the worlds markets.

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.

METINVEST is an international vertical-integrated mining-and-metallurgical Group of companies, which runs assets in every link of production chain for creation of value from iron-ore and coal mining tol 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. For the first quarter of 2014 ended 31 March 2014, the Group reported revenues of US$2.9 billion and an EBITDA margin of 30%.

The main shareholders of METINVEST B.V. company (Holding company of METINVEST GROUP) are SСM GROUP (71,25%) and SMART GROUP (23,75%), which control Group at partnership relations.


Further information is available via the web site www.metinvestholding.com