The head of state reviews the development of the iron ore giant in Kazakhstan
The current geopolitical situation has caused ERG to stop shipping SSGPO products to the historically largest Russian consumer. This has caused a decrease in their production volumes from 14.6 million to 9.4 million tonnes of marketable products. However, the company was able to find a solution to increase the supply of products to regular consumers from China to 3 million tonnes. To ensure their entry into the European market in September 2022, a pilot batch of pellets with a high iron content of 65% was produced, with an international certificate confirming the characteristics of the new product. The company has worked hard to retain jobs, implement investment projects and help in the development of Rudny and the village of Kachar, despite the decrease in production volumes, delays in the supply of raw materials and equipment. The investment programme for 2022 exceeded 67.2 billion tenge, with the planned volume of investments for 2023 amounting to 60.6 billion tenge. Furthermore, the President of the country was also presented with a project for the construction of a plant for the production of HBI, hot briquetted iron, which has been updated to take into account the new economic conditions. The main value of ERG has always been and remains people. The company fulfils all its social obligations and has allocated an additional 60 billion tenge to increase the wage fund for all of its group‘s enterprises, with the wages of the personnel of ERG production enterprises, including SSGPO and Kachary Ruda, increasing by 15% from January 1st 2023. The visit to the Sokolovsky quarry and the CHPP was a great success for President Tokayev, as it showcased all the work that the company has done in order to stay afloat and provide the best service to its customers. The future looks promising for SSGPO, and the President was pleased with the progress made by the company.