13 July ‘18

MMK-METIZ commissions new equipment

The first phase of the complex for the production of high-carbon wires and steel cables, which was commissioned on the Day of the Metallurgist, includes new thermal pickling units, drawing mills, and spinning and cable machines from European producers. The total production volume will be more than 43 thousand tonnes per year. The launch of this complex worth more than RUB 1.5 billion will enable MMK-METIZ to improve the quality of its wires, for which there is a high demand both in the domestic and in the international market, and also develop new kinds of cables, including an eight-part, non-rotating cable, with plastic reaped strands. The commissioning of the second phase of the complex is planned for Q4 2018.

In this new stage of the expansion of the production of self-tapping screws, automatic cold up-setter thread-rolling units were commissioned, along with a machine for the formation of the drill and packing line produced by Taiwanese manufacturers.

Following the commissioning the line for thermal-chemical processing and the line for phosphate treatment in Q3 2018, the new complex will enable the company to increase the production volume of import-substituting products – self-tapping screws; also, the company will be able to expand its assortment as a result of the development of the production of screws for the binding of gypsum plasterboard of extended length (up to 152 mm), self-tapping screws for window profiles (including with drill tip), self-tapping screws with semi spherical heads and follower plates (including with drill tip), framing nails for multi-purpose wood and nail screws for plastic nails.

These projects are a part of MMK’s large-scale investment programme, which is being implemented at their production site.

In 2017 and also at the start of the current year, several complexes of new equipment were commissioned, which have facilitated a significant increase in the assortment and quality of the products produced by MMK-METIZ. These include:

1. Taiwanese machines for the production of fastenings in line with the DIN M6-M12 standards, which are used in engineering and instrumentation in the construction industry. The production of new import-substituting types of fastenings, including bolts with flange, with a semi-circular head and a square neck, screws with internal hexagons and flange nuts, were developed using this new equipment. Currently, most of the self-tapping screws, bolts and nuts in line with DIN standards which are used in the Russian market are imported from South-East Asian countries. The implementation of investment projects at MMK-METIZ to acquire equipment for the production of small fastenings will facilitate import-substitution in the metals and mining market.

2. The production of large fastenings, including the German hardening and tempering unit for the production of high-strength fastenings M6-M30 and the domestic line for the galvanised zinc plating of M12-M36. The commissioning of this equipment has enabled the company to ensure high-quality thermal reprocessing of fixing hardware and to expand its assortment due to the development of the production of large-dimension galvanised fastenings. The zinc coating preserves its protective properties for a long time, therefore galvanisation is one of the best methods for anti-corrosion defence of fixing hardware. Since the demand for high-strength fastenings and fastenings with corrosion-resistant coatings in different industries is growing steadily, the new production lines of MMK-METIZ are in high demand in the market.

About MMK
MMK is one of the world's largest steel producers and a leading Russian metals company. The company's operations in Russia include a large steel-producing complex encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2017, the company produced 12.9 million tonnes of crude steel and 11.6 million tonnes of commercial steel products. MMK Group had sales in 2017 of USD 7,546 million and EBITDA of USD 2,032 million.

Investor contacts:

Andrey Serov

tel.: +7 (3519) 24-52-97

E-mail: serov.ae@mmk.ru

Media contacts:

Dmitry Kuchumov

tel.: +7 (499) 238-26-13

E-mail: kuchumov.do@mmk.ru

Dmitry Bulin

tel.: +7 (499) 238-26-13

E-mail: bulin.dn@mmk.ru

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