INNOVATION IN STEEL. English

Transcription

1 INNOVATION IN STEEL English

2 2 Summary NLMK Group NLMK Europe NLMK Europe - Plate NLMK Europe - Strip Products Products & Markets

3 3 NLMK Group The core business of the NLMK Group is the manufacturing and sale of steel products. NLMK is vertically integrated and oversees the complete value chain, from the mining of raw materials to the delivery of products to consumers. Our competitive advantage starts with captive iron ore deposits situated in close proximity to the efficient main steelmaking site in Lipetsk, 400km South of Moscow. With a well developed transport infrastructure and convenient access to Black Sea and Baltic Sea, NLMK exports up to 60% of its products and sells in 70 countries around the globe. Throughout its development, NLMK has always been a pioneer when it comes to innovation, from the first continuous slab casting machine in the 1950s to achieving zero water effluent at the Lipetsk site recently. Pursuit of innovation and efficiency backed up by vertical integration has made NLMK the cost leader in the global steel industry. Oleg BAGRIN Executive Vice-President Chairman of the Strategy Committee NLMK is a growth company. We grow our business by developing upstream assets in cost efficient locations and finishing facilities close to our customers. Through downstream expansion and the development of the product portfolio, NLMK is able to meet evolving customer requirements in both developing and mature markets, such as the EU and US. Over the last five years we have invested about $8 billion in technology, safety and the environment. The priorities for NLMK s investments are: - to develop upstream assets to ensure 100% self-sufficiency in all key raw materials including coking coal, - to increase crude steel output by 35%, - to continue to improve product quality and broaden the product portfolio, - to improve energy efficiency and self-sufficiency, and - to decrease the environmental impact of our facilities. Safety and efficiency have always been at the heart of what we do. We aim to ensure compliance of our operating practices with the most rigorous health and safety standards. We create safe working environments by improving processes and investing in employee education. Our safety commitment goes beyond the boundaries of our production facilities. For many years we have been investing in the environmental projects to minimize our environmental footprint. Efficiency remains the cornerstone of our strategy. We help our customers to be competitive by offering lowest cost high quality steel. We strive to secure cost leadership positions in all markets where we operate. Not only do we control our costs through having raw materials and energy production in-house but also through maintaining lower conversion costs across the entire production chain. Innovation for us not only means introducing new products and processes, but also creating innovative and flexible business models. The European and the US flat product plants have now been fully integrated into the NLMK Group. NLMK Europe is a steel business in the heart of Western Europe with a unique competitive business model: the efficient production of high quality slabs supported by a captive supply of raw materials combined with flexible transformation facilities for rolling, coating, finishing and distributing high quality steel products located near to EU customers. 11,900,000 tons of steel production in value added products ratio: 35% 2011 Revenue $11.73 billion 19,5% EBITDA margin in 2011 Over $8 billion of organic investments in (including SIF capex) About 55,000 personnel in the Group Vertical integration 100% self sufficiency in iron ore concentrate 100% self sufficiency in coke 80% self sufficiency in scrap 50% self sufficiency in electricity

4 4 NLMK Group Tried and Tested NLMK is a vertically integrated Group controlling the entire steel production and sales chain, from the mining of raw materials, to delivering finished rolled-steel products to end-users. In the EU the success of this business model has been proven since 2002 when NLMK began supplying slabs to NLMK DanSteel A/S, the plate rolling mill in Denmark. It has achieved spectacular results in the increase of sales of high quality plate products across the North of Europe. After the creation of the Steel Invest and Finance JV between NLMK and Duferco, the European presence of the NLMK Group growed constantly. Since 2008 the facilities of NLMK EUrope have been operating under the re-rolling model a fact which ensured the sustainability during one of the most difficult periods for the steel industry. This model combined with high quality and low cost production allowed NLMK to come back to 100% utilization of its main site in Russia by May 2009, in the midst of the crisis. In parallel upgrading of the European facilities continued in order to enhance our offer to the European customers. Our key competitive advantages The major strengths of the Company are: world class assets with a highly competitive steel production, a high level of vertical integration, access to key raw materials in Russia, proximity to an extensive customer base in both developed and developing markets, a sales structure diversified across both products and geographies, a professional and experienced management team. Investment in best available technology This year NLMK has added 3.4 mtpa of steelmaking capacity by the commissioning of a new blast furnace and additional steel-making facilities in Lipetsk. These investments will enable us to satisfy growing requirements for high grade plate and automotive sheets from our customers globally. The new ladle furnaces and new RH degassing facility will also allow us to fully process all the BOF steel we produce and add a further range of new steel grades to our existing portfolio. With the launch of a new continuous steel casting machine at Lipetsk site, slabs of 310mm and 355mm thickness and up to 2200 mm are now available for the plate production facilities in Europe. The best equipment suppliers world-wide have participated in these projects ensuring the best available solutions to satisfy the needs of our customers. Products Flat and long steel products 32 new steel grades in

