It took the small company Evrazmetall just a quarter of a century to become one of the world's largest vertically integrated metallurgical and mining companies.
She does:
- mining and beneficiation of iron ore;
- production of steel products;
- coal mining;
- production of vanadium and its products;
- trade and logistics.
What was the beginning
The history of EVRAZ dates back to 1992, when a small company, Evrazmetall, was formed, specializing in the trade of metal products.
The new enterprise constantly expanded its scope of activities and turnover, until in 1995 it became the EAM Group, uniting a number of mining, coal and steel companies.
The company even entered into a strategic partnership agreement with Duferco, becoming the owner of a controlling stake in the Nizhny Tagil Metallurgical Plant (NTMK).
EAM became the basis for the formation in 1998 of the first domestic vertically integrated mining and metallurgical complex, EvrazHolding. Its goal was to exercise control over the entire production chain, starting with the extraction of raw materials and coal and ending with sales finished products. And with the accession on the initiative of the authorities Kemerovo region two who were in in crisis large metallurgical plants, West Siberian (ZSMK) and Novokuznetsk (NKMK), EvrazHolding LLC - the main executive body of NTMK, ZSMK and NKMK, Vysokogorsky and Kachkanarsky GOKs, Evrazruda and seaport Finds.
The result did not slow down, and with the modernization of production, the subsequent increase in the output of main types of products and the increase in profits from their sales, the situation is gradually beginning to stabilize.
By 2005, Evraz Group S.A. (Evraz Group), having registered in Luxembourg, acquired the status of a public company, and its shares (8.3%, and then another 6% at the beginning of 2006) in the form of global depositary receipts were listed on the London Stock Exchange.
Mergers and acquisitions
The company continued to expand. In its structure:
- "Mine 12";
- Vitkovice Steel, a sheet steel manufacturer from the Czech Republic;
- rolling mill "Palini and Bertoli" in Italy;
- "Dry beam";
- Oregon Steel Mills;
- Dneprodzerzhinsk Coke and Chemical Plant, Bagleykoks;
- Dnepropetrovsk Metallurgical Plant named after. Petrovsky;
- "Dneprokoks"
- OJSC Yuzhkuzbassugol (50% shares);
- share in OJSC Raspadskaya;
- Stratigic Minerals Corporation (Stratcore) is a manufacturer of vanadium and titanium alloys and chemicals headquartered in the USA (73% shares);
- "Delong" (China) - 10% of 51 under the agreement;
- Highveld Steel and Vanadium Corporation, South Africa, (54.1% shares).
All this contributed to the expansion of the company’s product line through products with high added value, allowed it to enter the EU markets, ensured a significant presence in the plate and pipe business in the USA and Canada and recognition as the world’s leading rail manufacturer.
For the company this time became “golden”. Evraz was continuously growing, rapidly becoming a leader, paying its shareholders huge amounts of dividends amounting to billions of dollars. And it was not surprising that record number billionaires paid attention to him:
- Roman Abramovich - the stake acquired by his structures in 2006 is considered the largest investment ever made;
- Evgeny Shvidler - US citizen;
- Alexander Abramov and Alexander Frolov - founders of EVRAZ;
- Gennady Kozovoy and Alexander Vagin - former owners coal mine"Raspadskaya"
- Igor Kolomoisky.
However, the aggressive purchasing strategy subsequently caused many problems, one of which was the significant debt accumulated by the company.
Evraz Group S.A. Today
Evraz remains among the largest metallurgical and mining companies in the world. It is one of the 15 leaders in the global steel industry, the largest Russian supplier of coke-chemical and refractory products, hardware, and rolled metal products for various purposes and goods consumer consumption.
Evraz shares are traded on the London Stock Exchange, and its enterprises are scattered around the world: the USA, Canada, the Czech Republic, Italy, Kazakhstan, South Africa and Ukraine.
The global crisis of 2008 became a test for Evraz. Unprecedented rise in steel prices and serious problems steel consumers resulted in a drop in demand, and with it a collapse in prices, in some markets by half. The company suffers direct losses, and its capitalization by mid-2013 reaches a historical minimum, which is even lower than at the height of the crisis.
the main task during this period - to maintain production capacity, labor productivity and product quality, the number of personnel (we will have to partially reduce workers who have reached retirement age) in order to be able to increase volumes and modernize production in the near future. And to reduce losses, Evraz is getting rid of ineffective secondary assets.
