Arctic Business Forum 2015 Stainless Steel from North

Transcription

1 Arctic Business Forum 015 Stainless Steel from North Martti Sassi SVP Production in Tornio Business Line Outokumpu

2 Continued growth for stainless steel globally Outokumpu market share 014: EMEA ~0% NAFTA ~% APAC ~1% Data source: SMR, January 015 Real demand for total stainless steel (rolled & forged products, excl. 1Cr tubes, profiles)

3 Global stainless steel consumption by customer segments in 014,8 % 8, % 14,8 % 10, % 4,9 % Consumer goods&medical Chemical/Petrochemical &Energy Automotive&Heavy Transport ABC&Infrastructure 1,7 % Industrial&Heavy industry Others Total consumption,9 Mton Data source: SMR, January 015

4 Global stainless steel slab production capacity and production by regions [million tonnes] RoW Americas Europe Asia global slab capacity f 01f 017f 018f 019f 00f Source: SMR February 015

5 TOP10 stainless steel producers Melting capacity, Mton 5,0 4,0 7 of TOP10 players are coming from Asia,0,0 1,0 0,0

6 Outokumpu global footprint USA Cost efficient integrated mill (Calvert). High performance stainless plate, bar and pipe production units. Sweden Specialty stainless production units and an R&D center. UK Integrated specialty stainless production site, specializing in long products. Finland Modern fully integrated chrome mine, ferrochrome works and stainless steel production unit and and R&D center. Group HQ. Germany High quality stainless steel production and R&D units. Mexico Cold rolling mill in San Luis Potosí, Mexico. Focus on ferritics and tailored solutions. China Cold rolling and service centers.

7 Outokumpu in Kemi-Tornio area unique integrated production complex Kemi Mine Chromite concentrates Ferrochrome Works Ferrochrome Stainless and mild steel scrap Ni-, Mo alloys, lime etc. Steel Melting Shop Slabs Hot Rolling Mill Black Hot Coils Cold Rolling Plant Cold Rolled and white hot rolled products Finishing Plants in Tornio and Terneuzen (NL) Other Steel Mills Own service centers and customers

8 Products from Tornio Stainless steel finished goods (Coils, sheets and plates) Stainless steel semi products to German cold rolling plants Ferrochrome products Slag products

9 Kemi Mine - The only chrome mine in the EU -area Company Presentation March 01 9

10 Tornio - The most integrated stainless steel plant in the world Company Presentation March 01 10

11 Outokumpu operations in Tornio 00 Outokumpu s employees (including Kemi mine) 00 employees of service providers work at the plant area on a daily basis Main service providers at site are Tornion Voima, SMA Mineral, AGA, Tapojärvi and several local maintenance service companies The indirect employment within the whole region is estimated to be people. FeCr capacity is 50 ktons/a (globally 4 %) Stainless steel melting capacity 1450 ktons (globally 4 %) using more than 1 million tons recycled stainless and mild steel as raw material Export share of products is over 95 %. As a by-product 1 million CE-marked slag products in 014 Own harbour (traffic.8 Mton and 470 vessels in 014). 5 time-chartered vessels operate continuously between Tornio and Terneuzen plant in Netherland Tornio site is the biggest single electricity consumer in Finland (abt. TWh annually i.e. 4 % of total consumption in Finland)

12 Tornio Manga LNG project Outokumpu Group, Skangass Oy, SSAB and EPV Energy Ltd. have agreed to construct a new LNG off- grid import terminal into Tornio industrial area and harbor at Northern Coast of the Gulf of Bothnia. Tornio Manga LNG-terminal utilizes the existing infrastructure of the industrial area to the full extent and will be replacing current energy forms i.e. propane and heavy fuel with LNG and will act as new form of energy for the power plant extension. LNG commissioning will be late 017 and actual deliveries will start in H1/018 Storage capacity for m of LNG Initial demand m of LNG or,5 TWh for all the partners. Shareholder Ownership % Outokumpu 45% Skangass 5% SSAB 5% EPV 5%

13 Thank you for your attention!