5 For further information : 5 Key figures Sales and markets Sales to over 70 countries worldwide Domestic sales represent circa 40% Diversified business model 80% BOF steel 20% EAF steel Strong market position worldwide Slabs: World leader with 7% share in 2011 Transformer steel: in the top 4 with 15% share in 2011 Sustainable development When NLMK sets up operations in a region its long-term priority is to live there in harmony with its environment in the broad sense of the term. The management team has indentified the sustainable development of the regions where we operate as a key component of company strategy this implies that at all facilities the Group considers the safety of its staff and environmental protection as the top long-term priority. Our people are a key to long term success and we are focused on developing and motivating our staff. Continuous training supports the ongoing progress in all our operations. The Group s environmental management system is compliant with the ISO standard. In addition, the Lipetsk site has been ISO 9001 and ISO TS certified since 2004 (making it the first Russian steelmaking company to have attained this certification).

6 6 NLMK Europe

7 7 NLMK Europe Horacio Malfatto CEO NLMK Europe Igor Sarkits CEO NLMK Europe - Plate Ben de Vos CEO NLMK Europe - Strip Products NLMK Europe includes all the steel businesses of the NLMK Group in Europe, boasting 6 production sites with a long history and extensive experience in hot rolling, cold rolling, and coating steel. In addition NLMK Europe has an extensive network focusing on transforming and distributing steel products to end users. NLMK Europe can thus offer its customers the benefits and security of an efficient vertically integrated system, with an extensive range of products and services for small and large businesses alike. Supported by competitive, quality slab from Lipetsk, the two European business units, "Strip Products" and "Plate" have been increasing their market share with a focus on high value added products. The product and service capabilities of these two business units have lead to a growing list of customers in the automotive, yellow goods, energy, construction, line pipe and general industry segments. The Strip Product Business has developed an important market position in Western Europe for the supply of formable, high strength and advanced steel grades in both uncoated and coated products. The product portfolio ranges from surface critical drawing grades to dual phase hotdip galvanised steel and ferro-bainitic electro-galvanised products. Working together with the NLMK team in Lipetsk, the range of products is continuing to expand. The Plate Business in particular has developed a new range of steels: Quend, a high yield strength steel with excellent flatness, tight thickness tolerances and excellent surface quality and Quard, which is particularly appreciated for its high resistance to abrasion. There is a considerable level of interaction between the plants of Clabecq, Verona and DanSteel A/S which has resulted in access to an even wider range of products and services, from very thin to very thick plates, very wide plates and tool steels. In addition the additional slab dimensions available from the new facilities in Lipetsk will enable NLMK DanSteel A/S to offer new types of plates, entering new market segments. The commercial goals of NLMK Europe are supported by an industrial investment program which has seen more than 530 million invested in European sites between 2007 and Further investments will follow as the Plate and Strip Product businesses continue to expand the range of value added products and work towards becoming a benchmark of service excellence. We acknowledge the importance of our motivated team and their ability to improve continuously in order to achieve our ambitious growth strategy in Europe. We will continue to focus on the safety and the skills of our people, the efficiency of our industrial systems, the protection of the environment and the development of more value for our customers.

8 8 NLMK Europe facilities Service centres Distribution of products manufactured by NLMK Europe companies and third parties. Facilities & service centres located in France and Belgium NLMK Clabecq (Belgium): A niche plates producer Annual production capacity: 750,000 t. NLMK DanSteel A/S (Denmark): A plate producer Annual production capacity: 550,000 t. NLMK La Louvière (Belgium): Hot rolling of steel coils Annual Production Capacity: - hot rolling: 2,600,000 t. - pickling: 1,500,000 t. - cold rolling: 600,000 t. NLMK Coating (Beautor, France): Coated steel producer Annual Production Capacity: - cold rolling: 315,000 t. - electro-galvanised steel: 250,000 t. NLMK Strasbourg (France): Coated steel producer Annual Production Capacity: - hot dip galvanised steel: 400,000 t. - pre-painted steel: 120,000 t.

