Tag Archives: Outotec

Outotec looks to lower delivery time and cost with new grinding mill series

Comminution of minerals, Equipment maintenance, Mineral processing, Mining equipment, Mining services, , , , , , , ,

Outotec says it has expanded its grinding portfolio with a new range of mills and a polymer bearing system that are both low cost and help maximise grinding mill availability.

The new Outotec MH Series grinding mill range offers a cost-effective and easy to operate and maintain grinding solution across the mill lifecycle, the company says. The series includes a range of SAG, ball, and rod mills in standardised sizes with a capacity of up to 3.1 MW installed power.

“All mills in the range use Outotec’s proven and robust technology to ensure safe and reliable operation,” the company says.

MH Series mills feature a standardised design, where some parameters are fixed in order to keep manufacturing costs and delivery lead times to a minimum, but they still offer a range of configurable options for elements such as the shell, bearings, feed chute, and rock box, as well as the drive arrangements, according to the company.

Carl-David Johansson, Product Manager, Grinding business line, said the new mills are an ideal choice for customers valuing faster overall delivery and lower capital expenditure over extensive tailoring and customisation options.

“Put simply, with these mills customers benefit from a mill that gets the job done, is easy to operate and maintain, and has been designed based on Outotec’s vast comminution knowhow,” he said.

The MH Series mills are compatible with the optional Outotec mill control system, which features n state-of-the-art technology and is the preferred control option for all Outotec grinding mills, the company said.

Complementing this new series of mills is the Polymer HSB system. This is fitted to all new Outotec grinding mills as standard and is designed to maximise grinding mill availability and simplify maintenance, thus increasing revenue and reducing maintenance costs, the company said.

The system significantly improves the reliability and longevity of radial and axial pads compared with bronze or white-metal pad bearing systems, according to the company. This eliminates failures associated with surface-to-surface contact caused by journal defects, lock-charge starts, or hydraulic system failures.

“The state-of-the-art self-aligning capability ensures that the pads are always precisely aligned with the mill journal, helping to protect the longevity of the mill by distributing stresses more evenly across the support structure and mill body,” the company said.

Tuomas Tani, Technical Product Manager, Grinding business line, said the Polymer HSB systems have clocked up over 7.5 million hours of production with zero hours lost due to bearing failure.

“The Outotec Polymer HSB system is a field-proven example of our technological leadership in grinding mills,” he concluded.

Outotec is currently the subject of a merger propsoal from Metso.

Metso’s Vauramo sees positives in mining equipment pipeline

Comminution of minerals, Equipment maintenance, IoT, Mineral processing, Mining equipment, Mining finance, Mining maintenance, Mining services, Mining software, Water management, , , , ,

Metso may not have registered any large mining equipment orders in the June quarter, but President and CEO, Pekka Vauramo, remained upbeat about the company’s future mineral processing sales prospects.

The company’s June quarter results saw healthy market activity in both the Minerals and Flow Control division, Metso said, with orders received increasing 2% – to €869 million ($966 million) – sales up 16% – to €903 million – and operating profit rising to €114 million – from €86 million previously.

Minerals posted a flat year-on-year result, whereas Flow Control orders were up 9%, according to Metso, noting that Minerals orders were positively impacted by strong services and aggregates equipment orders, while Flow Control benefited from oil & gas projects as well as services.

Metso said on the Minerals division’s results: “Equipment orders declined 14%, whereas services orders increased 9%. The lower volume of equipment orders was a result of the lack of large mining equipment orders due to timing.”

When it came to Minerals sales, however, the €735 million number was a 17% improvement on the same period in 2018, with equipment sales growing faster than services in both Minerals and Flow Control segments.

During the quarter, the company completed the acquisition of HighService Service, expanding Metso’s services offering in the mining market of Chile and neighbouring countries. And, after the quarter ended, it announced a proposed acquisition of Outotec to become Metso Outotec. This deal, if completed, would see the combined company become the second biggest process, technology, equipment and services firm serving the minerals, metals and aggregates industries based on 2018 sales. The transaction would also see the company’s Flow Control business spunoff into a separate entity called Neles Oy.

Vauramo concluded on the latest financial results: “We continued to perform well and made good progress during the second quarter. Activity in our end markets remained healthy and is shown in the good order intake for both Minerals and Flow Control.

“The pipeline for mining equipment orders continues to be good even though there were no large bookings during the quarter due to timing. Sales grew at a healthy double-digit rate in both segments. In addition to volume growth, we continue to show higher operational leverage with improving profitability in both segments. This proves that the internal work done across the businesses is generating the targeted results.”

