OREANDA-NEWS. June 22, 2012. The Government Commission for Economic Development and Integration has approved the "Construction of Integrated Pipe and Steelmaking Facilities in the City of Chusovoy, the Perm Territory" project. Therefore, the project has passed the key stage in the government guarantee procedure. The government guarantee and the project are worth RUR 21 billion and about RUR 50 billion respectively. At present, this is the only project approved by the Government Commission.

As part of this project, it is planned to build a workshop for the construction of seamless pipes designed for the oil industry, an electric furnace shop, and a newrolling mill.

"Approval by the Government Commission is an indispensable condition for receiving a loan to finance the project," said United Metallurgical Company President Vladimir Markin. "As part of this project, state-of-the-art equipment will be bought and installed. This will make it possible toput new life into one of the Ural Region’s oldest metallurgical centers. This means having new jobs for people, taxes for the Government, and high quality products for customers."

According to Vladimir Markin, this responsible approach characterizes the OMK strategy as a whole. "Our Company is one of the Russian metallurgy’s leaders for investment in the construction of new facilities and modernization of existing ones," said the OMK President. "Over the past seven years, we allocated about 5 billion US dollars for these purposes."

Let us remind that on February 4, 2012, Russian Prime Minister Vladimir Putin took a working trip to Perm, where he promised to instruct relevant ministries to explore the possibility of providing government guarantees to raise a loan for the rehabilitation of the CMW Chusovoy Metallurgical Works. Mr. Putin kept his promise and the project was approved by the Government Commission. After following some mandatory procedures, OMK will start implementing the rehabilitation project in Chusovoy.