Evraz maintains plans to begin ore production on new horizon of Sheregesh mine in 2023

KEMEROVO. Dec 16 (Interfax) - Evraz maintains plans to start mining ore from the new horizon of the Sheregesh mine (part of Evraz ZSMK) in 2023, the Evraz public relations department said in a statement.

"Sheregesh [ore mine - IF] is implementing a large-scale investment project to build a lower horizon + 10 meters, which will extend the operation of the mine for at least another 10 years. The first tonnes of ore from the new horizon are scheduled to begin production in 2023," the department said.

As previously reported, in the fall of 2021, Evraz announced the launch of an investment project aimed at replenishing retired ore reserves and maintaining existing production volumes until at least 2032. The company then announced plans to start mining the underlying ore from 2023. Construction and active extraction of reserves from the new horizon was due to begin in 2024. Investments were estimated at 4.5 billion rubles. The project is aimed at providing the metallurgical sites of Evraz's Siberia Division with 80% of their own iron ore.

According to the statement, from the beginning of 2022 through the first third of December, the Sheregesh mine produced 5 million tonnes of ore and 2.55 million tonnes of primary concentrate. In the fall of 2021, Evraz reported that the company produced up to 4.8 million tons of iron ore per year.

On December 12, there was a subsidence in the ground surface within the mining allotment of the Sheregesh mine. No work was carried out under the subsidence, and after the collapse, mining operations at the mine were suspended in order to monitor ventilation mode. There were no casualties. On the night of December 13, the company resumed its work.

The management said that the Sheregesh mine is the largest enterprise in Evraz ZSMK's Mining Assets segment. The mine uses self-propelled vehicles and has LTE underground communications.