OREANDA-NEWS. A ceremony to mark the start of construction of a new electric steel plant in Tyumen was held in the city on Dec. 20.

The ceremony was attended by Tyumen Oblast Governor Vladimir Yakushev and UGMK (Ural’s Mining and Steel Company) top managers headed by the company’s general director Andrey Kozitsin as well as Tyumen city Mayor Sergey Smetaniuk. The participants installed a plaque and buried a capsule at the site of the future steel plant. 

According to Andrey Kozitsin, the Tyumern Oblast was chosen as a venue for the new plant thanks to its high economic growth. He said that in two years the plant will produce its first steel. Investments in the construction amount to EURO370 mn with the period of recoupment in present prices expiring in 5.5 years.

By its completion in 2009, the new steel plant will make 550,000 tons of rolled commercial steel. The plant’s infrastructure includes main and auxiliary shops and structures. Production stages will include metal scrap processing, production of steel and rolled steel. Steel in electric furnaces will be made by using the scrap process. The main equipment for the plant’s furnaces will be supplied by the Italian Danieli company.

The new plant will incorporate state-of-the-art energy-saving steel-making technologies. The plant will be equipped with modern equipment which has high environment-friendly standards.

In particular, the furnaces will mount a system of modern gas filters with 99.4 per cent efficiency. A closed circle water cooling equipment will also be installed which will practically exclude discharge of technical water into local rivers. 

The new electric furnace steel plant will create 1200 jobs. As metallurgy-related specialists are not available locally in Tyumen, UGMK and the Tyumen government have developed a program for training steel workers needed for the plant.

The new steel plant will make hoop for engineering and housing construction sectors from low-carbon, quality and alloyed steel. The plant will mostly meet local demand for steel products.

The agreement to build a steel plant was signed between the Tyumen Oblast government and the UGMK company in August 2005. The construction will be funded by the Ural’s Mining and Steel Company.