9 9 NLMK Verona (Italy): A heavy plates and forging ingots producer Annual production capacity: 450,000 t. Novolipetsk: Steel production in slabs and coils Annual production capacity (end of forecast 2011): - 12,400,000 t of crude steel - 7,000,000 t of slabs - 5,400,000 t of flat (HRC, CRC, HDG, etc.) RUSSIA LIPETSK A unique business model A fully integrated steel supply chain with own raw material sources, conversion and logistics systems: Efficient Slab Production in Russia - close to own raw materials Flexible rolling and finishing operations in Europe - close to customers Production Service Centres Markets: Automotive, yellow goods, trucks & trailers, agriculture, second transformation, energy, building, line pipes.

10 10 NLMK Europe NLMK EUROPE KEY FIGURES 2 Business Units Strip Products: Annual production capacity: 2,600,000 t. A range of hot and cold rolled, galvanised electro-galvanised and pre-painted steels in coils, sheets, strips and profiles. Plate: Annual production capacity: 1,750,000 t. A range of hot rolled plates covering the full spectrum of dimensions, high grade steels and ingots. More than 3,000 employees

11 11 More than 580 million invested over 5 years Despite the liquidity constraints and resulting cash needs during the recent economic crisis, NLMK has continue investing in key strategic projects both in Russia and in Europe clearly demonstrating its faith in the industrial facilities and long term strategic plans of the European businesses. Over 580 million were invested in Europe between 2007 and 2012, included most noticeably several strategic projects: a new accelerated cooling and Quenching & Tempering facility in NLMK Clabecq: more than 100M a new re-heating furnace, slab yard automation and pickling and cold rolling lines at NLMK La Louvière and upgrading of the galvanising line in NLMK Strasbourg: 90M new heat treatment and secondary metallurgy in NLMK Verona: 90M investment in the NLMK DanSteel A/S Plate mill in Denmark: 130M Further investments are planned in order for NLMK Europe to: significantly increase production flexibility, increase the proportion of high added value products (targeting 50%), increase production levels, further improve the quality of products and services, further improve safety and environmental performance.

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13 13 Continuous improvement In a fast changing world with fierce competition, niche products and competitive costs are not sufficient. The keys to success lie in creating learning organisations where the culture of continuous improvement and service excellence permeate all parts of the company. NLMK Europe has been developing such a continuous improvement culture in all of its production sites. Starting from strategic direction known by everyone in the organisation, development plans are established that incorporate the key initiatives and ideas of improvement. Tools such as 5S, TPM, and 6SIGMA have been implemented and are being expanded at different production and distribution sites. Benchmarks and technical exchanges are organised on a regular basis, within the Group and between the different European companies, as well as between NLMK Europe and the NLMK Group. NLMK Strasbourg site has twice scooped up prestigious JIPM awards: the "Continuity" award and the "Excellence" award for TPM. NLMK Clabecq has been awarded the challenging Caterpillar SQEP award four years in a row. More than 3,000 people serving customers The approach to continuous improvement extends to our most valued resource. Ambitious training and skills development plans are rolled out every year, combined with regular, transparent internal communication. Thanks to the contribution of our teams, NLMK Europe is expanding its range of progressive products and services, adapted to the needs of its customers. The Sales, Planning, Quality and Logistics teams work as one to support the customer in his current and future needs.

14 14 NLMK Europe - Plate NLMK Clabecq, a quenching and tempering unit that s one of a kind NLMK Verona, specialising in heavy plate and tool steels Located in Ittre, Belgium, on the outskirts of Walloon Brabant, the Clabecq site produces steel plates of thicknesses ranging from 3 to 120 mm. Specialising in thin plates, the plant offers a product that is renowned for its surface aspect, its flatness and its tight thickness tolerances. This is the result of impressive expertise combined with unique production equipment, including the reversible quarto mill and the continuous finishing mill with 4 independent stands on the same line. Thanks to its recent investments, including an accelerated cooling system and a quenching and tempering unit (Q&T) which has just been commissioned, NLMK Clabecq is well established as a key player in the niche markets of line pipes, abrasion resistant steels (Quard ) and steels with very high yield strength (Quend ). The plant is close to the port of Antwerp and at the centre of a major European motorway network, and it distributes its sheets to the four corners of the world, with a third of sales destined for locations outside Europe. To stay one step ahead, it has developed a multidisciplinary team that reacts quickly to specific customer requirements. The Verona facility, just a few kilometres from the famous Italian city, produces ingots and heavy steel plates. The plant is renowned for the quality of its plates and its unrivalled flexibility when it comes to the production of different formats. Two thirds of its output is sold in Italy and the balance is sold mainly into Europe. Sales are also expanding into Asia and the Americas. Thanks to its specialised equipment, it forges and rolls flat steel from 20mm to 1,500mm. Its recent investments, including a quenching and tempering unit unlike any other of its kind, enable it to be fully integrated into the Group s industrial strategy to target niche products. It has been able to extend its range of products in a short space of time and, on top of its expertise in very thick construction steels, offer more specialist steels such as pressure vessel or tool steels. To effectively meet customer needs, NLMK Verona has also focused on the technical expertise of its staff. It has a team of experts who are perfectly placed to meet the most sophisticated demands.

