Two-furnace operation begins at Peiner Träger GmbH

Peiner Träger GmbH (PTG) commenced the run-up procedure on Tuesday evening as scheduled in readiness to operate both electric arc furnaces. The second furnace was switched on at 18.00, marking the first occasion on which both furnaces have worked in parallel. Smelting capacity at the Peine plant is now almost doubled. Thanks to these new capacities, PTG and its sister plant HSP Hoesch Spundwand und Profil GmbH in Dortmund will no longer be dependent on buying in external supplies of steel. In addition, some of the steel output will be consumed in Salzgitter and Ilsenburg since Peine has also had the facility to produce slabs since February 2010. Flexibility in the supply of the Group's input stock will be greatly increased.

This is an important moment with future implications for PTG and its employees.

Current production results are highly encouraging. Some 5,500 t of steel were produced in the first 24 hours, equivalent to around 90 % of planned nominal capacity.

The challenge in the months to come will be to optimize logistics and the qualification levels of the workforce, and achieve the scheduled nominal capacity. This will be connected with improvements in the cost structure and profitability of PTG.