Magnitogorsk Iron and Steel Works (MMK) and Chelyabinsk Pipe-Rolling Plant (ChelPipe) held their 25th coordination council, dedicated to cooperation between the two companies.

The meeting was attended by MMK Deputy General Director for Sales Sergey Ushakov, Director for Procurement and Logistics of ChelPipe Alexey Talnikov, as well as representatives of the technical, production and commercial services of the two companies.

MMK is one of the main suppliers of metal for ChelPipe Group. The increase in shipments from MMK amounted to more than 60,000 tonnes in 9M 2019.

"Linked by a long-term, mutually beneficial partnership, ChelPipe Group and MMK are implementing a strategic cooperation programme aimed at providing Russian oil and gas companies with high-quality pipe products. MMK has traditionally supplied high-quality sheet and rolled metal products to the enterprises of ChelPipe Group's pipe division. According to the management of both companies, the close cooperation between ChelPipe and MMK is a successful example of intraregional cooperation," said Sergey Ushakov, MMK Deputy General Director for Sales.

"As long-term strategic partners, ChelPipe Group and MMK always strive towards mutually beneficial and productive cooperation. In the near future, we plan to test the work of the electronic information platform, one of the functions of which will optimize logistics issues and reduce the shipment time of products to two days," said Head of Strategic Cooperation at ChelPipe Group Alexander Golodyagin.

During the meeting, the parties discussed plans for joint participation in major pipeline construction projects in 2020. They paid special attention to the issues of product quality and logistics process optimization, and summed up the results of their cooperation for 2019.

About MMK

MMK is one of the world's largest steel producers and a leading Russian metals company. The company's operations in Russia include a large steel-producing unit encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2018, the company produced 12.7 mln tonnes of crude steel and 11.7 mln tonnes of commercial steel products. MMK Group had sales in 2018 of USD 8,214 mln and EBITDA of USD 2,418 mln.

Media contacts:
Dmitry Kuchumov
tel.: +7 (499) 238-26-13
E-mail: kuchumov.do@mmk.ru
Dmitry Bulin
tel.: +7 (499) 238-26-13
E-mail: bulin.dn@mmk.ru