Centralny GOK & Severny GOK To Construct ?Pellet Reduction? Facility

The facility will use new technology to increase the iron content in its iron ore pellets to 69-70%, from an from an average of 67.1% in 2004. The plant will likely be launched in 2006 and the project will cost USD 19 mn. Concorde Capital: Previously, the Poltavsky and Inguletsky GOKs declared their intention to produce DRI/HBI, as well as construct their own electric furnaces for steel production. As Centralny GOK (CGOK) and Severny GOK (SGOK) have no electric furnaces, and no plans to build them have been disclosed, they will most likely export this material to European countries where significant scrap shortages are increasing.