Luhanskteplovoz
Encyclopedia
Luhanskteplovoz earlier known as Voroshilovgrad Locomotive works is a large industrial company in Luhansk
Luhansk
Luhansk also known as Lugansk is a city in southeastern Ukraine. It is the administrative center of the Luhansk Oblast . The city itself is also designated as its own separate municipality within the oblast...

, Ukraine
Ukraine
Ukraine is a country in Eastern Europe. It has an area of 603,628 km², making it the second largest contiguous country on the European continent, after Russia...

, manufacturing locomotives, multiple unit
Multiple unit
The term multiple unit or MU is used to describe a self-propelled carriages capable of coupling with other units of the same or similar type and still being controlled from one driving cab. The term is commonly used to denote passenger trainsets consisting of more than one carriage...

 trains (both electric
Electric multiple unit
An electric multiple unit or EMU is a multiple unit train consisting of self-propelled carriages, using electricity as the motive power. An EMU requires no separate locomotive, as electric traction motors are incorporated within one or a number of the carriages...

 and diesel
Diesel multiple unit
A diesel multiple unit or DMU is a multiple unit train consisting of multiple carriages powered by one or more on-board diesel engines. They may also be referred to as a railcar or railmotor, depending on country.-Design:...

) as well as other heavy equipment.

The company was founded in 1896 as Russischen Maschinenbaugesellschaft Hartmann in Luhansk and renamed Lokomotive factory Octoberrevolution (after the October Revolution
October Revolution
The October Revolution , also known as the Great October Socialist Revolution , Red October, the October Uprising or the Bolshevik Revolution, was a political revolution and a part of the Russian Revolution of 1917...

) in 1918 following the Russian revolution.

In the second half of the twentieth century the plant produced thousands of the well known 'M62' and DR Class 130 (TE109)
DR Class 130 family
The DR 130 family of locomotives comprises the DR Class 130 , DR Class 131 , DR Class 132 and DR Class 142 .They were produced in the Soviet Union in Lugansk,...

 ("ludmillas") diesel electric locomotives for eastern European Soviet Bloc countries.

1896 to 1995

The plant was founed in 1896 by Gustav Hartmann,Son of Richard Hartmann
Richard Hartmann
Richard Hartmann was a German engineering manufacturer.- Life :Richard Hartmann was born on 8 November 1809 in Barr, Bas-Rhin, the son of a tawer . In his Alsace homeland he learnt the trade of a toolmaker...

; also an industrialist
the first locomotive being produced in 1900; by 1906 the factory's output was comparable to the two major locomotive production centres in Russia at that time : the Bryansk works and the Putilov works. Between 1928 and 1933 the works was expanded and production of the powerful 2-10-2 locomotives of the FD class
Steam locomotive FD
The russian locomotive class FD FD from Felix Dzerzhinsky, russian: ФД from Феликс Дзержинский was a soviet russian main freight steam locomotive type. Between 1932 to 1942 years 3213 locomotives were built.- History :...

 (ФД)Named after Felix Dzerzhinsky (Феликс Дзержинский) and 2-8-4 configuration IS class
Locomotive IS
The russian steam locomotive class IS was a Soviet passenger steam locomotive type. The contract design was prepared in 1929 at the Kolomna factory. The IS were manufactured between 1932 and 1942.-Overview:The steam locomotive was a 2-8-4...

 (ИС)Named after Joseph Stalin
Joseph Stalin
Joseph Vissarionovich Stalin was the Premier of the Soviet Union from 6 May 1941 to 5 March 1953. He was among the Bolshevik revolutionaries who brought about the October Revolution and had held the position of first General Secretary of the Communist Party of the Soviet Union's Central Committee...

 (Iosif Stalin)
began.

During the second world war work switched to military production, the plant being evacuated twice in the course of the war. By 1945 locomotive production has resumed with SO class (CO)Named after Grigol (Sergo) Orjonikidze
Grigoriy Ordzhonikidze
Grigol Ordzhonikidze ორჯონიკიძე - Grigol Orjonikidze, , generally known as Sergo Ordzhonikidze ; – February 18, 1937) was a Georgian Bolshevik, later member of the CPSU Politburo and close friend to Joseph Stalin...

 (Серго Орджоникидзе)


In 1956 steam locomotive production ceased; over 12,000 steam locomotives having been produced, and the plant was converted to the production of locomotives powered by diesel engines by 1957

Initially diesel machines using hydraulic transmissions TG101, TG102, TG105, TG106 (ТГ101, ТГ102, ТГ105, ТГ106)Cyrillic : "T" indicates Тепловоз "Diesel-locomotive", "Г" гидропередачей - "hydraulic transmission" were produced, though eventually electrical (DC) tranmissions became the norm on Russian railways, such as mainline locomotive type 2TE10L (2ТЭ10Л)Cyrillic : "T" indicates Тепловоз "Diesel-locomotive" , "E" Электричество - "electricity" and its variants, which started production at Lugansk in 1962, eventually more than 12,000 units had been produced. In 1965 the first M62 locomotive was produced at the plant.

In 1967 the TE109 (ТЭ109) locomotive was created; using an AC/DC electrical transmission,Electricity produced as alternating current (AC) by an alternator
Alternator
An alternator is an electromechanical device that converts mechanical energy to electrical energy in the form of alternating current.Most alternators use a rotating magnetic field but linear alternators are occasionally used...

