OREANDA-NEWS. On April 18, 2007 SeverStal announced an investment of $77 million at its Cherepovets plant to improve its continuous hot-dip galvanizing (HDG) line. The investment is in response to growing customer demand for improved galvanized steel - particularly from the Russian construction industry - and will double the line’s capacity, reported the press-centre of SeverStal.


The improvements include the installation of a new furnace and the complete replacement of certain assemblies and units, from strip decoilers to coilers. The company will also install a brand new coating application unit. SeverStal’s Cherepovets plant is currently engaged in a technical and commercial tender for the basic production equipment. Danielli of Italy and CMI of Belgium are taking part in the tender and the results are expected to be announced by 1 May, 2007.


Alexander Stepanov, the Technical Director of the Cherepovets plant, said, “This investment allows us to double the line’s capacity to 400,000 tonnes and to expand our product range to include steel suitable for the application of paint and polymer coatings. The new products we will be able to produce as a result of the investment will be at the high value end of the market and will be used in the Russian construction industry”.