OREANDA-NEWS. October 22, 2012. METALLOINVEST (the “Company”), a leading global iron ore and HBI producer and supplier based in Russia, today announced that it has commenced the installation of equipment at pellet plant #3 which is under construction at MGOK (Zheleznogorsk, Kursk Region). The pre-assembly of two cranes with a lifting capacity of 50 tonnes, which will be placed in the plant’s building, is being carried out. Following the cranes’ pre-assembly, installation and connection to power sources, they will be used for the installation of the main technological equipment.

Construction of a technological complex and infrastructure elements for the pellet plant #3 is a large-scale investment project which will increase MGOK’s production capacity by 5 million tonnes of pellets per year. The project will be completed in 2014 with a total investment of approximately USD450 million.

Currently, the main units of the facility are being constructed. Foundation works at the pellet roasting unit are at the final stage. The contractor, JSC Trest Yuzhstalkonstruktsia, has assembled more than 700 tonnes of steel structures. Foundation works at the second main facility – the pelletising unit – are completed by 70% (contractor is Union Kurskatomenergostroy LLC). At the same time, construction continues at auxiliary facilities, such as storehouses for pellets, limestone and bentonite, transhipment unit and concentrate thickening unit. Construction of railways for pellets dispatch station continues as well.

The Company also takes steps to preserve the local environment. It has started construction of a sedimentation reservoir for the rain/melted water collection, subsequent purification and recirculation in the plant’s system.

In November, the Company plans to start the installation of equipment at the pelletising unit and pellet roasting unit.

Approximately 400 workers are employed at the building site. Starting with installation of technological equipment and electrical, ventilation and other works, employment will increase to 1,000 people.