6 September 2016

Karelsky Okatysh, the leading mill for the production and recycling of iron ore in Russia (part of PAO Severstal), has launched a new product - direct reduction pellets (DR-pellets) - which will enable the company to enter new markets.

Due to increasing demand from consumers for specific properties, iron-rich direct reduction pellets have provided a valuable alternative to the regular pellets used for blast furnaces. The DR-pellets contain fewer impurities and have improved physical properties such as enhanced abrasion resistance (for dust) and high performance cold durability.

Alexei Kuznetsov, Head of the Quality & Research Laboratory at Karelsky Okatysh, said: 'In response to anticipated oversupply of pellets in the Russian market during the next two years, the mill will be increasing supplies to Europe. DR-pellets are in demand in Europe, where the direct reduced iron production process is favoured. Using direct reduced iron in melting steel in electric arc furnaces produces the highest quality of metal with the lowest content of harmful impurities.'

Inspired by European steel producers, Karelsky Okatysh specialists have developed their own technology for manufacturing direct reduction pellets. In early 2016, the new product underwent customer testing, and in June the mill shipped its first 65 thousand tonne batch of DR-pellets. If the customer feedback is positive and this will lead to a long-term supply relationship.

OAO Severstal published this content on 06 September 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 20 September 2016 07:45:06 UTC.

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