MYTILINEOS is a leading global industrial and energy company with a strong presence in all five continents. The company operates four Business Units: Power & Gas, Metallurgy, Renewables & Storage Development and Sustainable Engineering Solutions.
The company started as a family business in 1908 in the context of a metal trading business and became a corporate entity in 1990. Established In 1995, the company was listed in the Athens Stock Exchange, while today is a constituent of the FTSE LARGE CAP Index.
MYTILINEOS pursues its development through its business model, responding to the global challenges of Sustainable Development. Their path to sustainability is characterized mainly by a conscious commitment to responsible entrepreneurship and the alignment of the strategic priorities with the Global Sustainable Development Goals, as well as by its leading role in the evolving national energy transformation and decarbonization. In 2021, MYTILINEOS became proudly the first Greek company to set solid targets and committed to minimize its carbon footprint. MYTILINEOS committed to minimize its total direct and indirect CO2 emissions by at least 30% by 2030, compared to 2019 levels, while by 2050 it committed to achieve net zero emissions in its entire business activity. With this decision, MYTILINEOS paved the way for a greener and more environmentally friendly industry, according to ESG (Environment, Social and Government) performance indices.
What they do is to operate in demanding local and international markets with inventiveness, effectiveness and respect for the environment and the society aiming to sustainable excellence, creating value for the company itself, for the shareholders, employees, but also for the entire Greek Economy. The company rely on their workforce, which lists more than 4,820 direct and indirect employees, and they constantly set the goal of continuous improvement by everyone in everything we do.
Easy Engineering: Which are the most futuristic solutions from your portfolio?
MYTILINEOS: In this case, we have to start with the latest development aiming to bring the future closer. The “green” footprint for “smart” sustainable cities is here with brave steps taken for our planet and humankind. MYTILINEOS Smart Cities materializes energy transition to a friendlier and “greener” reality focusing on the modern-day citizen and the society of the future.
It will be a living organism in continuous evolution, providing innovative services, applications, groundbreaking tools, and products addressing cities, communities, settlements as well as big corporations seeking to create “smart” cities, aiming to make the citizens’ and inhabitants’ everyday life easier and sustainable
But apart from that, we must admit that the most ambitious project of our portfolio is the game changing new CCGT station of 826MW. It will be one of the largest natural gas fired powered combined cycle (Combined Cycle Gas Turbine – CCGT) power stations in Europe, within the Ag. Nikolaos Energy Complex, in Voiotia, Central Greece.
The new station will be operated by a GE H-Class gas turbine with a thermal efficiency of more than 63%, rendering the CCGT plant as the most efficient across Europe. This investment of €300 million, has entered the final stretch for its completion, which is expected by Q4 2022
E.E: What are the characteristics of these solutions?
MYTILINEOS: As far as the project of Smart Cities is concerned there will be in use artificial intelligence and cutting-edge technologies, sustainable, “smart” societies with infinite possibilities. Citizen-friendly cities will be offering solutions, interacting at all levels, offering opportunities, reducing costs, respecting the environment, but above all, remaining human and sustainable.
A particularly ambitious and innovative project materialized under the highest quality standards of MYTILINEOS, encompassing, for the first time, the collaborative efforts of its Business Units: Metallurgy, Power & Gas, and Sustainable Engineering Solutions.
The first step is taking place already in Aspra Spitia that will be the first “pilot” city aiming at a real and substantial improvement of the settlements inhabitants’ standards of living through a variety of cutting-edge technological solutions.
Regarding the new CCGT plant, MYTILINEOS supports the effort to reduce greenhouse emissions and the country’s aim toward “clean” energy through the use of natural gas. Natural gas emits less greenhouse gases than any other conventional fuel, while a CCGT station is estimated to emit less than 25% of that of a thermal lignite-powered unit.
Through this investment, MYTILINEOS becomes the first private company that contributes to the national energy system, through its state-of-the-art plant in view of the country’s energy transition. At the same time, the completion of the investment will generate significant economic value locally, by creating new jobs and synergies while supports MYTILINEOS commitment for minimizing its environmental footprint in its operation as a whole.
E.E: Tell us about the company’s long-term goals / prospects?
MYTILINEOS: In 2021, MYTILINEOS operating income (EBITDA) reached €359 million increased by 14% compared to 2020, while its revenues exceeded €2.6 billion.
