www.ruukki.com ENERGY- EFFICIENT STEEL SOLUTIONS FOR THE CHANGING WORLD

RIGHT CHOICES. MUTUAL BENEFITS. Ruukki sees energy efficiency as a business opportunity: we are responding to the growing interest of our customers on this front by innovating and producing energy-efficient steel solutions that cut energy costs throughout the life cycle of an end-user product or solution. We need energy-efficient solutions. Both Ruukki and our customers must face up to the global challenges of population growth, increasing energy regulation and energy prices that create a need for energy efficiency. By 2050, the world population will probably rise to nine billion. As the standard of living keeps on improving, energy consumption will also rise by 50% by the year 2035. Rising energy and fuel prices force us to develop energy-efficient solutions for energy production and use. Also the EU s 20/20/20 regulation is driving demand. The regu-

lation means that by 2020 there will be a 20% reduction in energy consumption and greenhouse gas emissions and 20% of energy will produced from renewable sources. Ruukki offers energy-efficient products and solutions. Ruukki offers a wide range of energy-efficient solutions for the construction and the manufacturers of materials handling, construction and mining industry equipment and transportation sector. Examples of Ruukki s energy-efficient solutions include: Ruukki s energy-efficient building solutions include the fully recyclable and reusable Ruukki life panel, Ruukki energy panel system, Ruukki energy piles and integrated photovoltaic façade system, Ruukki Liberta Solar façade. Ruukki produces high-strength Ruukki Optim and wearresistant Ruukki Raex special steels, which enable longer lifetime usage and lighter vehicle structures, higher payloads, lower fuel consumption and emissions. Typical applications for highstrength steels are materials handling and transport equipment and for example booms and other crane parts. Wear-resistant steels are used, for example, in earthmoving and mining machinery. 4

Real benefits with Ruukki s products and solutions. Most of the energy consumption caused by products generally arises during product use. For customers in the construction industry, Ruukki s solutions mean reductions in energy consumption and thereby lower costs and CO2 emissions, an increase in property value and a better working environment. Ruukki energy panels, for instance, enable an airtight façade structure and allow our customers to save up to 30 per cent in heating costs compared to conventional structures. Ruukki has ready concept solutions for low and zero energy office building structures and building technology. These solutions combine efficient industrial construction, energy efficiency and competitive life cycle costs. The use of high-strength special steels means increasingly lighter structures and lower energy costs and emissions. The excellent weight/strength ratio of products made of special steels means they lift higher or enable higher payloads. Wear-resistant special steels prevent the wear and damage of structural parts of construction and mining industry equipment and thus increases lifetime of the products. For example use of Ruukki Optim high-strength steel can reduce material thickness and the weight of the boom and other crane parts by 20%. Ruukki s energy-efficient steel solutions 5

In addition a lower unladen weight reduces maintenance and fuel costs. In an example case the fuel costs were reduced by 1.2% (some 2,800) over the lifecycle of a crane. The use of Ruukki Optim highstrength steel reduces the thickness of steel and the weight of the tipper bodies up to 20%. In addition to fuel savings for the vehicle, end-users can benefit by higher payloads on each trip. Wear-resistant Ruukki Raex steel prevents the wear and damage of structural parts and decreases repair costs for road building and mining machinery. The lifetime of a bucket made of Ruukki Raex can be 2.5 times greater than that of structural steels. More examples can be calculated with Ruukki s energy efficiency calculator at http://www.ruukki.com/ Energy-efficiency-calculator The solutions quickly pay for themselves. Even though the initial cost seems higher at first, the solutions quickly pay for themselves. Property owners, for example, gain financial benefits from our energy-efficient solutions throughout the life cycle of a building. For example, In Finland Ruukki energy panels can help to achieve up to 30% savings in annual heating costs. Compared to traditional heating and cooling solutions, a ground source heating system based on Ruukki energy piles can pay for itself, at best, in 5-8 years depending on the conditions and heating alternative available. Owners of materials handling and transportation equipment gain financial benefit by higher payloads or lower fuel consumption enabled by lighter struc- 6

tures. In an example case a container design at reduced weight results in a higher payload and lower air-resistance. Vehicle fuel savings can be 4 litres/100 km. This translates into fuel cost savings of over 60,000 during the lifetime of the vehicle. Thanks to longer lifetime, a bucket made of wear-resistant Ruukki Raex scoops more than twice as much soil compared to bucket made of conventional steel grade. We help our customers in choosing energy-efficient solutions. We are involved already in the development phase and help our customers to plan e.g. a new trailer or a building. We can show the customer the possible savings in fuel, weight, payload or heating costs with our energy efficiency and energy saving calculators. Ruukki is committed to continuously developing these solutions to help our customers choose energyefficient steel solutions also in the future. Ruukki s energy-efficient steel solutions 7

Ruukki s R&D places special emphasis on energy efficiency. We have over 200 skilled technology experts working in research units in Finland, Poland and Russia. Ruukki uses the latest technology and works closely with an extensive network of outside experts, for example universities and research institutions. Our R&D investment in 2011 was 29m, which equates to around 1% of our net sales. Energy efficiency is taken into account in our own processes and production. Ruukki has been committed to improving energy efficiency, lower costs and reduced emissions for a number of years even before the existence of today s international climate agreements. We use energy-efficient technology and process gases and residual materials generated in our own production processes are utilised to replace fuel and raw materials purchased. Energy efficiency is taken into account in decisions concerning investments and production development and in product and process planning. Ruukki ranks among the best in the world in iron-making CO2 efficiency 8

because production uses nearly the minimum amount of carbon raw materials possible with current technology. Ruukki s carbon dioxide emissions are almost 250,000 tonnes lower than the steel industry average across the EU. The direct quenching or direct tempering method developed in the early 2000s at Ruukki can be considered as one of the most important innovations in the steel industry. The method enables the energy-efficient manufacture of high-strength Ruukki Optim and wear-resistant Ruukki Raex steels. The basic idea is that hot-rolled steel is quenched from a temperature of around 900C to ambient temperature immediately after rolling. This saves energy because the reheating stage after hot-rolling is omitted. Energy efficiency is more than a business opportunity. We are committed to providing continuity to our customers and have long been working on developing energy-efficient products and solutions. Energy-efficiency is also a rational move to use resources responsibly and an important part of risk management. The cost of energy and the number of regulations affecting energy use are rising. Reaction to these challenges is important especially in the living and moving sectors that depend heavily on the use of energy. Ruukki s energy-efficient steel solutions 9

Ruukki provides its customers with energy-efficient steel solutions for better living, working and moving. Ruukki operates in some 30 countries and employs around 11,800 people. Net sales in 2011 totalled EUR 2.8 billion. Find out more about our energy-efficient references: http://www.ruukki.com/references Contact us for more information: http://www.ruukki.com/contact-us 10

Ruukki provides its customers with energy-efficient steel solutions for better living, working and moving. CFI.001EN/06.2012/RUUKKI/DMP Rautaruukki Corporation, Suolakivenkatu 1, FI-00810 Helsinki, Finland +358 20 5911, www.ruukki.com 12 Copyright 2012 Rautaruukki Corporation. All rights reserved. Ruukki, Rautaruukki, Living. Working. Moving. and Ruukki s product names are trademarks or registered trademarks of Rautaruukki Corporation