Chelyabinsk Metal Makers Spot the Market's Turning Point

11.06.2009 — News

THE CHELYABINSK OBLAST.

After an increased activity in the sorted rolled metal products market the Chelyabinsk Metallurgical Plant restarted the previously suspended production process. On 10 June 2009 coke furnace battery No. 4 was commissioned after a general overhaul.

The overhaul made it possible to increase the battery's capacity fourfold, thus reaching the figure of 440 thousand tons of coke and 200 million cubic metres of gas per year. The overhaul cost around 280 million roubles. The total volume of coke produced at the Chelyabinsk Metallurgical Plant has reached 2.5 million tones per year.

The plant's demand for coke increased after the fourth blast furnace was commissioned in April 2009. The plant representatives told RusBusinessNews that in May - June the utilisation matched the relevant figure for the first three quarters of 2008.

OAO Chelyabinsk Metallurgical Plant is the largest producer of sorted rolled metal products within the Mechel Group. In 2008 its revenue amounted to 86.17 billion roubles, whilst net profit equalled 3.59 million roubles. In the first quarter the plant's net loss amounted to 6.5 billion roubles.