15 15 Clabecq Verona DanSteel A/S Year founded: 1792 Products: medium and heavy plates, quenched and tempered plates Production capacity: 750,000 t/year Markets: construction, shipbuilding, energy, transport, lifting, quarrying and mining equipments Certification: ISO 9001 Year founded: 2004 Production lines: electric arc furnace, continuous casting, press, rolling mill, heat treatment Production capacity: 450,000 t/year Products: ingots, forged plates and hot-rolled heavy plates Certification: ISO 9001 Year founded: 1940 Production capacity: 550,000 t/year Products: Hot rolled steel plates Markets: shipbuilding, pressure vessels, construction, transport and wind industry Certification: ISO 9001, DS-EN16001 NLMK DanSteel, complete commitment to delivery deadlines NLMK DanSteel A/S enjoys an excellent location in Frederiksværk, Denmark, less than an hour from Copenhagen. The convenient geographical location together with the company s very own port makes it possible to deliver by sea, rail or road as preferred by the customer and within a very short time. At the same time, having its own port means easy access to raw materials such as slabs, mainly from the NLMK Group. Specialising in hot-rolled steel plates, NLMK DanSteel offers a wide range of dimensions, with thickness between 5 and 200mm, and widths between 1000 and 4000mm. With its new normalising units, it can now heat-treat up to 70% of its production. NLMK DanSteel has also opened a service centre for transforming plates, in order to shorten lead times for its customers. NLMK DanSteel material is hot-rolled, normalised rolled, thermomechanically (TM) rolled or normalised after rolling, according to industry standards and customers requirements. The NLMK DanSteel plate production program includes structural steel, steel for shipbuilding, boilers and pressure vessels, as well as steel for windmills, in which field the company has become the benchmark. Through its ongoing investment plan, the company is constantly developing its product range to consolidate its presence in existing and new markets. The company is well aware of its social responsibility and pays particular attention to the environment. With this in mind, NLMK DanSteel has developed a "Climate strategy" and implemented strict standards for energy consumption and waste.

16 16 NLMK Europe - Strip Products A wide product range and local support NLMK La Louvière creating value through an expanding product range NLMK Europe - Strip Products is made up of three key production sites and a range of service centres, all of which are operating as one commercial unit. The sites are located in the heart of the historical steel consuming industries of France, Germany and the Benelux ensuring competitive logistics to local customers. At the same time the proximity of North Sea ports ensure competitive incoming slab logistics and support exports. The hot strip mill in NLMK La Louvière makes the wide range of products needed by both direct customers and the demanding applications serviced by the Coating units in NLMK Beautor and NLMK Strasbourg. The service centres complete the supply chain that can offer customers the full spectrum from basic structural and forming steels to sophisticated advanced high strength steels. In addition NLMK Europe - Strip Products has been expanding into steel markets where business is conducted on term contracts and has a growing portfolio of processors and end-users looking for continuous support. NLMK La Louvière has been operating more than 160 years from its location in the heart of Belgium. It enjoys multimodal transport links, with road, waterway and rail access. Transformed in recent years through a number of strategic investments, it now has a hot rolling capacity of 2,600,000 t per year. NLMK La Louvière targets 50% of its capacity to high added value markets with the balance supporting regional customers with structural, rolling and forming grades. In combination with the downstream coating units and service centres, NLMK La Louvière is continuously expanding its range of products and steel grades. The development program in NLMK La Louvière is made up of concrete investments in equipment combined with the development of a learning organisation. The company listens to its customers and implements ongoing improvement plans at all levels of the business. The commissioning of a second walking-beam slab reheating furnace has helped to increase production and improve surface quality. The commissioning of a second pickling line and a second cold unit support both the galvanising and electrogalvanising plants in NLMK Beautor and NLMK Strasbourg but also an expanding range of direct automotive customers. The company has continued to improve the quality of its products and the flexibility of its organisation whilst maintaining competitive costs.

