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Darkhan Metallurgical Plant (DMP) is located in Darkhan, Mongolia, and produces steel products from reprocessing metal and steel scraps. The plant was established in 1994, employs 500 staff and has a production capacity of 100,000 tons per year. During the energy assessment it was found that the melting process in the arc furnace had frequent delays and interruptions. The company improved the procedure to monitor reasons for delays and found that poor insulation materials used for the ladles and the turnish were the main cause. Changing to using different types of insulation materials cost US$ 28000, with annual savings of US$ 21000 and a payback period of 1.3 years. Electricity consumption was reduced by 1350 MWh per year and 1300 tons of CO2 emissions.