Metso and Outotec to join together in ‘industry-shaping combination’

Bulk handling, Comminution of minerals, Equipment maintenance, IoT, Mineral processing, Mining equipment, Mining finance, Mining mergers and acquisitions, Mining services, Mining software, Sustainable mining, Water management, , , , , , , , , , , ,

The boards of Metso and Outotec have unanimously approved a demerger plan and a combination agreement to combine Metso’s Minerals business with Outotec.

As part of the deal, Metso Flow Control, which was recently split off from the Metso Minerals division, will become a pure-play listed entity under the name of Neles.

The combination of Metso Minerals and Outotec is highly complementary and will create a unique company in the industry, according to the two companies. “Metso Outotec will leverage the strengths of both companies, including technology and R&D, product and process excellence, scale and global service offering footprint. The combination will deliver significant benefits to all stakeholders,” they said.

The combined company, Metso Outotec Corp, had illustrative 2018 combined sales and adjusted EBITA of €3.9 billion ($4.4 billion) and €369 million (excluding the impact of the €110 million provision recorded in relation to the ilmenite smelter project as described in Outotec’s 2018 financial statements).

This represents an illustrative combined adjusted EBITA margin of 9.6% in 2018, excluding the benefit of the expected synergies, and also Metso’s recently announced acquisition of McCloskey International. Including McCloskey, illustrative 2018 combined sales would have been approximately €4.2 billion.

Metso Minerals and Outotec expect to achieve run-rate annual pre-tax cost synergies of at least €100 million, and run-rate annual revenue synergies of at least €150 million, delivering significant value for shareholders, they said.

Upon completion of the agreed demerger, Metso shareholders will receive 4.3 newly-issued shares in Outotec for each share owned in Metso on the record date. This implies Metso shareholders would own around 78% of the shares and votes of Metso Outotec, and Outotec shareholders would own the remaining 22% of the shares and votes of Metso Outotec. In addition, Metso shareholders will retain their current shares in Metso, which will be renamed Neles.

The current CEO of Metso, Pekka Vauramo, will become Metso Outotec’s CEO, and the current CEO of Outotec, Markku Teräsvasara, will become the Deputy CEO of Metso Outotec. Eeva Sipilä will become the CFO and Deputy CEO of Metso Outotec.

The board of Metso Outotec will include board members from both companies. It is proposed that Metso Outotec’s Chairman will be Mikael Lilius and that the Vice Chairman will be Matti Alahuhta.

Shareholders representing 33.6% of the shares and votes of Metso and shareholders representing 24.8% of the shares and votes of Outotec have irrevocably undertaken to vote in favour of the transaction, which the companies hope will close in the June quarter of 2020.

Metso Outotec’s headquarters will be in Helsinki, Finland and it will maintain its listing on Nasdaq Helsinki, the companies said.

Outotec Chairman, Matti Alahuhta, called the deal an “industry-shaping combination” that joins two “uniquely complementary companies”, while Metso Chairman, Mikael Lilius, said the deal represented a “transformational combination of two great companies” and the simultaneous creation of an “independent leader in flow control”.

Outotec CEO, Markku Teräsvasara, said: “The combination of Outotec and Metso marks an important milestone in each company’s history and in Outotec’s strategic development. I am excited about the many benefits that the combination will deliver for customers, employees and ultimately shareholders, with the larger scale and combined strengths of both companies. Outotec has a highly compelling portfolio of technologies and capabilities that will be a key catalyst for unlocking many of these benefits. I look forward to building a great new company together with the Outotec and Metso Minerals employees, as part of Metso Outotec.”

And, Metso CEO, Pekka Vauramo, said: “This is a unique opportunity to create value for our customers, employees and partners globally. Metso Outotec will have capabilities that will enable us to drive sustainable growth, while providing our customers with high-quality technology, equipment and services that will ultimately improve their businesses. We will have an extensive global presence, complementary offering, strong services and a large installed base. We also have excellent people – the best talent in the industry. I am therefore eagerly waiting to join with Outotec’s personnel to begin our exciting journey together.”

