In the future, FGC UES will construct the 220-kV Prizeiskaya-Elgaugol 2nd power line and expand Elgaugol Substation’s capacity. FGC UES’s investment will total 17.5 billion rubles.
As part of the project’s 1st stage, Mechel in its turn provided the energy infrastructure at Elga Coal Complex’s site, including 35-kV Alpha and Beta Substations, 159 supports and 26 km of distribution circuits. Mechel’s investment totaled 470 million rubles.
The project was launched in 2010, with the 2nd stage due to be completed in 2023. The power line’s launch will ensure reliable electricity supply to Elga’s production and amenity facilities and enable the complex to stop using diesel generators.
“Setting up an energy supply grid for Elga Coal Complex is part of the complex plan for modernization and expansion of energy infrastructure, developed by the Russian government for implementing the President’s so-called May decree. This is one of Federal Grid Company’s largest projects in the Far East, and the region as a whole will be our investment priority in the next 5 years,” FGC UES’s Chairman of the Board Andrey Murov said.
“Completion of this construction and linking Elga Coal Complex to a power line opens vast horizons for the deposit’s further development. We have already begun acquiring more efficient mining equipment and will transfer our washing plant to electricity. As a result, the entire project will benefit economically, as transfer to an electrical supply means reducing our energy costs more than 5 times. This completes yet another stage of our strategy of creating a competitive, world-class production complex,” Mechel’s CEO Oleg Korzhov commented.
The Elga deposit of high-quality coking coal is Russia’s largest and is located in Southern Yakutia, in a remote area 415 km away from Neryungri. The facility’s staff totals over 1,600 people. In 2018, Elgaugol produced 4.9 million tonnes of coal.