17 17 La Louvière Beautor and Strasbourg Service Centres and Profiling Year founded: 1850 Equipment and annual production capacities: Hot rolling mill: 2,600,000 t Pickling: 1,500,000 t Cold rolling: 600,000 t Products: hot and cold rolled coils, Steel grades: cold forming & deep drawing, structural and pipe steels, quenchable boron & high carbon steels, dual phase, ferro-bainitic steels and other advanced steel grades Markets: automotive, general construction, pressure vessels Certification: ISO TS (2009 version) and ISO 9001 (2008 version) Year founded: Strasbourg: 1890 Beautor: 1911 Steels and annual production capacities: cold rolled steels: 315,000 t galvanised steels: 400,000 t electro-galvanised steels: 250,000 t pre-painted steels: 120,000 t slit and sheered steels: 200,000 t Beautor and Strasbourg Markets: automotive industry (constructors and subcontractors), building and construction, general industry, metallic furniture, barrels Certification: ISO TS (2009 version), ISO 9001 (2008 version), ISO (2004 version), OHSAS18001 (2007 version) for Strasbourg Equipment and annual production capacities: Jemappes Steel Center (Belgium): 2 slitting lines - 150,000 t Manage Steel Center (Belgium): 2 uncoiling lines, 1 slitting line 200,000 t Profil Bâtiment (France) 3 sites: 5 forming lines, 2 presses, 1 uncoiling line 35,000 t Products: Plates, sheets, slit coils and profiles (hot rolled, cold rolled, galvanised, electro-galvanised and pre-painted steels) Markets: automotive, general industry, construction, metallic furniture, industrial shelving Certification: ISO TS and ISO 9001 NLMK Beautor and NLMK Strasbourg, experts in coated steels Distribution and transformation of flat steel just in time The two French sites form the Group s coated steel activities in Europe. They produce cold rolled, hot-dip galvanised, electrogalvanised and pre-painted steels, marketed in the form of coils, sheets and slitted coils. Each site has its own integrated service centre, giving them the great deal of flexibility for which they have become known when it comes to customised service and responsiveness. Specialising for many years in metallic and organic steel coating, they are well-known and wellestablished suppliers for the demanding automotive industry. They add value to the rolled steels at NLMK La Louvière and a broad range of products and services for the NLMK Group. The Strip Product Business is backed up by a network of steel service centres and distribution sites in France and Belgium giving it a wide range of transformation services for strip products. The Steel Service Centres dedicate more than half of their output to the automotive sector, with the rest going to general industry including construction and metallic furniture for any size of customer. The majority of the steel supply comes from NLMK plants in Belgium and France (La Louvière, Clabecq, Beautor & Strasbourg) and most of the "just in time" deliveries are by road. The strength of our service centres lie in their proximity to the Group s production companies as well as to their end customers. A growing proportion of supplies and deliveries involve high added value flat steels.

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19 19 Products & Markets 1. Description and advantages NLMK EUROPE offers a large range of Advanced High Strength Steels (AHSS) dedicated to high demanding applications. The potential of these steels facilitates the development of innovative designs. The complete steel range proposed by NLMK EUROPE include the following grades: - for cold forming: Tool steels Wear resistance steels Structural steels High Strength low alloyed Dual Phase steels Ferritic Bainitic steels High Resistance steels Bake Hardening steels Rephosphorised steels Interstitial Free Deep drawing - for heat treatment: High carbon steels Boron steels Alloyed steels 2. Product and service range To meet all your requirements, NLMK offers a very large range of products and services: Ingots and Heavy plates; Hot Rolled (HR) products; Cold Rolled (CR) products; Electro-Zinc (EZ) products; Hot Dip Galvanised (HDG) products; Organic coated products; Steel Service network. 3. Standards and specifications Our products are processed according to Euronorm standards, and on your request, our Company can develop the material according to your own technical specifications. For further informations : Energy Automotive Yellow goods Second transformation Building Trucks and Trailers Agriculture

