NLMK Group boosts stability of energy generation at Novolipetsk

17 July 2015

NLMK Group, Russia’s top steel-producing company and one of the most efficient steel companies in the world, has begun the replacement of turbo generator #5 at the Lipetsk site co-generation plant.

Installation of the latest technology in place of the existing obsolete hardware will boost equipment reliability and increase the generator’s operating capacity by 10% to 60 MW. NLMK’s gross installed captive generation capacity is 502 MW; with energy self-sufficiency totaling 54% of consumption.

An agreement for engineering and supply of the main process equipment has been executed with the Urals Turbine Plant. Construction and assembly works are scheduled for 2016; whilst launch is planned for 2017.

Investment in the project will total approximately 1.9 billion rubles; with a payback period of 1.4 years.

Alexander Starchenko, NLMK Vice President for Energy, said: ‘This new project is another step towards increasing the efficiency of NLMK’s energy complex. It will help ensure a reliable supply of energy for steelmaking operations; and maximize the use of by-product blast furnace gas as fuel.’

The resulting reduction in energy generation during the course of the project will be offset by redistribution of the capacities of other energy-generation units, including NLMK’s two new top-pressure recovery turbines. The first top-pressure recovery turbine was launched in June 2015, with the second coming online in 2016.

There are eleven generation facilities spread across two co-generation plants at the Lipetsk site, which have a capacity of 332 MW and 150 MW respectively; and one 20 MW top-pressure recovery turbine. Co-generation plants run on natural gas as well as by-product blast furnace, coke and chemical gases.