, and then rectified
Rectifier
A rectifier is an electrical device that converts alternating current , which periodically reverses direction, to direct current , which flows in only one direction. The process is known as rectification...

 to direct current (DC) to supply DC motors
which formed the basis for a successful series of locomotives, better known in western Europe by the standard gauge (1435mm) version : DR Class 130 and variants
DR Class 130 family
The DR 130 family of locomotives comprises the DR Class 130 , DR Class 131 , DR Class 132 and DR Class 142 .They were produced in the Soviet Union in Lugansk,...

. Later products included the high powered TE121 (2ТЭ121) and variants introduced 1977, and working experiments in AC traction TE120 and 2TE127 (ТЭ120 and 2ТЭ127), and liquified gas powered locos 2TE10G and 2TE116GThe prefix "2" indicates two units permanently coupled, G (Г) indicates 'gas' (Газ) (2ТЭ10Г and 2ТЭ116Г) - the latter based on the 2TE116
2TE116
The 2TE116 is a broad gauge double diesel locomotive manufactured by Luhanskteplovoz, used extensively to haul heavy freight trains in the Soviet Union and its successor states, particularly by RZD....

 diesel.

In the late 1970s the plant was expanded and a record of over 100 locomotive units produced per month was achieved in the 1980s. Later in the 1990s mining machinery and urban transit rolling stock became part of the factories portfolio. With the breakup of the Soviet union the plant became the property of the Ukrainian state and in 1995 the state holding company Luhanskteplovoz was created.

1995 onwards

Since 1997 the plants has started production of diesel multiple units such as DAL-01 (ДЕЛ-01), DEL-02 (ДЭЛ-02), DPL1 (ДПЛ1) and DPL2 (ДПЛ1), electric multiple units EPL2T (ЕПЛ2Т) and EPL9T (ЕПЛ9Т) as well as passenger diesel locomotive TE114I (ТЕ114І) (designed for desert conditions)

Privatisation

After becoming part of state owned property following Ukrainian independence the process of privatising the company put under consideration in 2005, in 2006 potential shareholders were OJSC Demikhovsky Machine-Building Plant, DniproVagonMash
DniproVagonMash
Dniprovagonmash or Dneprovagonmash is a rail freight rolling stock manufacturer based in Ukraine.-Products and customers:...

, OJSC Marganets Ore Mining and Processing Enterprise, CJSC Management company Bryansk Machine-Building Plant. Of the bidders only two: Bryansk machine building and Demikhovsky machine building were selected as suitable; both being part of the Transmashholding
Transmashholding
CJSC Transmashholding is the largest manufacturer of locomotives and rail equipment in Russia, with annual sales of US$3.2 billion and a workforce of 55,000 people in 2008. The company includes 14 engineering and production sites in Russia and one production and engineering site in...

 group of companies. The successful buyer was Bryansk machine building plant, offering 292.5 million Ukrainian hryvnia
Ukrainian hryvnia
The hryvnia, sometimes hryvnya or grivna ; sign: ₴, code: , has been the national currency of Ukraine since September 2, 1996. The hryvnia is subdivided into 100 kopiyok. In medieval times, it was a currency of Kievan Rus'....

 ($58) for a 76% stake; this was only 0.5 million more than the bidding auction starting price. Analysts at the time valued the asset at $200 million.

The then president Viktor Yushchenko
Viktor Yushchenko
Viktor Andriyovych Yushchenko is a former President of Ukraine. He took office on January 23, 2005, following a period of popular unrest known as the Orange Revolution...

 believed that the Ukrainian people had be defrauded, with the business being sold for a fraction of its true worth. The then prime minister Yulia Tymoshenko
Yulia Tymoshenko
Yulia Volodymyrivna Tymoshenko , née Grigyan , born 27 November 1960, is a Ukrainian politician. She was the Prime Minister of Ukraine from 24 January to 8 September 2005, and again from 18 December 2007 to 4 March 2010. She placed third in Forbes Magazine's List of The World's 100 Most Powerful...

 also called for a review of the privatisation of Luhanskteplovoz along with two other enterprises Dniproenergo
Dniproenergo
Dniproenergo is a major electric and thermal energy producing companies in central Ukraine.It is a subsidiary of the NAK Energy Company of Ukraine . The company has an installed capacity of 8,185 MW that represents around 16% of the country's total installed capacity....

 and Nikopol Ferroalloy Plant
Nikopol Ferroalloy Plant
Nikopol Ferroalloy Plant is a producer of Manganese Ferroalloy and related material located in Ukraine.-Background:The plant is one of the largest global producers of manganese alloys, and is situated in the Dnepropetrovsk region of Ukraine, close to large manganese ore deposits...

. and BYuT MPs petitioned the Prosecutor General's Office for criminal proceedings to take place concerning alleged criminal activity by the heads of the State Property Fund

The sale was ruled illegal in 2008. From uncertainty over the eventual status of Luhansteplovoz is said to have prevented the then owners Transmashholding from making further investments in the plant. Since the ruling the decision has been challenged by the State Property fund

It was expected that the company would be attempted to be re-privatised included in the 2008 privatisation scheme, but instead the auction process started March 2010. Again analysts stated the starting price set by the Ukrainian government was once again surprisingly low at $50 million; while the company's stock market value was estimated at $127 million.

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