Russian steelmaking group Novolipetsk Steel (NLMK) reported a 4.1% year-over-year rise in its Q1 crude steel production.
The jump came partly due to completion of maintenance on its long products facility at the Lipetsk site.
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NLMK output rises in Q1
The group tapped 4.37 million metric tons of liquid steel in Q1 2021. Meanwhile, it tapped just over 4.21 million metric tons in Q1 2020, NLMK said.
Crude production rose 12.1% quarter on quarter, however, from 3.9 million metric tons.
Average capacity utilization across all of NLMK’s hot ends in Russia, Italy and the United States averaged 94.5% in Q1. The figure is unchanged from the previous quarter and year over year, the group indicated.
NLMK can produce 17 million metric tons per year of crude steel. That comes mainly from its main integrated site at Lipetsk, about 465 kilometers southeast of capital city Moscow. That asset also casts slab for further rolling at the plant or for export to subsidiary rolling mills in Europe and the United States.
The group also has electric arc furnaces in Russia at NLMK Kaluga, NLMK Ural, at its Italian site NLMK Verona and at NLMK Indiana in the United States.
Indiana can produce 770,000 metric tons per year of crude via one electric arc furnace. Estimated crude capacity from the 68-tonne EAF at Verona is about 500,000 metric tons per year.
NLMK’s consolidated sales, including semi-finished and finished products, fell 3% on the year to 3.91 million metric tons from 4.5 million metric tons.
Quarter-over-quarter sales were 14% lower from 4.22 million metric tons, the group said.
A decrease in commercial pig iron sales due to repairs to blast furnace operations at Lipetsk, plus an increase in intragroup slab sales, impacted sales results, NLMK said.
The group’s consolidated flat sales rose by 2% in Q1, however, to about 2.06 million metric tons from 2.02 million metric tons in Q4 2020. Those sales are down 7% from the more than 2.21 million metric tons the group sold in Q1 2020.
NLMK Russia Long Products, the only segment of the group that produces finished and longs, saw the highest increases in consolidated quarter on quarter at 635,000 metric tons, up 8% from 587,000 metric tons.
Year over year, the increase rises to 18% from 539,000 metric tons.