Retention of low-cost position
Main cost-reduction programmes
Optimisation of consumption of raw materials and basic materials
Alloy savings from EVRAZ Regina investment projectStatus
In 2018, additional savings on alloys were achieved at EVRAZ Regina’s steel mill.
Flux/powder usage reduction at EVRAZ Regina’s steel millStatus
Additional savings from flux consumption were achieved in 2018.
Graphite electrode consumption reduction at EVRAZ Regina’s steel mill and EVRAZ PuebloStatus
EVRAZ completed benchmarking and gap analysis for electrodes consumption.
Changes in supplier base and supply requirements have been made.
Optimisation of yield and productivity
Improve yields at EVRAZ Regina’s steel and tubular facilitiesStatus
Both the steel and tubular mills reached and exceeded their 2018 productivity targets, which translated to tangible cost savings.
Increase productivity of EVRAZ Regina’s steel facilityStatus
Both EVRAZ Regina’s meltshop and rolling mill set new records in 2018 in terms of production volumes.
Increase Alberta OCTG production throughputStatus
The heat treatment line in Calgary achieved a 15.9% increase in throughput of P110 product in 2018.
Improve EVRAZ Portland plate yieldStatus
Plate yield target achieved by improving slab ordering practices, better tracking of slab utilisation and special ordering optimal slab sizes to ensure better performance.
Improve seamless prime yieldStatus
Seamless prime yield improved throughout 2018 due to mill set up actions and operations crew training.
Increase EVRAZ Pueblo’s seamless heat treatment outputStatus
Seamless heat treatment output exceeded the target by 10% in 2018.
Ramp up EVRAZ Pueblo’s threadlineStatus
Threadline project completed as expected.
Optimisation of product quality system
Improve forming/welding processes at EVRAZ Regina’s tubular facilityStatus
Achieved a significant improvement in welding prime yields, surpassing historical levels and medium-term goals.
Improve surface defectsStatus
Degassing approximately 85% of steel consumed by EVRAZ Regina’s tubular facility allowed the Group to produce products with less hydrogen related slivers.
Reduce customer claims at EVRAZ Red DeerStatus
Reduced claims paid by 25% compared with 2017 through the implementation of additional quality improvements during production and shipping, as well as through employee training.
Improve controls over key production processes at EVRAZ PortlandStatus
Improvements achieved through the implementation of additional quality control steps during production and shipping, as well as through employee training.