20 20 Products & Markets Energy OFF SHORE Qualities: Weldable Structural steels for fixed offshore structures Carbon Manganese Steel Plate for Offshore Structures Shipbuilding grades Workability: Readily formable Weldable with specific low temperature requirements WIND TURBINES Qualities: Structural/Weldable fine grain: High Yield strength low alloy Workability: Welding: excellent Cold forming: good BOILER PLATES & PRESSURE VESSEL STEELS Qualities: High temperature Fine grain weldable Low/intermediate resistance to tension Lower and moderate temperature (lower & higher resistance) Alloy Cr-Mo C-Mn-Si steels Workability: Cold forming: good Welding: excellent STEEL FOR LINE PIPES Qualities: API 5L / ISO 3183:2007 PSL1/ PSL2 The pipeline plates are available for sweet or sour service application. Application Boilers, compressors, gas turbines, heat exchangers, pressure vessels, storage tanks, storage spheres Deepwater environment, fittings, on shore pipelines Floating platform structures, oilrig structures, refineries and Industrial production Windmill towers, windtower sub assemblies, windtower (mono) piles Steel P235/265/295/355 GH 16Mo3, 13CrMo4-5 P275/355/460 N/NH/NL1/NL2 P355/420/460 M/ML1/ML2 P400 NGJ4 (transport hazardous material) A285 Gr. C A516 Gr. 55, 60, 65, 70 A612 A387 Gr. 11 Cl.2 / Gr. 12 Cl.2 A537 Class 1 From X52/L360 to X70/L485 From X52N/L360N to X70N/L485N From X52M/L360M to X80M/L555M From X52MS/L360MS to X80MS/L555MS S355 G2 S355 G3 S355 G7 S355 G8 S355 G9 S355 G10 API 2H 50 ASTM A131 / Classification societies AH36, DH36, EH 36. S355 J2+N or NL S355 K2+N S420/460 N/NL S420/460 M/ML Automotive Yellow goods Chassis, trailers S355 - S550 - S700 MC Quend 700 Wheels HR45/HR60 Dump bodies S355 - S420 MC Quard 400 / Quard 450 Powertrain, axles 18 / 20 / 30 Mnb5 S420 - S460 S355MC - S420MC - S500MC B.I.W. (Body in White) Doors and closures - A.B.C. Pillars: DP450/500/600/800 - Floors / Tunnels: H320LAD/DP600 - Reinforces/Structures : H280LAD/H320LA/LAD - Panels: BH220/RP220/RP260 - Closures: H320LA/LAD Seats Transmission H LA Boron: 28-28Mnb5 Alloyed: 51CRV4 High carbon steels: C50/C55/C75 Security parts - Side impact beams: DP600/800/ Bumpers: DP600/DP800/DP1000 Cement mixer S 700 MC / Boron steels Powertrain & Braking systems - Powertrain: S355MC, S500MC, FE590FB - Braking systems: S275JR, S420MC, S500MC Loader cranes (arm) S550 - S700 MC Wheels HR45/HR50/HR60 Mobile cranes (boom) Quend 700 Quend 960 / Quend 1100 (*) Seats Mechanisms - Seat-tracks: S420MC/S460MC/S550MC - Structures: H380LA/H400LA - Clutches: 51CrV4, C75 - Articulations: S355MC/S420MC/S550MC - Closures : S550MC/S700MC Buckets 355 J0 J2 Quard 400, Quard 450 Quend 700 Grapples Quard 400 / Quard 450 (*) under development

