The financing will be for environmental projects to enable the company to cut greenhouse gas emissions by 4.7 million metric tons in 2008 through 2012, SteelOrbis reports.
The projects include two large-scale equipment renovation projects that will contribute to reducing overall environmental impact.
Under the scope of the construction of shaft furnace No. 2 at Cherepovets Steel Mill, a steel-making furnace and a ladle furnace were built, and a slab line in the electric steel-making shop was upgraded, according to SteelOrbis.
The other equipment renovation project aims to increase energy efficiency through modernization of steel production by upgrading coke oven battery No. 3 and blast furnace No. 4 at Cherepovets Steel Mill.
Additionally, Severstal will also channel the financing under the Kyoto Protocol for the implementation of other environmental programs, according to SteelOrbis.
Severstal is a Russian company mainly operating in the steel and mining industry, centered in the northern city of Cherepovets. The company owns major industrial facilities in Russia, Ukraine, Kazakhstan, France, Italy and the United States, as well as in several African countries, and has mining assets in Russia and the United States.