Severstal to invest $1.60 billion in 2022 capital investment program

By Anthony O. Goriainoff

Severstal PAO GDR said on Friday it would invest $1.60 billion under its 2022 capital investment program and focus on key areas of its strategy such as customer experience, cost control and new opportunities.

The Russian steel company said it would spend $878 million on development projects, including $336 million on projects to improve environmental and climate protection performance.

The company said $137 million will be allocated to IT and digital projects and $78 million will go to improving industrial security systems.

Severstal said it would also spend $151 million on capital surcharge and $356 million on maintenance.

The company said its Russian steel division will see an investment of $1.12 billion that will go towards development projects with $246 million invested in maintenance.

Investments by its resources division will amount to $503 million, of which $203 million will go to production development.

“The CAPEX 2022 program includes very important development projects that will help us increase our steel production volumes and strengthen Severstal’s position in a global market,” the company said.

Write to Anthony O. Goriainoff at [email protected]