Russian steelmaker NLMK Group has announced that it expects a 20-25 percent decline in its capital expenditure for 2013. The company's capital expenditure in 2012 decreased by 29 percent year on year to $1.45 billion. NLMK has continued its previously initiated capital expenditure projects aimed at improving business efficiency and decreasing production costs.
NLMK's European thick plate rolling mill, Denmark-based NLMK DanSteel, completed the modernization of a rolling mill to expand its product mix, adding new products that in the fourth quarter accounted for 20 percent of orders.
NLMK plans to launch the Kaluga plant, a mini-mill with an annual output capacity of 1.5 million mt of long steel, in mid-2013. As a result, NLMK's long steel segment is expected to increase its production by 20-25 percent year on year. The full ramp-up of the mill is expected in 2015.
