Cybersteel signs SIC for pipe production modernization project worth 12 bln rubles
YEKATERINBURG. July 7 (Interfax) - The Industry and Trade Ministry, the Sverdlovsk regional authorities and Cybersteel LLC have signed a special investment contract (SIC) to implement the Modernization of Production of Seamless Cold-Deformed Stainless Steel Pipes project, an Interfax correspondent reported from the signing ceremony.
The ceremony took place on Monday at the Innoprom 2025 international industrial exhibition.
Under the SIC, the company receives guaranteed stable business conditions, tax benefits (including a reduced profit tax rate for five years, which will allow for the reinvestment of over 1 billion rubles into the project) and other preferences, the Sverdlovsk region's Information Policy Department said. In turn, the company commits to implementing the project.
The project's implementation began several years ago, with total investment amounting to 12 billion rubles, Cybersteel CEO Stanislav Veliky told journalists. He did not specify how much of this falls under the SIC.
"The overall modernization project involves investment of around 12 billion rubles, part of which is covered by the special investment contract. We plan to increase production capacity to 15,000 tonnes of cold-deformed stainless pipes. Currently, we produce about half that amount," he said.
The production technology will change, Veliky said.
"We are completely changing the technology. We are switching from graphite lubrication to liquid lubrication. The pipes will have a higher-quality surface, and we will be able to replace nearly all foreign suppliers," he said.
As reported, Cybersteel launched production of seamless stainless pipes in Pervouralsk in the Sverdlovsk region in June this year. The pipes are used in nuclear power plants, among other applications.
Investment in the plant's expansion totaled 12 billion rubles, of which 5.2 billion rubles were provided by the Industrial Development Fund as concessional loans.
With the launch of the new production, the company intends to expand its range of tool, heat-exchange and general-purpose pipes for high-tech industries, as well as increase output of steam generator pipes for NPPs.
More than 150 units of equipment were installed to boost capacity.
Cybersteel's production facilities are located in Pervouralsk.
As previously reported, Cybersteel was established in spring 2020 based on shop no. 7 of JSC Pervouralsk New Pipe Plant (formerly part of ChelPipe Group before its sale to TMK ).
