Press Room

Metalloinvest and ChelPipe Group to create collaborative centre for development of new steel grades for large diameter pipes

30 July 2018

Metalloinvest, a leading global iron ore and merchant HBI producer and supplier, and one of the regional producers of high-quality steel, has agreed to create a collaborative scientific and engineering centre with ChelPipe Group. Technical specialists from Metalloinvest and ChelPipe Group will work together at the centre to develop new steel grades and improve the quality of steel products.

The decision to create the centre was taken during the coordination meeting between Metalloinvest and ChelPipe Group, held at Ural Steel (part of Metalloinvest).

Nazim Efendiev, First Deputy CEO, Sales Director, Management Company Metalloinvest, commented: “Metalloinvest and ChelPipe Group have a long history of successful collaboration. The creation of a scientific and engineering centre will enable us to take our partnership to the next level. ChelPipe Group specialists will have a direct role in the refinement of steel products that Metalloinvest supplies to ChelPipe Group to produce large diameter pipes.”

Alexander Golodyagin, Head of Strategic Cooperation, ChelPipe Group, added: “Despite the fact that this year the large diameter pipe market has become more competitive for producers, while the size of the market has shrunk, ChelPipe Group is fulfilling its purchasing commitments with Ural Steel for the agreed production volumes. Before the end of the year, we plan to extend our partnership and, if possible, place additional orders.”

The parties also discussed the fulfilment of agreements for Ural Steel to supply rolled steel products and continuous cast billets to the Chelyabinsk Pipe-Rolling Plant. The delegates reviewed quality-management issues, including suggestions for the development of flat products. The parties also discussed the possibility of increasing Metalloinvest’s supply of strips and cast billets.

During the tour of Ural Steel’s Sheet Rolling Facility and Electric Arc Furnace Shop, the Metalloinvest and ChelPipe Group representatives were shown the enterprise’s production technology for rolled steel products and round continuous cast billets with diameters of 455 and 600 mm, to be used in pipe production.

As part of the visit, the parties updated the current ‘100% quality’ programme to further reduce the fault rate of metal products. In addition, the upgrading of equipment at the Sheet Rolling Facility and Electric Arc Furnace Shop was noted as having a positive impact on the quality of products of the Novotroitsk plant. The upgrades included the refurbishment of the thermal furnace at Rolling Mill 2800, Continuous Casting Machine #1 and Continuous Casting Machine #2.

Ural Steel is one of the key suppliers of steel plate for ChelPipe Group. During the first half of this year, the enterprise supplied 145,000 tonnes of rolled products to ChelPipe Group, which is only 30,000 tonnes less than in the whole of 2017.

Deliveries of pipe billets produced by Ural Steel and OEMK (part of Metalloinvest) in the second half of 2018 are expected to be in line with the levels from the first half of the year, between 14,000 and 12,000 tonnes per month, respectively.

Anton Troshin

Anton Troshin

Corporate Communications Department
E-mail: pr@metalloinvest.com
Tel.: +7 (495) 981-55-55

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