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Evraz Announces Plans to Consolidate ZSMK and NKMK
02/28/2011 - Evraz Group has announced plans to consolidate two of its Russian steel mills, OAO ZSMK and OAO NKMK into a leading producer of long products for the transportation sector.
Evraz Group has announced plans to consolidate two of its Russian steel mills, OAO ZSMK and OAO NKMK. The enterprise will be named Evraz – Consolidated West Siberian Metallurgical Combination.
The consolidation will allow Evraz to simplify its managerial processes and formulate a single set of standards for health safety and environment, railway, automobile and warehouse logistics, procurement, social policy and human resources management.
Evraz plans for the consolidated enterprise to complete a large-scale modernization of the rail and beam production in order that it may produce globally competitive 100-metre differentiated thermo-strengthened rails. It will also implement a number of large projects that will introduce new technologies in steelmaking production, expand the construction product line, and introduce pulverized coal injection technology into its blast furnaces. The annual capacity of the consolidated enterprise will amount to 6 million tonnes of pig iron, 8.5 million tonnes of steel and more than 7.3 million tonnes of rolled steel products.
"The ongoing modernization of the consolidated enterprise will allow Evraz to become one of the world leaders in production of long products for transportation which are also necessary within the context of implementation of the federal programme by Russian Railways on the development of high speed transportation,” said Alexey Ivanov, Evraz Group’s Vice President – Head of Steel Division.
“The consolidation will allow us not only to cut costs but also to introduce single approaches in the sphere of health safety and environment, human resources management, social policy, logistics and procurement," added Ivanov.
