The deal was signed today by Anton Chernykh, the chairman of the Russian-owned steel group SIJ, and Primetals Technologies CEO Yasukuni Yamasaki in the presence of PM Miro Cerar and Economy Minister Zdravko Počivalšek.

The furnace, which will improve the production of liquid steel at Acroni, is expected to be launched in the last quarter of 2016. The investment is expected to bring annual revenue of EUR 10m in the 2017-2020 period.

The new furnace is projected to reduce the production time for stainless steels by 30%, which will free up capacity for other products, for example special steels, according to Acroni chairman Blaž Jasnič.

According to Jasnič, the investment will also reduce energy consumption, improve quality and reduce the ecological footprint.

Acroni owner SIJ last year concluded a EUR 400m investment cycle, and is launching a new cycle in which EUR 250m will be invested by 2020. Between EUR 100m and EUR 150m will be invested in Acroni, according to Chernykh.

SIJ generated EUR 707.8m in revenue last year, up 7% year-on-year. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) were up by 91% to EUR 77.8m. The groups's net profit reached EUR 25m.