In H1 of 2022 there is a net profit after minorities at €166 million, a 116% increase vs. €77 million in H1 2021. Thus, Earnings per Share stood at €1.221, an increase of 116% compared to the corresponding period of the previous year. Turnover increased by 117% to €2,154 million, compared to €994 million in H1 2021. Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) reached €293 million, 88% higher against €156 million in H1 2021.
This H1 2022 financial performance, reconfirms MYTILINEOS’ ability to respond promptly and successfully even under the most adverse economic conditions. Having realized the strong challenges of the era (i.e: energy crisis, Russian-Ukrainian war, pandemic), has responded on time by taking appropriate and targeted measures, focusing in particular on the energy cost as well as the security of supply. Thus, managing not only to remain unaffected but also to record new historically high performance, while accelerating, at the same time, the implementation of the largest investment program in its history.
Despite current uncertain environment, the result of prevailing geopolitical tensions, MYTILINEOS’ financial performance is expected to strengthen significantly in the coming quarters, with new investments, such as the new 826MW CCGT plant, the increase of the Aluminium production capacity as well as significant RES investments gradually entering the completion stage, while MYTILINEOS further enhances its international presence in energy and metals.
At the same time, key agreements for the sale of Solar PV parks as part of the RSD portfolio, are expected to be concluded soon, driving profitability to much higher levels, when compared with previous years.
E.E: How does the digital transformation affect your products / business?
MYTILINEOS: In MYTILINEOS, digital transformation is a significant part of our agenda and currently we are forging ahead with a number of relevant projects as we truly believe that digital transformation can enhance our business.
In particular these projects include an Azure-based computer vision solution helping automate stock counts for the metallurgy business at the loading docks of the port at the Aluminium of Greece industrial plant.
Moreover, Power and Gas Business Unit has also been exploring the possibilities of augmented reality, and how it can enable employees to work more smartly day-to-day. MYTILINEOS demonstrates its commitment to the principals of digital transformation which are aligned with our mission, and we will continue using this path to knowledge and innovation.
E.E: Tell us about research and development in your company
MYTILINEOS: MYTILINEOS, innovates by steadily investing in research and development of technical solutions that aspire to meet the great challenges that our businesses face. Through our Metallurgy Business Unit, the company is participating in 23 European research projects, which focus on addressing key issues of the metallurgy sector including the utilization of bauxite residues as a raw material for the production of rare-earth elements (i.e. scandium), iron, alumina, cement additives or other construction products; the use of renewable energy sources for the production of aluminum; the utilization of new recycling technologies in the production line; the production of alumina from secondary sources, etc.
In the context of achieving a low environmental footprint for the aluminum production unit, the Metallurgy Business Unit, through research activities, turns to new technologies that aim to optimize all stages of the aluminum production chain, and to the production of environmentally friendly aluminum products with low environmental footprint (ReActiv program).
As part of the sustainable development strategy, MYTILINEOS has set waste management as priority, by participating in innovative research programs with the aim of zeroing and ultimately transforming waste into a source of useful raw materials. The SCALE project of Horizon 2020 of the European Union is such a program aimed at extracting rare earth elements, and in particular compounds of scandium and aluminium – scandium alloys from European metallurgical residues, such as bauxite residues. The program involves the National Technical University and a total of 17 partners from 8 European countries.
E.E: How do you overcome the new challenges and this more competitive environment?
MYTILINEOS: Undoubtedly, we are facing unprecedented challenges, both globally and at a national level due to energy crisis, Ukraine-Russia war and rising inflation. However, we are relying on our strategic advantages, on the tireless efforts of our people and on our dedication to our values and we remain on a stable growth path, building on solid foundations. Hence, we are confident and not only we overcome these challenges, but we also achieve the goals we have set, by ensuring the smooth operation of all our Business Units and expanding our investments.
Through insightfulness and competitive strategy, we provide a solid ground for our present and future goals.
In addition, we have taken a series of actions for safeguarding the security of supply across all the production. Furthermore, MYTILINEOS has access to competitive and flexible natural gas sources through direct contracts with global producers and suppliers, while specifically for the LNG supply, we maintain our competitive advantage, due to long-term experience and broad network of suppliers. Moreover, the gradual completion of significant investments and especially the addition of the new 826MW high efficiency CCGT plant, which will become a catalyst for securing a market share 20% level in the electricity sector, is a crucial part of our strategy.