When did the time come for Evraz? hard times(prices on the steel market continue to fall, demand growth has not yet been observed), a rare shareholder considers his investment successful, because there is no confidence that the company will be able to pay its debts without delay.
At the same time, safety is the number one priority for the company. It continues to implement safe operating procedures in its operations, focusing on its steel product range and premium coking coal sales.
NGOs for the development of the steel construction market in Russia
The company initiated the association of leading manufacturers of rolled metal products, designers, and manufacturers of metal structures with the aim of developing steel construction in Russia and the EU countries.
The initiative was supported. For metallurgists, the construction industry is one of the most important drivers of metal consumption, and the benefits are undoubted in the displacement of concrete and the development of construction on steel frames.
In October, the NGO Association “Association of Business Participants for the Development of Steel Construction” began its work (you can find out more about which organizations are classified as non-profit Russian legislation). The new association will have to influence the main barriers that are holding back the process:
- regulatory and technical base;
- established design practice;
- skeptical attitude of investors towards the use of steel structures in the construction of residential, commercial and social facilities;
- low qualifications of builders;
- availability of rolled metal;
- operation and fire protection of steel structures.
The non-profit association sets itself the task of changing the stereotypes of thinking of participants in the construction market - designers, architects, investors, developers. They must understand that the future lies in metal structures.
The NPO hopes to attract new members to its ranks through participation in various international exhibitions- CitiExpo, KazBuild, Metal-Expo.
“Members of the association hope to integrate all participants in the development cycle in the construction of housing on a metal frame basis - scientists, architects, designers, developers of technical standards, construction industry enterprises, investors, customers and contractors - into a single technological chain” (according to RBC pages).
Development of EVRAZ segments
Steel production, iron ore and coal mining are among the company's main activities. A third of its steel-rolling capacities are located far beyond the borders of Russia. In addition, Evraz is also considered in the global vanadium market.
Steel segment
This company's activities are aimed at developing the production of steel products. Moreover, the company’s capacities and technologies allow export sales of finished products and semi-finished products. The company's iron ore assets cover 85% of the raw material requirements of its metallurgical plants.
Enterprises on the North American continent specialize for the most part in the production of high-margin steel products (rails, pipes large diameter and oil field pipes).
Due to a drop in prices for the company’s construction products by almost a third in 2015 alone, the staff of the largest steel product manufacturer EVRAZ West Siberian Metallurgical Plant had to be transferred to a 4-day shift. working week.
Despite the difficulties, the cost reduction program and the presence of its own base of iron ore and coal allowed the company to secure a 14% share of all manufactured fittings and 72% of rails in the Russian market for the production of long steel products based on the results of 2016, and also remain the largest manufacturer large diameter pipes and rails.
Rice. 5. Steel production at EVRAZ, thousand tons ( metric tons)
Source: official website of the company
Among the largest consumers of EVRAZ is JSC Russian Railways.
“The fall in demand for ferrous metals abroad forced Ural producers to target Russian Railways, shipbuilders and the auto industry. Although the devaluation of the ruble is no longer able to protect them from losses, they continue to invest in promising investment projects.”
Railways significantly increased their purchases of rails. This applies not only to Russian Railways, but also to consumers from Europe, India and the Middle East. The company focused its efforts on developing new products and was the first in Russia to master the production of 100-meter rails according to European standards.
Increasing productivity, optimizing labor By implementing energy efficiency initiatives, the company has reduced the cost of producing semi-finished steel products to $185 per ton.
But it is not only the desire to maintain the competitiveness of its assets that drives the company. The stable production of pig iron should be ensured by blast furnace No. 7, the construction project of which has already been launched, and the shutdown of the sixth one will not negatively affect this process.
Coal segment
EVRAZ is not only the largest, but also one of the lowest-cost producers of coking coal in Russia. The coal business supplies its own metallurgical plants and supplies coking coal to the most important Russian coke producers.
The company continues to invest in maintaining current production volumes. This allowed it to consolidate its leadership position in the Russian coal market. The share of high-alloy hard and semi-hard coking coals reached 33 and 51%, respectively.
And effective optimization of mining processes allowed the group to increase coking coal production.