The combination of the two companies is, according to Metso and Outotec, expected to deliver a range of strategic, commercial, operational and financial benefits:

  • A leading company with a wide presence across the value chain allowing Metso Outotec to provide an end-to-end offering in minerals processing;
  • Enlarged installed base coupled with advanced service offering providing opportunities to unlock significant benefits;
  • Leadership in sustainable technology across all businesses;
  • Breadth across verticals (minerals/metals/aggregates), geography and application provide enhanced performance;
  • Significant revenue and cost synergies, and;
  • Solid capital structure and attractive dividend policy.

The companies said: “The combination of Metso Minerals and Outotec will create a leading company in process technology, equipment and services serving the minerals, metals and aggregates industries. Metso Outotec will also have expertise in specialist areas, such as recycling and energy solutions.”

Metso Outotec will have a presence across the full minerals processing and metals refining value chain, with a “differentiated ability to deliver end-to-end solutions across the whole process from crushing to end products”, they said. The combined company will own a broad portfolio of leading technologies in, for example, comminution, beneficiation and metals refining, as well as a market leading aggregates business and global strength in services.

On a combined basis, Metso Minerals and Outotec had 15,630 employees globally, as of March 31, 2019, with close to 100 nationalities represented.

Completion of the transaction is subject to approval by a majority of two-thirds of votes cast and shares represented at the respective EGMs of Metso and Outotec, regulatory approvals, including competition clearances, and other conditions.

As a result of the combination of Metso Minerals and Outotec, Metso will be renamed as Neles and will become a globally recognised flow control company with highly attractive market positions.

Neles, which will continue to be listed on Nasdaq Helsinki, is expected to create additional value for Metso’s shareholders as a separate entity through:

  • Leading position as a flow control solution provider with market leadership across pulp & paper valves and down stream oil & gas control valves;
  • Continued outperformance of market growth with best-in-class profitability and proven resilience through the cycle;
  • Diversified sales mix both by region and industry;
  • A fully focused, dedicated management to deliver shareholder value and leverage further growth opportunities;
  • Solid balance sheet and financial position, and;
  • Crystallisation of attractive sector trading multiples.

At year-end 2018, Neles had illustrative combined net cash of €72 million. To support the capital structure of Neles, Metso has entered into a €150 million term loan facility agreement, which may be used for the repayment and replacement of Metso’s credit facilities and other liabilities that benefit the flow control business and are to remain with Neles post completion. Prior to the completion, Metso is also expected to enter into a new revolving credit facility of €200 million to be used for the general corporate purposes of Neles.

Olli Isotalo, who was named the new CEO of the Flow Control division last month, will become Neles’ CEO.

Baikal Mining and Outotec sign equipment supply cooperation agreement

Base metals, Comminution of minerals, Mineral project development, Mining equipment, Mining services, Water management, , , , , , , ,

Baikal Mining Company and Outotec have confirmed that they have signed an agreement that could see the technology company supply process equipment to the Udokan Mining and Metallurgical Plant in Kalar District, Russia.

Udokan is thought to host the third largest undeveloped copper deposit globally, with a JORC-compliant resource of 26.7 Mt of copper.

The document, a cooperation agreement according to Outotec, was signed by Baikal’s Chairman of the Board of Directors, Valery Kazikaev, and Outotec President and CEO, Markku Teräsvasara at the St Petersburg Economic Forum. It was later followed by a press release from Outotec saying the two had signed a €250 million ($282 million) delivery contract for the copper operation.

This will see Outotec design and deliver a greenfield copper concentrator and hydrometallurgical plant for the Udokan project.

Around €35 million of the €250 million contract will be booked in Outotec’s June quarter order intake, with roughly two thirds of the order booked for Minerals Processing and a third for Metals, Energy & Water segment.

“Outotec’s delivery includes basic and detail engineering of the concentrator and copper hydrometallurgical plant, procurement, delivery of main process equipment as well as installation supervision, training and start-up services,” the company said.

Kazikaev said in Baikail’s release: “A unique flotation and hydrometallurgical Udokan ore processing flowsheet including bulk and sulphide flotation, leaching, solvent extraction (SX) and electrowinning (EW) was developed as a result of long-term research performed by BMC together with major Russian and international engineering companies.”

Outotec equipment, expected to be delivered in 2020, was selected for the implementation of this ore processing flowsheet, Baikail said.

Teräsvasara said: “We are happy to enter into cooperation with Baikal Mining Company on such a significant project. Our high-end technologies and competent service shall enable Baikal Mining Company to develop consistently and improve production efficiency.”

Baikal said flotation cells with the capacity varying from 20-300 m³ were expected to be used for flotation beneficiation of ores, while hydrometallurgical processing would employ reactors, high-compression thickeners, modular SX units and EW equipment. The latter is expected to reduce the construction period by 20%, Baikal noted.

