PAO Severstal (SVST)
Severstal commits to cutting its carbon emissions by 3% by 2023
30-Jul-2020 / 16:31 MSK
Dissemination of a Regulatory Announcement that contains inside information
according to REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
Severstal commits to cutting its carbon emissions by 3% by 2023 and almost
doubles its target for reducing total atmospheric emissions
30 July 2020, Moscow - PAO Severstal ("Severstal"; "the Company"), one of
the world's leading vertically integrated steel and steel-related mining
companies, today announces a public target to cut its greenhouse gas
emissions intensity by 3% over the next three years compared with 2020[1].
It is the first stage of a longer-term strategy to reduce its carbon
footprint and increase its contribution to meeting the goals set by the
Paris Climate Agreement.
We have identified the following investment projects that should contribute
most significantly to this target are: the construction of long-range wire
mill 170, implementation of argon purging of metal in a steel casting ladle
from production to casting, increasing the share of sintering ore from
Yakovlevskiy Mine in sintering mix, the reconstruction of the solid fuel
unit Sinter plant 2 as well as the launch of top-pressure recovery turbines
#16 & #25.
In addition, Severstal has revised and upgraded its total atmospheric
emissions reduction targets for 2025. Following the Company's decision to
fit new gas cleaning equipment at the Cherepovets Steel Mill's sinter
processing plant, Severstal now expects to reduce its total atmospheric
emissions by 13% (66,500 tonnes) against 2017 levels, compared with the
previously announced target of 7%.
Alexander Shevelev, CEO of Severstal, commented:
"Severstal recognises the urgency for the steel industry to reduce its
direct and indirect emissions and contribute towards the goals of the Paris
Climate Agreement and is wholly committed to showing leadership in reducing
its own climate contribution. For this reason, we continue to challenge
ourselves to achieve more in this area.
The three-year GHG emissions intensity reduction target we have set is
underpinned by detailed programmes and a roadmap of specific investment
projects giving our stakeholders confidence that the 3% reduction is a
near-term commitment rather than an abstract promise.
It is important to note that as a vertically-integrated company, we control
and bear responsibility for emissions at every stage of our production chain
- from the extraction of raw materials to the development of finished
products."
In the first half of 2020, Severstal has already invested 1.34 billion
roubles in environmental initiatives, compared with approximately 750
million roubles in the full year 2019.
Further information:
Since 1990, the intensity of greenhouse gas emissions from steel production
at the Cherepovets Steel Mill (Severstal's main asset, "CherMK") has
decreased by 43%. According to the World Steel Association ("worldsteel"),
Severstal is in the first quartile of companies in the steel industry with
the lowest greenhouse gas emissions. Greenhouse gas emissions intensity of
CherMK in 2019 amounted to 2.08 tonnes of CO 2 equivalent / tonnes of liquid
steel (Scopes 1-3). Over the past year, Severstal has climbed three places
in the worldsteel ranking of companies with the lowest specific greenhouse
gas emissions to rank 13th out of 64 companies with comparable technologies.
Severstal was the first Russian company in the industry to pilot the
worldsteel "Step up" programme, which aims to find production processes
along the entire production chain that can be improved to achieve the
greatest results in terms of reducing greenhouse gas emissions. According to
an expert assessment, the greatest impact is possible from the introduction
and development of innovative technologies, more efficient methods of
generating electricity, reducing consumption factors in the blast furnace
and steelmaking processes, and using better quality raw materials.
More information available -
https://www.severstal.com/rus/sustainable-development [1]
For further information please contact:
Investor Relations
Evgeny Belov
T: +7 (495) 926-77-66
evgenii.belov@severstal.com
Public Relations
Anastasia Mishanina
T: +7 (495) 926-77-66
anastasia.mishanina@severstal.com
***
P?? Severstal is one of the world's leading vertically integrated steel and
steel related mining companies, with assets in Russia, Latvia and Poland.
Severstal is listed on RTS and MICEX and the company's GDRs are traded on
the LSE. Severstal reported revenue of $8,157 million and EBITDA of $2,805
million in 2019. Severstal's crude steel production in 2019 reached 11.8
million tonnes.
Severstal is looking for startups and innovative companies. You can get
acquainted with the directions of interest and leave a request on the
website innovations.severstal.com [2].
www.severstal.com [3]
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[1] Considering the in-plan realisation of our investment programme,
including the scheduled shutdown for planned maintenance of Blast Furnance
#5
ISIN: US8181503025
Category Code: MSCL
TIDM: SVST
LEI Code: 213800OKDPTV6K4ONO53
Sequence No.: 79143
EQS News ID: 1106663
End of Announcement EQS News Service
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(END) Dow Jones Newswires
July 30, 2020 09:31 ET (13:31 GMT)
