17 September 2018, Moscow – Metalloinvest, a leading global iron ore and HBI producer and supplier, and one of the regional producers of high-quality steel, announces the construction of crushing and conveyor facilities to transport mined rock at Lebedinsky GOK and Mikhailovsky GOK.

The German company TAKRAF GmbH, part of Tenova Group, will supply the equipment for the cyclical and continuous transportation system at Lebedinsky GOK and the crushing and conveyor facility on the north-east side of Mikhailovsky GOK. The signing of the agreement to supply equipment for Lebedinsky GOK and the agreement of intent to implement a joint project at Mikhailovsky GOK took place as part of the IMPC 2018–EXPO exhibition. The documents were signed by Andrey Varichev, CEO of Management Company Metalloinvest, and Dr. Frank Hubrich, CEO of TAKRAF GmbH.

Metalloinvest values the investment in the cyclical and continuous transportation system and the crushing and conveyor facility (at the north-eastern side of the quarry) at RUB 11bn and RUB 4.6bn respectively. The launch of the cyclical and continuous transportation system is scheduled for the second quarter of 2020, while the launch of the crushing and conveyor facility has been scheduled for the first quarter of 2022.

The joint implementation of the projects will enable the Company to transport approximately 55mn tonnes of iron ore per year at Lebedinsky GOK and up to 35mn tonnes per year at Mikhailovsky GOK. The crushing and conveyor facility at the south-eastern side of the Mikhailovsky GOK quarry is in its implementation phase with capacity to transport 15mn tonnes of iron ore per year.

The facilities will also allow Metalloinvest to extract high-quality and easily-beneficiated reserves, bypass rail and transportation routes and ensure the long-term, top level production of iron ore concentrate of the required quality.

The implementation of the project will enable the Company to decrease iron ore production and shipping costs by applying more efficient technologies of iron ore transportation and sizing down the mining facility fleet (excavators and railway equipment).

Andrey Varichev said: “The cyclical and continuous transportation system and the crushing and conveyor facility are large scale and important investment projects that enable the Company to significantly boost the efficient development of iron ore deposits. These projects are part of comprehensive development programmes at Lebedinsky GOK and Mikhailovsky GOK that aim to reduce operating costs, increase production volumes and improve production quality. We are confident that TAKRAF equipment can ensure the reliable and continuous work of the conveyor facilities.”

Dr. Hubrich mentioned: “We as Tenova TAKRAF are very pleased to have the opportunity to contribute with our experience and know-how to these two ground-breaking projects with Metalloinvest in Russia. We will provide proven technology, which is sufficient for the heavy-duty job. Also a careful consideration of easy maintenance will assure a high level of reliability and safety.”

Currently, mined rock at Lebedinsky GOK and Mikhailovsky GOK is auto-transported from the lowest levels of the open pit mine to loading points. The ore is then transported by rail freight to the beneficiation plants while the waste rock gets dumped. After the launch of the cyclical and continuous transportation system and the crushing and conveyor facility, the ore will be transported to the crushing station, instead of the loading points. The crushed iron ore will then be conveyed to warehouses located on the surfaces of quarries, where it will be unloaded by excavators to railway freight and deployed to beneficiation plants. The conveyer provides seamless transportation as its route is shorter and occupies less space than railway routes.