Železara Smederevo has announced starting the blast furnace No 1 on 9th of October , which will double the current production capacity.
Blast furnace No. 1 was shut down in October 2009 because of decrease in demand for steel in the European market. Ironworks was then in the hands of US corporation - US Steel. Six years later, the new managing board intends to make the company work with its full production capacity. In order to achieve it, they spent several months of hard work repairing the furnace.
Iron production manager Darko Djordjevic explained that the so-called blowing-in of blast furnace will be conducted on Wednesday, 7th of October, and two days later the iron will flow. For the full stabilization of the labor and production fit will take approximately 10 to 15 days. After that it is expected to reach its full capacity with 75,000 tons per month.
Member of the Železara Smederevo Supervisory Board, Bojan Bojković stated for the media: "It will double our production and sales, which will have a huge impact on our gross domestic product and the business of the ironwork. Despite the extremely difficult situation in the steel market, which is why the average price of finished products fell by more than 25%, we still manage to place our products. "
He pointed out that the starting of blast furnace No 1 be will reduce production costs by 15 US dollars per ton, which is a significant saving.
Železara Smederevo with only one blast furnace (No. 2) is currently producing between 70,000 and 80,000 tons of iron per month, and after the activation of the other this number will double. The production capacity of ironworks, in optimal conditions, could amount to about 2.2 million tons of steel per annum, but this number is not reached yet.