ERG’s Kazchrome sets a historic ferroalloys production record
TNC Kazchrome JSC (“Kazchrome” or “the Company”), the world's largest high-carbon ferrochrome producer by chrome content and a subsidiary of Eurasian Resources Group (“ERG” or “the Group”), a leading diversified natural resources group headquartered in Luxembourg, has achieved a new production record. In 2020, its 25th anniversary year, Kazchrome manufactured 1.84 million tonnes of ferroalloys, which is a 1.7 per cent increase from the already high base of 2019.
Mr Serik Shakhnazarov, Chairman of the Management Board, Eurasian Group LLP, which manages ERG’s assets in Kazakhstan, noted: “We are proud to have achieved a record-breaking ferroalloys output and have met our production targets, all against the backdrop of such a challenging year. Kazchrome has demonstrated steady output growth, stemming, above all, from its successful business plan implementation.”
Mr Arman Esenzhulov, President of TNC Kazchrome JSC, said: “The company is working to implement several strategic initiatives aimed at boosting ferroalloys production. We are also taking steps to provide a steady and reliable supply of raw materials to our ferroalloy plants. Donskoy GOK is implementing a strategic project to build the second phase of the 10th Anniversary Mine. We seek to introduce the best innovative solutions and best practices and to generate our own ideas in order to make sure that our company remains agile and competitive.”
In 2020, Kazchrome had to use the funds intended initially for its 25th anniversary celebrations to dedicate itself to the fight against COVID-19. Kazchrome invested in medical supplies for employees and their families and delivered essentials to medical centres. It is worth noting that, despite the challenges posed by COVID-19, Kazchrome fulfilled its production targets.”
Over the past quarter of a century, Kazchrome manufactured around 31.2 million tonnes of ferroalloys in total, having a strong and highly diversified customer base which included leading stainless steel producers in China, Japan, Southeast Asia, the USA, and the EU. In 2020 alone, more than 1.7 million tonnes of ferroalloys were exported.
The Group would like to note that this historic record would not have been achieved were it not the special role in the development of Kazchrome of Mr Alijan Ibragimov, the co-founder, shareholder and member of the Board of Directors of Eurasian Resources Group, who as we announced with great sorrow passed away on 3 February 2021 at the age of 67.
Mr Ibragimov headed TNC Kazchrome JSC from 2002 to 2007, and under his leadership, the operation became the world’s second largest company in terms of chrome ore reserves and production, and the world’s third largest ferrochrome producer.
Setting into motion the process of vertical integration at ERG, Mr Ibragimov oversaw the consolidation of the Aksu and Aktobe ferroalloy plants and Donskoy Ore Mining and Processing Plant, which led to the creation of TNC Kazchrome JSC.