A fully-automatic cathode withdrawal and loading crane and cathode stripping machine shall alos be applied for copper EW, according to the company.

Kazikaev said the Udokan Mining and Metallurgical Plant shall be the first plant in Russia to use these technologies, all of which are “notable for ore processing potential irrespective of the quality and oxidation of the ore and achieving high process performance”.

Stage one annual capacity of the plant is expected to be 12 Mt/y, with start-up in in 2022. There are also plans for a further exansion up to 48 Mt/y, according to Baikal.

Outotec to deliver ‘unique’ paste backfill plant to OZ Minerals’ Prominent Hill mine

Base metals, Mine operation news, Mineral processing, Mining equipment, Mining services, Precious metals, Water management, , , , , , , , ,

Outotec says it has been awarded a contract to design and deliver a mine paste backfill system to OZ Minerals’ Prominent Hill copper-gold mine, in South Australia.

The contract price is €15 million ($16.5 million) and it has been booked into Outotec’s 2019 June quarter order intake, the mineral processing company said.

Outotec’s supply includes the design and delivery of a complete paste backfill system, as well as detailed design of the underground distribution network and fill management systems, it said.

The new paste backfill plant will be based on a unique process design, which allows flexibility to use continuously produced fresh tailings or store filter cake to meet the future backfill needs of the underground mining operation, Outotec said. The new facility is expected to have a capacity of 215 m³/h.

“A reliable paste backfill system is critical to the whole mine and its operations. We are pleased to support our customer to improve their tailings management in a sustainable way,” Kimmo Kontola, Head of Outotec Minerals Processing Business, said.

Prominent Hill is a copper-gold mining operation made up of the Malu open-pit mine – which concluded operations last year – the Ankata and Malu underground deposits and a conventional crushing, grinding and flotation processing plant.

Outotec has previously delivered an EPC backfill system, plus build own operate backfill plant for ongoing operation at Prominent Hill.

 

Outotec looks for consistent and efficient dewatering with new paste thickener

Environmental, Industrial minerals, Mineral processing, Mining equipment, Mining services, Sustainable mining, Water management, , , , , , , , , , , , ,

Outotec has introduced the 2nd Generation Paste Thickener to, it says, maximise underflow density regardless of challenging mineralogy and tailings feed-rate variation.

The thickener enables consistent and efficient dewatering performance – even with changing process conditions, according to the company.

“Through consistent performance and high underflow density, the 2nd Generation Outotec Paste Thickener maximises beaching angle in the tailings storage facility to provide safer operations and maximised lifespan,” Outotec said.

The new paste thickener provides ease of operation and reliability for applications requiring a high degree of dewatering, such as minerals tailings, mine backfill, and pre-leach and counter current decantation circuits, according to the company. “The technology is customised to address each operation’s unique drivers, which can include environmental concerns, water recovery, regulatory requirements, tailings management, or limitations on available land space,” the company said.

Outotec has a history of developing paste thickeners, as well as the design and delivery of large-scale paste thickening projects. “This has given us a deep understanding of the key aspects of high-density thickeners, including effective flocculation, dewatering, raking, prevention of rotating mud beds, process control, and the discharge of thickened solids,” it said.

“One such case was the deployment of Outotec paste thickener technology – including a full-scale paste tailings plant and Outotec ACT Thickener Optimizer system – at Yara’s Siilinjärvi apatite mine in Finland (pictured),” Simon Courtenay, Product Manager for the Outotec 2nd Generation Paste Thickener, said. “The plant generates around 10 Mt of tailings a year and, thanks to the Outotec ACT Thickener Optimizer, the paste thickeners can consistently run with a high and stable underflow solids content of 66-68%, regardless of challenging mineralogy and tailings feed-rate variation. This results in average beach slope angles of 3.5° (6.1%) in the tailings disposal area, helping to extend its lifespan. The system has also enabled a 10-20% reduction in flocculant costs.”

The new 2nd Generation Paste Thickener builds on this proven performance with a range of innovative new features, according to the company. For example, vertical load monitoring with the Smart Rake Lift system means the Outotec Paste Thickener is one of the only systems in the world that can detect early formation of rotating beds, enabling counteractions to be taken early, Outotec said.

