Novolipetsk (NLMK) has agreed an MOU with the Belgorod regional government and the Ministry of Industry and Trade that covers an expansion of the existing open pit with an increase in ore production from 43 million tonnes to 67 million tonnes per year.

It will also entail the construction of new enrichment facilities with a total capacity of 10 million tonnes of concentrate, a pelletising plant with an annual capacity of 9 million tonnes of pellets and an HBI production plant with a capacity of 2.5 million tonnes, said the company.

Novolipetsk said the new production will include "the most stringent environmental standards and using the best available technologies to minimize the impact of production on the environment".

The greener technologies to be deployed include gas cleaning systems, a closed water circulation cycle, and reuse of generated waste.

The project is scheduled to start between 2024-2027, with its commissioning to be in stages from 2027-2028.

"Hot briquetted iron is now in demand both in Russia and on the world market - CO2 emissions from steel production using this product are two times lower than the level of traditional technology. With the work on this project, NLMK Group begins planning a new stage of strategic development - Strategy 2030. High-tech, integrated, digital production with a low carbon and environmental footprint should enhance the company's competitive advantages, " said NLMK Group President Grigory Fedorishin.

Stoilensky already accounts for roughly 16% of Russia's iron ore production.