The Federal Antimonopoly Service (FAS) of the Russian Federation is investigating the situation at Russian market coking coal, has claims not onlyto Mechel , but also to the Evraz Group, FAS head Igor Artemyev said on Tuesday.
"Evraz Group S.A." ‑ Evraz Group ‑ is one of the world's largest vertically integrated metallurgical and mining companies. In 2007, Evraz enterprises produced 16.4 million tons of steel, 12.6 million tons of cast iron and 15.2 million tons of rolled steel.
The history of Evraz Group begins with the founding in 1992 of a small company, Evrazmetall, which specialized in the trade of metal products. During the first few years of its existence, the company's turnover and scope of activity expanded significantly. In 1995, EAM Group was formed, uniting several coal, mining and steel companies. At the end of 1995, EAM Group signed a strategic partnership agreement with Duferco, becoming the owner of a controlling stake in the Nizhny Tagil Metallurgical Plant (NTMK). In 1999, EAM Group took control of two more large metallurgical plants - West Siberian (ZSMK) and Novokuznetsk (NKMK).
At the end of 1999, the newly created EvrazHolding LLC took over the functions of the main executive body NTMK, ZSMK and NKMK, as well as Vysokogorsky and Kachkanarsky mining and processing plants, the Evrazruda company and the Nakhodka seaport.
In June 2005, Evraz Group S.A. became a public company - 8.3% of the company's shares in the form of global depositary receipts were listed on the London Stock Exchange. At the end of January 2006, another 6% of Evraz Group S.A. shares were placed on the stock exchange.
In 2004-2005, the company acquired Mine 12, a 50 percent stake in OJSC Yuzhkuzbassugol and a stake in OJSC Raspadskaya. The acquisition of the rolling mill Palini and Bertoli (Italy) in August 2005 and the largest sheet steel manufacturer in the Czech Republic, Vitkovice Steel, in November 2005 expanded Evraz’s product line with high value-added products and also opened up market access countries belonging to the European Union.
In 2006, Evraz acquired a 73% stake in Strategic Minerals Corporation (Stratcore), one of the world's leading producers of vanadium and titanium alloys and chemicals, headquartered in the USA, and 24.9% in Highveld Steel and Vanadium Corporation (South Africa), increasing this share to 54.1% in May 2007. Through the acquisition of Oregon Steel Mills in January 2007, Evraz has secured a significant presence in the plate market and the growing pipe business in the United States and Canada and has become the world's leading rail manufacturer.
In December 2007, Evraz signed an agreement to acquire majority stakes in a number of manufacturing enterprises in Ukraine: the Sukhaya Balka mining and processing plant, the Dnepropetrovsk Metallurgical Plant named after Petrovsky and three coke-chemical enterprises (Dneprodzerzhinsk Coke and Chemical Plant, Bagleykoks and Dneprokoks plants).
In 2008, Evraz announced the purchase of the Canadian sheet and pipe mills of the North American company IPSCO, thereby expanding its presence in North America. Also this year, Evraz signed an agreement to purchase up to 51% of the shares of the Chinese metallurgical company Delong (to date, Evraz has already purchased 10% of the shares of Delong).
The mining division of Evraz Group unites the mining enterprises of Evrazruda OJSC, the Kachkanarsky and Vysokogorsky mining and processing plants. Evraz also owns the Yuzhkuzbassugol company and a 40% stake in the leading coking coal producer in Russia, Raspadskaya OJSC. Having its own base of iron ore and coal allows Evraz to act as an integrated steel producer.
Evraz is a major player in the global vanadium market. Evraz's vanadium division includes Strategic Minerals Corporation (headquartered in the USA) and Highveld Steel and Vanadium Corporation, South Africa.
Carbohydrates are called substances with general formula C n (H 2 O) m, where n and m can have different meanings. The name "carbohydrates" reflects the fact that hydrogen and oxygen are present in the molecules of these substances in the same ratio as in the water molecule. In addition to carbon, hydrogen and oxygen, carbohydrate derivatives may contain other elements, such as nitrogen.
Carbohydrates are one of the main groups organic matter cells. They are the primary products of photosynthesis and the initial products of the biosynthesis of other organic substances in plants ( organic acids, alcohols, amino acids, etc.), and are also found in the cells of all other organisms. IN animal cell the carbohydrate content is in the range of 1-2%; in plants it can reach, in some cases, 85-90% of the dry matter mass.