21 21 Products & Markets Second transformation Building Uses Grades Heavy Industries NLMK Europe offers a large range of steels from Ingots, very thick heavy plates, plates and sheets destinated to all types of transformation Industries Ingots & Heavy plates Heavy plates and Strip Products When projects for equipment are higher than current dimensions and require a high level of quality for durability. When structures are submitted to complementary factors such as weight capacity and dynamic factors. Construction S ; Corrosion steels (Cu alloyed); Pressure grades; Grades are offered black or shotblasted and painted. Construction grades; HSLA grades; Pressure grades; Corrosion steels; Grades are offered black or pickled. NLMK Europe offers for steel processing a large range of coils and strips adapted to rest of European standards Coil coated products When steel is used inside and outside for protecting and also serving design and innovation. Construction grades; Cold rolled / EZN; HDG grades; Organic coating; Special finishing ( anti-finger print). Product families Steel for hot rerolling / hot forming Steels for pressure & construction Steels for cold forming and cold rerolling Steels for heat treatment Steels for tools Coated steels (metallic & organic) Customised products Building industries are more and more dependent on service since the time between project and realisation is shorter. Advanced stock of finished materials coupled to the second transformation capacities offered by NLMK may help to win this challenge. Storage, Slitting, Cutting, Blanking, Profiling. Trucks and Trailers Agriculture On wheels vehicles Chassis & cross-members S355MC/S420MC/S550/S700MC Powertrain 18/20/30Mnb5/S355/S420MC Chassis, Cabins and panels S355-S420-S500-S550MC BH220/RP280/Dual Phase Transmission & Clutches Boron ( Mnb5), alloyed (51CrV4) and high carbon steels (C50/55/75) Power-train, suspensions, and braking systems Seats Security parts Wheels Mechanisms Add-on units (example) Cement mixer Trailers Power-train: 22Mnb5-S420MC cold forming (Axles). Fe590FB-S500MC Braking systems: S355-S420-S500-S550MC H LA. Side impact beams: DP600 Bumpers: S355MC-DP600-DP800 HR45/HR60 Clutches: 51CrV4 Articulations: S MC HSLA grades / wear resistant S700MC/ Boron steels (MnB) S355MC/S550MC/S700MC Wheels Discs & Rims S275JR/S355MC/HR45/HR60 Cabins & Panels Seats S355MC/H320LA/H400LA Other panels BH220/RP260/DC01-06 Security parts S700MC/DP600 Add on units Beams/Profiles/Tubes S355MC/S420MC/S700MC Tippers/Trailers S500/700MC/QUARD Ramps H320LA/DP600 Storage/silos S350GD/S400GD Building Check datasheets Earthmoving Plonghs/Blades HF Mnb5-C60-C75 Plonghs/Blades CF QUARD 400/450 Energy CNG cylinders 34-42CrMo4 / Assimilated grades

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23 23 Products & Markets Use and recommandations Advanced high strength steels (AHSS) Uses: recommended for cold forming applications; when energy absorption, fatigue and weight performance must be achieved. Grades: DP450 - DP500 - DP600 - DP DP Pr DP1200; HR45 - HR55 - HR60; FB 590; S460MC - S500MC - S550MC; S600MC - S650MC - S700MC. Quend 700 (S690QL) Quend 960, Quend 1100' High strength low alloyed steels (HSLA) Uses: recommended for cold forming applications; when weight reduction and also higher resistance is needed. Grades: S315MC - S355MC - S420MC; HC LA Wear resistant steels Uses: when high resistance to abrasive wear and to severe impact is needed (dump bodies, tippers) Grades: QUARD Quard 450. QUARD 500 Mild steels and extra deep drawing steels (MS/DD) Uses: when deformability is linked to extreme and severe design and/ or applications. Grades: DD ; DC IF Grades; Rephosphorised; Bake Hardening. Specific products : DRYZINC Uses: Technical innovation for improved production costs and feasibility. Dryzinc has been specially developed for improving stamping feasibility of difficult parts and tested and approved by a major company in Europe. Dryzinc for improved deformation of our steel range. DD13 WEIGHT (Kgs) by SQM S420MC S700MC Friction Coeff under pressing operation Carbon, boron and alloyed steels Uses: recommended for heat treatment operations and hot forming applications; when extreme resistance to wear and also energy absorption must be reached. Grades: C ; MnB5; MnCRB5; CRMO4; 51CRV ,7 0,6 0,5 EZ unoiled 0,4 0,3 0,2 EZ PO4 oiled 0,1 DRYZINC DRYZINC allows the right grade at the right place for deep drawning operations Tensile (MPa) MnB after Q&T S355MC S600MC 22MnB5 30MnB5 0

24 24 Products & Markets Plate development program Groups Hot rolled plates / ingots Abrasion resistant steel Quard 400 & 450 Quard 500 & 550 (*) High Yield Strength Steel Quend 700 Quend 900, 960 (*) Quend 1030, 1100 (*) Quend 1300 (*) Offshore API 2H - 50 S355G2 + N S355G3+N S355G7-G10+N/M S420-S460+N/M (*) S690 QL (*) Pressure vessels P275/355/460 N/NH/NL1/NL2 P355/420/460 M/ML1/ML2 P400 NGJ4 16Mo3 DIN17155:1983 HI, DIN17155:1983 HII BS1501: A up to B A516 Gr. 55, 60, 65, 70 with improved properties after PWHT A516 gr HIC (sour service)* A612 (higher resistance) A387 Gr. 11 Cl.2 / Gr. 12 Cl.2 / Gr. 22* A537 Class 1 (N) and Class 2* (Q&T) Plates for pipes From X52M/L360M to X80M/L555M From X52MS/L360MS to X80MS/L555MS Shipbuilding AH36, DH36, EH36 EH60* Tool steels / / C45/C55/C60/ Alloy steels 4130/ MnCr5/20 MnCr5 41Cr4 Wind mills S355 J2+N or NL S355NL CAC (EN ) S355K2 ACC + N (EN ) S420/460 N/NL S420/460 M/ML * Under development

