Investments

Investments in Generation Plant Kraków:

1. Adaptation of boiler OP-230 no. 8 to run on metallurgical gases, with an option of using natural gas as an auxiliary fuel. The aim of this investment is the modification of boiler no. 8 so that it could run on blast furnace and coke oven gas, with natural gas as an auxiliary fuel. The cost of the investment is approx. PLN 32 million and it is planned to be completed in 2018.
2. Erection of two boilers running on metallurgical gases with an option to use natural gas as an auxiliary fuel. The investment is focused on the replacement of old boiler units running on dust coal with modern units running on gas. The cost of the investment planned to be completed in 2018 is ca. PLN 170 million.
3. Modernization of 9 MPa steam main "A". The purpose of the investment is to increase process safety of the heat and power plant with respect to the main steam collector. Cost of the investment is approx. PLN 13 million. The investment is planned to be completed in Q2 2018.
4. Erection of a 55 MWe turbo generator (including installation of two supply pumps). The purpose of the investment is to replace two worn-out units, 25 MWe each. Cost of the investment is approx. PLN 126 million. The investment is planned to be completed in Q2 2019.    
5. Modernization of the cooling water system (part I - modernization of 12 cells, part II - modernization of pipelines, including tunnels, trestles and fittings, modernization of 10 pumps). The cost of the investment is approx. PLN 48 million. The planned completion date of phase 1 is Q2 2019, and Q4 2019 for part 2.
6. Replacement investments (CAPEX) in property (boilers, turbo sets, cooling system) implemented gradually until 2029. Total cost is approx. PLN 120 million.

Investments in Generation Plant Nowa:

1. Adaptation of five boilers OPG - 230 (including modernization of gas installations and erection of a waste gas cleaning installation deSOx - deNOx), to ensure they meet requirements of Directive 2010/75/EU of the European Parliament and of the Council of 24 November 2010 on industrial emissions - IED. The purpose of the investment is to erect an installation for cleaning waste gas from gas boilers from dust pollution. The investment will ensure alignment with legal requirements regarding environmental protection. The cost of the investment  planned to be completed in Q4 2018 will be approx. PLN 275 million.
2. Modernization of turbo blowers. The investment is focused on the modernization of the turbo blowers' flow system to adjust them to new parameters of bf blast, modernization of the anti-surge system and reduction of losses in oxygen supply. The investment will cost approx. PLN 41 million and is planned to be completed in Q1 2020.
3. Construction of a Top Recovery Turbine (TRT). The investment is focused on the utilization of potential energy of blast furnace gas through its decompression and generation of electric energy on two turbines, 12.5 MWe each, dedicated for BF2 and BF3. The investment will cost approx. PLN 143 million and is planned to completed in Q4 2018.
4. Erection of an installation supplying oxygen to BF2 and BF3 blast pipelines. The investment is focused on improving Blast Furnace process safety. The  investment will cost approx. PLN 4 million and is planned to be completed in Q4, 2018.
5. Replacement investments (CAPEX) in assets (boilers, turbo sets, cooling system) executed gradually till 2029. Total cost is estimated at approx. PLN 433 million.

Replacement works in Generation plant Blachownia:

1. Works planned in Generation plant Blachownia till 2020 will be limited to replacement works aimed at keeping Generation Plant Blachownia in operation. The Company will allocate approx. PLN 21 million for this purpose.
2. As BAT conclusions came into force, a possibility of erecting a DeNOx installation (waste gas denitrification) by mid 2021 is under consideration. The investment will be focused on meeting BAT requirements for waste gas from boiler room. Estimated cost of the modernization is approx. PLN 110 million and will depend on the option selected and the scope of the investment.