The system also monitors and actively adjusts the individual hydraulic cylinders to maintain alignment of the rake mechanism. Incorporating vertical load sensing with plant process data in the Outotec ACT Thickener Optimizer control system means the solids inventory within the tank can be maintained to ensure a consistent underflow density, stable process, and improved overall thickener performance, according to the company.

In addition to mechanical improvements, process control has been further developed to stabilise and optimise the performance of the paste thickener, Outotec said.

The company said: “Outotec’s ACT Thickener Optimizer utilises a multivariable controller to manage process changes and the associated delays in the response time of the thickener that can be challenging for traditional control systems. It can also be configured to manage the effects of variable feed types to ensure optimum performance despite changing inputs to the process. Short installation and configuration time of the system is coupled with on-going services to ensure a practical yet flexible long term control solution.

“Our application-specific design of the thickener begins with the use of methods such as discrete element modelling to understand solid particle movement within the thickener, computational fluid dynamics for feed system design and finite element analysis for structural steel design. Our paste thickening solutions are also designed with ease of maintenance in mind, with a skid-mounted hydraulic power unit for centralised connection of hydraulic hosing from the rake lift cylinders and drive unit.”

Other key design features include:

  • Low profile rakes with tie-cable load sharing that minimise rake drive torque requirements;
  • Rake blades supported by thixoposts to move the rake arm away from the highest density thickened solids;
  • High sidewall and steep tank floor slope for more efficient dewatering of flocculated solids and compaction of the bed, as well as better transport of the solids inward toward the tank discharge point;
  • High installed drive torque to move the rake blades through beds of thickened solids with high yield stress and viscosity, and;
  • Feed systems with break tanks when required for different thickener feed situations, including our patented Vane Feedwell, and break tanks inside the thickener perimeter to save on site layout space.

“Beyond technology and equipment, Outotec provides complete solutions for thickening needs,” the company said. “Proven design features and process guarantees, combined with lifecycle service support, help ensure operational reliability. We can also support customers with ongoing operation and maintenance services after plant commissioning.”

Outotec offloads fabrication, manufacturing facilities in southern Africa

Base metals, Equipment maintenance, Mining equipment, Mining maintenance, Mining mergers and acquisitions, Mining services, , , ,

Outotec has agreed to sell its fabrication and manufacturing businesses in South Africa and Mozambique to SPS Holdings Company, a firm which will then become Outotec’s agent to the ferrochrome industry in that part of the world.

The transaction is expected to become effective on June 1, but both parties have agreed not to disclose the acquisition price, Outotec said.

“The South African facility, in Brits, serves primarily ferrochrome plants and the Mozambique facility provides services and spare parts for the aluminium industry,” the company said. The combined annual sales have been approximately €15 million ($16.6 million). The majority of the 255 employees are working in fabrication and manufacturing and will transfer as old employees, Outotec added.

“As of June 1, SPS Holdings will be providing fabrication services, site works and local supplies for Outotec’s customers acting as the company’s agent to the South Africa ferrochrome industry,” the company said.

Tomas Hakala, Head of Outotec’s Service Business, said: “SPS Holdings, with its local operations, is well-positioned to run these businesses.

“Outotec’s service strategy is to offer expert services for our proprietary products, process and technologies. Together with SPS Holdings our joint aim is to use our local experience to build and grow a service-oriented business to help customers to get the best return for their investments.”

Outotec sees the greenfield project positives in Q1 financial results

Automation, Equipment maintenance, Industrial minerals, Metallurgy, Mineral processing, Mining equipment, Mining maintenance, Mining services, Mining software, Precious metals, Water management, , , , , ,

Outotec President and CEO, Markku Teräsvasara, says the company saw signs of increased greenfield investments in both minerals processing and metal refining technologies in the most recent March quarter, providing the company with a positive outlook for the rest of 2019.

The mineral processing and refining company reported 1% year-on-year growth, to €336.1 million ($370.7 million) in the first three months of 2019, alongside a 22% boost in service order intake (€159.9 million) and adjusted EBIT of €11 million, up from €7 million a year earlier.

While overall sales dipped 11% year-on-year to €254.7 million and the company reported negative net cash from operating activities, Teräsvasara painted an upbeat picture in his statement accompanying these results.

“The overall market sentiment developed positively in the first quarter,” he said. “In addition to brownfield investments, we are seeing signs of increased greenfield investments in both minerals processing and metal refining technologies. Order intake was at the same good level as in the first quarter last year. I am pleased with the 22% growth in service orders and the 19% increase in equipment orders for Minerals Processing.”

