Environment
Environmental policy
A responsible attitude towards the environment and use of natural resources is one of the key components of our corporate social responsibility and an important factor in the stable, long-term development of OAO Severstal. The Company’s major principles in this area are defined by the OAO Severstal HSE Policy. This document applies to all companies, branches and enterprises of OAO Severstal.
“We seek to prevent environmental pollution, reduce greenhouse gas emissions, consume energy and use natural resources prudently and manage waste efficiently.”
OAO Severstal HSE Policy.
The Company seeks to strictly comply with all applicable requirements of environmental law and develops and implements efficient management systems with due regard for best international practices. OAO Severstal’s Cherepovets Steel Mill was the first company in the Russian metallurgical industry to develop and implement an environmental management system that satisfies the ISO 14001 international standard.
The Environmental management systems of the Cherepovets Steel Mill, Karelsky Okatysh, SNA Dearborn and other enterprises of Severstal are certified for compliance with international standard ISO 14001:2004
Responsibility towards the environment is at the forefront of the Company’s construction and modernization projects. For example, the upgrade of the No.7 coke-oven battery at the Cherepovets Steel Mill scheduled for 2011-2013 will involve dust-free coke pushing that will reduce dust emissions by 289 tons per year.
Severstal supports the development of a system for constructive cooperation between governmental authorities and work collectives, business partners, the public and expert organizations in tackling environmental issues. Severstal’s managers work in partnership with the RUIE Committee on Environmental, Industrial and Process Safety. The Company works with the World Steel Association (WSA) to implement research and projects in the area of climate change and to reduce harmful atmospheric emissions.
The Company implements a large-scale action plan aimed at minimizing the adverse impact of operating activities on the environment and ensuring more efficient use of resources.
In 2010 a total of USD 111.7 million was allocated for the implementation of the environmental program.
Key achievements in 2010
Improvements to management system:
Reduction of harmful atmospheric emissions:
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Reduction of OAO Vorkutaugol’s gross atmospheric emissions by 8%, or 9,614.3 tons, compared to 2009 (a 35% reduction on 2008 levels). This reduction was, amongst other factors, due to coalmine methane recovery. Methane recovery measures have a dual role to play: lowering the consumption of other energy sources and reducing greenhouse gas emissions.
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A facility for the treatment of naphthalene press No.3 off-gases went on-stream in the coke and by-product process at the Cherepovets Steel Mill. It was the first of its kind in Russia and is part of the industrial pilot project. It is anticipated that the upgrade of these presses will reduce naphthalene emissions by 45% or 8.6 tons per year.
Sustainability:
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Since 2005, a total of 2,138 trees and 31,529 shrubs have been planted, 19.2 hectares of lawn has been laid and 43,568 sq. m of land has been rehabilitated at the Cherepovets Steel Mill.
Reduction of pollutants discharges and efficient water consumption:
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A filtering station at the long product rolling mill and No. 1 plate rolling mill became operational at the Cherepovets Steel Mill. This will allow to reduce oils and iron discharge into natural water systems by 0.8 tons and 0.4 tons per year, respectively.
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Karelsky Okatysh, together with EHP-teknika of Finland, is implementing a project for the high-tech monitoring of tailing pond wastewater. The project is scheduled for completion in mid-2011.
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Volume of waste water discharge at Severstal Columbus in the USA was considerably reduced. Improved technological processes have made it possible to ensure a 28% reduction against 2009 (from 26.9 to 16.8 thou cub. m), whilst simultaneously increasing production.
Waste management:
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At Karelsky Okatysh and Olkon, a total of more than 8 million tons of waste were reclaimed by processing into industrial crushed stone, and also used for dam construction.
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In 2010, a total of 7,619.3 thousand tons of waste were generated at the Cherepovets Steel Mill, of which 92.6% was utilized (neutralized) both in-house and with the help of outside organizations. A major portion of reclaimed waste is steel and blast furnace slags, which, once processed, are sold as a material for construction.
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Slag from Severstal Dearborn (USA) production processes is re-used as a raw material in the blast furnaces or sold for use in paving roads and concrete products. In 2010 it was recycled 37,000 tons of BOF slag (14%) as fluxing agent into the blast furnace, аbout 56% of the BF slag was sold.
Energy efficiency:
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Per unit electric energy consumption at OAO Vorkutaugol was reduced by 14% compared with 2009 as a result of energy saving initiatives. The consumption of thermal energy went down by 20% (from 729,850 Gcal in 2009 to 582,187 Gcal in 2010). Fuel oil consumption in Karelsky Okatysh was reduced from 8.42 tо 7.93 kg per ton of production as a result of investment in state of the art equipment.
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Per unit energy consumption at the Cherepovets Steel Mill was reduced by 3% (5.695 Gcal/t of steel) compared with 2009, with a 16% increase in production. This was the result of a series of efficiency and energy saving initiatives. These initiatives have yielded significant annual savings in natural gas (67,779 thou cub. m), potable water (160,184 cub. m) and coal (33,397 tons).
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At Severstal Dearborn one-third of the by-product gas from iron-producing blast furnaces is burned to preheat the air used by those blast furnaces. The remaining two-thirds of the blast furnace gas is supplied to a nearby power plant to generate steam and electricity. Severstal Dearborn daily re-uses 0,76 millions of cub. m of cooling water discharged by that power plant to cool equipment and process steel.