25 25 Products & Markets Strip development program A% 60 % In cooperation with research centres and customer material and engineering departments, NLMK Europe is expanding its product offer continuously. We are working daily on weight reduction, static and dynamic energy absorption, corrosion resistance, surface finishing and delivery solutions. 50 % 40 % 30 % 20 % IF STEELS MILD STEELS & BH IF HS CONSTRUCTION GRADES HSLA GRADES RESEARCH & DEVELOPMENT AREA DUAL PHASES STEELS TWIP STEELS and HOT FORMING (AUSTENITIC) 10 % 0 % A% : Total elongation (A5/A80) UTS : Ultimate Tensile Strenght [Mpa] References & Technical values : See product catalogue References & Technical values : See product catalogue Date : May 2011 _ Rev 003 MARTENSITIC STEELS QUENCHED & TEMPERED UTS SOURCE : NLMK INTERNATIONAL EUROPE BUSINESS DEVELOPMENT Groups Hot rolled Cold rolled Electro zn Hot dip galv MICRO ALLOYED HSS (High Strength Steels) S355MC S420MC S420MC S460MC H340 LA H380 LA H400 LA All substrates HRC up to 3.00mm CRC up to 3.00mm HX340LAD HX380LAD HX420LAD MICRO ALLOYED HIGH RESISTANCE FERRITIC BAINITIC DUAL PHASES EHSS (Extra High Strength Steels) S500MC S550MC S600MC S650MC S700MC HR FB590 DP600 DP450 (Pr) DP500 (Pr) DP600 (Pr) All substrates HRC up to 3.00mm CRC up to 3.00mm DP450 HDG DP500 HDG DP600 HDG HR45 HDG HR55 HDG HR60 HDG FB590 HDG DUAL PHASE MARTENSITIC COMPLEX PHASES UHSS (Ultra High Strength Steels) M1000(Pr) M1200(Pr) DP800 (Pr) DP1000 (Pr) All substrates HRC up to 3.00mm CRC up to 3.00mm DP 800 HDG DP 1000 HDG M 1200 HDG (Pr) BORON STEELS 18-38MnB MnB5 (Pr) (Pr) SKP/REG Yes Yes Yes Yes SPECIFIC No Ra finishing (<0.10Um) DRYZINC ROM ZnMg (Pr) COATING SUITABILITY TO HDG No Yes No Yes Zn 1 FACE Zn 2 FACES Zn DIFFERENTIAL (max 20 microns) Zn 2 FACES Zn/Al 2 FACES Zn DIFFERENTIAL (max 450g/m²/DF) FINISHING X Z Z X (Pr) : Project

26 26 NLMK EUROPE A unique range of products and dimensions * maximum width in mm (not available for all thicknesses) Thickness (in mm) min maxi Max width* Ingots (dimensions) Forged rounds (diameter) Forged blocks from ingots Heavy plates from slab ingots Heavy plates Hot rolled coils 1,5 12, Cold and metal coated 0, ,00 mm 2000 mm 1500,00 mm 1500 mm INGOTS 1500 mm FORGED BLOCKS FROM INGOTS 2500 mm 600,00 mm 480 mm FORGED ROUNDS 200,00 mm HEAVY PLATES FROM SLAB INGOTS COLD ROLLED AND METAL COATED 2500 mm HEAVY PLATES FROM SLABS 4000 mm 12,80 mm 3,00 mm 1,50 mm 0,25 mm HOT ROLLED COILS FROM SLABS COLD ROLLED AND METAL COATED 1550 mm 1595 mm Quality certification Our systems have been recognised with an impressive range of certifications: ISO 9001 for Novolipetsk, NLMK La Louvière, NLMK Clabecq, NLMK DanSteel A/S, NLMK Strasbourg & NLMK Beautor ISO for Novolipetsk, NLMK DanSteel A/S, NLMK Strasbourg & NLMK Beautor (+ NLMK Clabecq in Dec. 2012) ISO TS16949 for Novolipetsk, NLMK La Louvière, NLMK Strasbourg & NLMK Beautor OHSAS for NLMK Strasbourg DS-EN16001 for DanSteel A/S

27 A publication of the Communication Dept of NLMK Europe - October 2012 (Version 2)

28 INNOVATION IN STEEL