Dmitry Duyunov on receiving the long-awaited document, serial production, and Sovelmash's prospects
Key updates
Commissioning permit obtained. This milestone concludes a nine-year journey: 3 years of construction and 6 years of approvals. Obtaining the permit means that numerous inspections have been successfully passed, and the design and engineering technology bureau is fully ready for operation and can officially operate at full scale.
Application submitted to Rosreestr for title registration. The application was filed automatically immediately after the commissioning permit was obtained. Registration will formally record the facility as the property of Sovelmash. Completion of this stage is scheduled for early August.
Serial production launched. The enterprise has transitioned from pilot assembly to the manufacture of finished products — angle grinders rated at 2,100 W, 2,300 W and 2,500 W, as well as housed and built-in motors. The first shipments have already taken place.
Coverage in national media. Sovelmash’s developments were featured on REN TV and in Izvestia.
Financial and production challenges
It is important to understand that the company is currently operating on a self-sustaining basis funded by earned revenue.
For every angle grinder sold, the company purchases materials for two units to support volume growth.
To transition to an automated production cycle, funds are required to purchase equipment.
Capacity expansion is constrained because all current inflows go either to operating expenses or to investments in production. Working capital is required for scaling.
Outlook and plans
Scaling the product line. Work is underway on a strain-wave gear reducer, which will enable compact, high-power drives for pumps, industrial drones (including heavy cargo models), robotics, and agriculture.
Energy service contracts. Dmitry Alexandrovich proposed that investors establish separate companies to implement an energy-service model: replacing a customer’s old motors with new ones with no upfront payment, while the customer pays the company only a share of the electricity saved (typically 10%). The contract term is up to 15 years, and the payback is high — by rough estimates, up to RUB 800–900 returned per ruble invested.
Sovelmash’s long-term plans — revenue from technology licensing and royalties from product manufacturing.
Want to become a co-owner of "Sovelmash" — learn more on the Roadmap.
*The translation is done with the help of artificial intelligence.