Dniprometiz-TAS LLC (Dnipro) of Ukrainian businessman Serhiy Tihipko plans to build a new $4m hot-dip galvanizing line for steel wire, the company presented the project at the Ukraine Recovery Conference (URC2025) held in Rome on July 10-12.
According to the company’s information in the URC project catalog, the project involves the construction of a new hot-dip galvanizing line to improve operational efficiency and optimize energy consumption, is a diversification of production of highly profitable products through the manufacture of high-quality fine (0.7-1.6 mm) and medium-diameter (1.8-5.0 mm) wire, including low-carbon, medium- and high-carbon steel grades.
The capacity of the plant is 24 thousand tons per year. New energy-saving equipment is used for the furnace and zinc bath. The project’s strengths include lower production costs, improved space efficiency, increased production capacity, and strategic investment in the cable industry.
The target market is European, North American, Middle Eastern.
The project is 100% ready for realization: pre-project planning has been completed, infrastructure has been developed (workshop, power plant and other facilities), detailed technical, production and market analyses have been performed, there is production of semi-finished wire products.
The project will result in a change in product mix from relatively low-margin fencing wires to high-margin products for the cable industry. The model focuses on efficiency by phasing out old lines with the goal of reaching an annual production capacity of 24,000 tons with an average diameter of 1.6 mm.
The total project budget is $4 million, with $2 million to be raised. Expected financials: net present value (NPV) of $1.5 million, revenue in 2030 of $1.4 million, EBITDA in 2030 of $0.9 million.
The project startup period is three years.
Through 2025, it will invest $0.1 million in concept development, require $1.5 million in design funding this year, $2 million in 2026 and $0.4 million in 2027 for construction. In 2027 is the start of operations.