He said sales decreased primarily due to fewer plant and equipment deliveries, but there was a clear improvement in profitability, both in absolute and relative terms, due to better gross margins (27.1% in Q1 2019, up from 22.8% in Q1 2018).

Teräsvasara added: “I am pleased with the progress in our must-win battles that further improve our performance. These programs focus on strengthening customer focus, service business, product competitiveness, project competencies and people development.”

He also commented on the ilmenite smelter project that has hit the company’s recent financial results, saying negotiations were ongoing in cooperation with the customer and that the company remained confident “we are provided adequately for the project”.

“We continue to be positive about the current market outlook and reiterate our 2019 guidance for sales (increase from 2018) and adjusted EBIT (increase from €63.8 million in 2018),” he concluded.

After the end of the quarter, Outotec received a €140 million greenfield mineral concentrator and gold processing plant order from Ma’aden in Saudi Arabia.

Ma’aden chooses Outotec process equipment for Saudi Arabia gold project

Mineral processing, Mineral project development, Mining equipment, Mining project news, Precious metals, , , , , , ,

The Saudi Arabian Mining Company (Ma’aden) has awarded the consortium of Outotec and Larsen & Toubro with an engineering, procurement and construction contract to build a greenfield mineral concentrator and gold processing plant in the Kingdom of Saudi Arabia, the Finland-based company says.

The order, worth some €140 million ($157 million) to Outotec, is almost evenly shared between the reporting segments and will be booked into Outotec’s June quarter 2019 order intake, the company said. The total value of the project is around €540 million.

Outotec’s delivery includes basic and detail engineering, procurement and delivery of process equipment, commissioning, start-up assistance and training services. The new gold processing plant is due to be completed in 2022, it said.

Ma’aden is a leader of the Saudi Arabia mining industry, and an internationally recognised mining company with a global presence, thanks to partnerships with the likes of Barrick Gold, Alcoa and the Mosaic Company.

The Mansourah & Massarah operation will be built in the Central Arabian gold region, with the processing plant capable of up to 4 Mt/y throughput. The concentrator and the gold processing plant has been designed to produce an average of 250,000 oz/y of gold per year over the life of mine, Outotec said.

Markku Teräsvasara, CEO of Outotec, said: “We are extremely pleased with this significant order and continued cooperation with Ma’aden that is growing to be a global mining company.

“Our previous deliveries have included grinding, flotation and filtering technologies as well as alumina calcination technology, and three sulphuric acid plants. Our proven technologies and services enable them to get the best value from their resources and build sustainable operations.”

Outotec to help expand JSC Stoilensky GOK iron ore pelletising plant

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Outotec says it and Russia iron ore pellet producer JSC Stoilensky GOK (S-GOK), which is a part of NLMK Group, have entered into a contract to expand S-GOK’s pellet plant located in Stary Oskol, Russia.

The approximately €15 million ($16.9 million) order has been booked in Outotec’s 2019 March quarter order intake, it said.

Outotec previously delivered the technology for S-GOK’s pellet plant, which has been in operation since 2017, but this latest contract will see the plant’s annual capacity go from 6 Mt to 8 Mt.

Outotec will be responsible for the engineering, supply of key equipment and automation system as well as advisory services for installation and commissioning of the expansion.

The company said its latest technology improvements in green pelletising, cooling air process, and pallet car changing system will be applied, together with a digital solution package. The deliveries will take place at the end of 2020.

Additionally, in 2019-2021, NLMK said it plans to boost ore production and beneficiation capacity by 14% via upgrades of Stoilensky’s other transformation stages with a view to ensuring stable supply of raw materials to the pelletiser after it reaches the output of 8 Mt/y. This will enable the company to increase its ore processing capacity from 37 Mt/y to 42 Mt/y and to increase its concentrate output from 17.3 Mt/y to 20 Mt/y.

Kalle Härkki, Head of Outotec’s Metals, Energy & Water business, said: “We are excited about continued cooperation with S-GOK and the delivery of our latest technology improvements and digital solutions to this project. With intelligent services, applications and equipment we ensure safety, predictability and optimal performance of the plant, and S-GOK will get the best value from their assets.”

Konstantin Lagutin, NLMK Group Vice President, Investment Projects, said Outotec was its long-standing and reliable partner, “with whom we successfully implemented Europe’s largest pelletising plant in Stary Oskol”.

“The new expansion project is an important element of our Strategy 2022, aimed at meeting our growing raw material needs as well as increasing efficient steel production,” he said.