Severstal starts building 10 mln tpy iron ore pellet plant at Cherepovets site

MOSCOW. Sept 24 (Interfax) - Severstal has started to build an iron ore pellet plant at its Cherepovets site, the Russian steel maker said.

"Work is underway to build roasting, pelletizing and crushing facilities, control and desulphurization facilities," the company said in a statement.

The company said in the autumn of 2023 that it planned to its own pellet production facility in Cherepovets. It signed a special investment contract (SPIC 2.0) to build a pellet plant with capacity of 10 million tonnes per year in June. The plant will cost 97 billion rubles, it has been reported. It should be commissioned in 2026.

The new plant will supply the Cherepovets Steel Mill's blast furnaces with their own feedstock and improve their productivity by 9%. It will enable several sintering machines to be decommissioned, reducing greenhouse gas emissions by more than 2 million tonnes and other pollution by 133,000 tonnes per year.