Ruukki Group has signed two framework contracts with Metallurgical Group Corporation Limited concerning two tasavirtakromisulaton and a 250 MW power plant construction in South Africa.

Ruukki Group's activities are part of the company's strategy for its South African mineral expansion business by increasing production capacity and increasing market share.

Mr Alwyn Smit CEO of Ruukki Group said that "MCC is a well known and respected leader in the mining construction projects in the field, and it has worked in Africa, the last 40 years. We believe that owning your own power plant kasvusuunnitelmiemme is crucial because it ensures a steady flow of income smelters competitive cost."

Framework Agreement, the MCC will act as the procurement and construction contractor for two 70 MW single elektrodiselle arc tasavirtasulatolle, which is equipped with two drop holes.

Smelter is designed by the engineering GLPS, which is currently drawing up detailed implementation plans for smelters. These are expected in the fourth quarter of this year.

Ruukki Group and the MCC will consult the actual supply contracts now signed the Framework Agreement on the basis of smelters on the detailed design is completed. Ruukki Group estimates the contract to be completed next year, the end of June 2010.

Ruukki Group is selecting smelters construction. The company estimates that the final decision on the construction site is made before the end of this year. Ruukki Group intends to build a power plant in South Africa to diversify its expanding business needs energianhankintakanaviaan.

Framework Agreement, the MCC is the project engineering, procurement and construction contractor. MCC also manages the project's feasibility. These studies are scheduled to begin this year's fourth quarter.

Investigations in connection with a project selected the most appropriate technology, which is either a coal gasification yhdistelmäkierrolla, conventional coal powered steam boiler or steam boiler vessel liquid fumigator. Technology selection taking into account South Africa's limited water resources.

Feasibility studies are expected to end next year's second quarter end. Investigations after the opening of negotiations on the final supply contracts are now established on the basis of the framework agreement.