There are three groups of carbohydrates:
- monosaccharides or simple sugars;
- oligosaccharides - compounds consisting of 2-10 molecules of simple sugars connected in series (for example, disaccharides, trisaccharides, etc.).
- polysaccharides consist of more than 10 molecules of simple sugars or their derivatives (starch, glycogen, cellulose, chitin).
Monosaccharides (simple sugars)
Depending on the length of the carbon skeleton (number of carbon atoms), monosaccharides are divided into trioses (C 3), tetroses (C 4), pentoses (C 5), hexoses (C 6), heptoses (C 7).
Monosaccharide molecules are either aldehyde alcohols (aldoses) or keto alcohols (ketoses). The chemical properties of these substances are determined primarily by the aldehyde or ketone groups that make up their molecules.
Monosaccharides are highly soluble in water and have a sweet taste.
When dissolved in water, monosaccharides, starting with pentoses, acquire a ring shape.
Cyclic structures of pentoses and hexoses - their usual forms: in any this moment only a small fraction of molecules exist in "open chain" form. The composition of oligo- and polysaccharides also includes cyclic forms monosaccharides.
In addition to sugars, in which all carbon atoms are connected to oxygen atoms, there are partially reduced sugars, the most important of which is deoxyribose.
Oligosaccharides
When hydrolyzed, oligosaccharides form several molecules of simple sugars. In oligosaccharides, molecules of simple sugars are connected by so-called glycosidic bonds, connecting the carbon atom of one molecule through oxygen to the carbon atom of another molecule.
The most important oligosaccharides include maltose (malt sugar), lactose (milk sugar) and sucrose (cane or beet sugar). These sugars are also called disaccharides. According to their properties, disaccharides are blocks to monosaccharides. They dissolve well in water and have a sweet taste.
Polysaccharides
These are high molecular weight (up to 10,000,000 Da) polymer biomolecules consisting of large number monomers - simple sugars and their derivatives.
Polysaccharides can consist of monosaccharides of one or different types. In the first case they are called homopolysaccharides (starch, cellulose, chitin, etc.), in the second - heteropolysaccharides (heparin). All polysaccharides are insoluble in water and do not have a sweet taste. Some of them are capable of swelling and mucus.
The most important polysaccharides are the following.
Cellulose- linear polysaccharide consisting of several straight parallel chains connected to each other hydrogen bonds. Each chain is formed by β-D-glucose residues. This structure prevents the penetration of water and is very tensile, which ensures the stability of plant cell membranes, which contain 26-40% cellulose.
Cellulose serves as food for many animals, bacteria and fungi. However, most animals, including humans, cannot digest cellulose because they contain gastrointestinal tract There is no enzyme cellulase, which breaks down cellulose into glucose. At the same time, cellulose fibers play important role in nutrition, since they give food bulk and coarse consistency, and stimulate intestinal motility.
Starch and glycogen. These polysaccharides are the main forms of glucose storage in plants (starch), animals, humans and fungi (glycogen). When they are hydrolyzed, glucose is formed in organisms, which is necessary for vital processes.
Chitin formed by β-glucose molecules, in which the alcohol group at the second carbon atom is replaced by a nitrogen-containing group NHCOCH 3 . Its long parallel chains, like cellulose chains, are collected in bundles.
Chitin - main structural element covers of arthropods and cell walls mushrooms
Functions of carbohydrates
Energy. Glucose is the main source of energy released in the cells of living organisms during cellular respiration (1 g of carbohydrates releases 17.6 kJ of energy during oxidation).
Structural. Cellulose is included in cell membranes plants; chitin is structural component integuments of arthropods and cell walls of fungi.
Some oligosaccharides are found in cytoplasmic membrane cells (in the form of glycoproteins and glycolipids) and form the glycocalyx.
Metabolic. Pentoses are involved in the synthesis of nucleotides (ribose is part of RNA nucleotides, deoxyribose is part of DNA nucleotides), some coenzymes (for example, NAD, NADP, coenzyme A, FAD), AMP; take part in photosynthesis (ribulose diphosphate is a CO 2 acceptor in the dark phase of photosynthesis).
Pentoses and hexoses are involved in the synthesis of polysaccharides; Glucose is especially important in this role.