Leader in terms of profit wishes to gain strength
By Lidia Krapova
One of the largest projects envisages the setting up of flat steel production, with investments exceeding $1bn. Last November, an agreement of intentions was signed with Italian Danieli. “Talks are underway relating to the financing of the project. It envisages large injections, so there are some issues,” notes the Belarusian Steel Works’ General Director, Anatoly Savenok.
The second project — worth approximately 60-90m Euros — deals with the establishment of a joint venture for finishing pipe processing, partnered by Swiss Duferco. According to Mr. Savenok, BMZ is a leading global metal trader, boasting two plants in Romania and Saudi Arabia already. The ultimate goal of the joint venture is to join the global market with a full set of pipes for the oil industry.
The plant’s third project — worth about 40m Euros — regards the provision of steel production with necessary components — in particular, oxygen. At the moment, BMZ is purchasing from Minsk’s Krion Plant and St. Petersburg. A joint venture is also planned to ensure supplies of this component, with documents currently being studied by the Industry Ministry.
The fourth project envisages the construction of a new workshop to produce metal cord, with an annual volume of 30,000 tonnes. According to Mr. Savenok, metal cord is BMZ’s biggest seller so the company plans to steadily increase production volumes; the realisation of the project will become possible after a small-section rod iron facility comes into operation at the plant. “We’ve already depleted the possibilities of our 150th tool, which was put into operation in 2000,” notes Mr. Savenok. New facilities are now needed.
The Belarusian Steel Works is a leading company in the country, regarding profitability and tax payments.