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IRON & STEEL REVIEW

July 2009

Union Budget FY10: FM does a tight rope walking

SAIL receives nod to own mines in Chiria, Jharkhand
Public sector undertaking Steel Authority of India Ltd (SAIL), the country’s largest steel producer, could soon acquire four pending mining leases in Chiria iron ore mines of Jharkhand, union steel minister Virbhadra Singh said in his recent statement to the press.

SAIL plans to consume more domestic coal
India’s steel behemoth SAIL plants, according to a tentative plan prepared so far are to consume more domestic coal in 2009-10 compared with 2008-09 said in a recent report to the press.

Bhilai Steel Plant targets higher output for 2009-10
Steel Authority of India Limited’s Bhilai Steel Plant has set higher production targets for hot metal, crude steel and saleable steel for 2009-10 according to the latest report.

According to BSP sources, the production of hot metal is targeted at 5.8 million tonne up from 5.39 million tonne in 2008-09, crude steel at 5.53 million tonne and saleable steel at 4.77 million tonne. They also said, “Operating above rated capacity in saleable steel for 16th successive year and surpassing the 5 million tonne mark in hot metal and crude steel production for the third time, BSP recorded its best ever production in 2008-09.”

VIEWPOINT
Union Budget FY10: FM does a tight rope walking
Reaction on the Union Budget FY 10 as presented by FM Pranab Mukherjee on July 6 last has been mixed from various corners of the industry with very little remarks going in his favour and more of the view that this has been a ‘do nothing’ budget. Although the FM in his suffice rightly and strongly pointed out, in his first TV appearance immediately after the budget presentation, that any FM at this juncture would present a similar budget as there were certain compulsions which needed to be taken into consideration as a responsible FM of the country.

COVER STORY
ESSAR - Changing the rules of the game
For Saurabh Sharma, who runs a fabrication unit in Bhopal, the Essar Hypermart has eased supply worries. Since steel accounts for a significant portion of his operating costs, maintaining large inventories was simply not an option for his small business. However, buying steel for his projects at periodic intervals from the open market was becoming a taxing pursuit. Although he was frustrated by the conniving machinations and unpredictable & ambiguous prices of the product he had little recourse with him. To add to his woes he would never get his desired material, if the material was available it was of inferior quality, if the quality was fine on time deliveries were a problem seldom the quality and price of his material met his needs.

FOCUS
The 100 day Agenda - Immediate action plan taken up by the Ministry of Steel in India – a report
One of the initial priorities is to accelerate the pace of steel capacity addition projects in the country, both in the public and private sectors. The government will make all endeavours to see that the steel production capacity 124 MT, as projected by the year 2011-12, is realized by way of policy facilitation and vigorous coordination efforts with the concerned state governments and the central ministries. A key priority in the current year will be to expedite green field and brown field capacity expansion, already in various stages of progress.

CIL sets firm target upon increasing output
Escalating prices of raw materials in the face of the difficult times had always bugged the government with constant fear of widespread inflation and its drastic aftermath, as a result of which from time to time the government has introduced various price bands to reduce price volatility as a potent step towards minimizing inflation. The issue of price band is though still a matter of debate among the industry circle and the government.

STEEL TECHNOLOGY
Features of Steel Wire Rods Used for Valve Springs
Valve springs for automobile engines are required to have high reliability with regard to fatigue. In this paper, the effects of defects such as non-metallic inclusions, surface flaws and decarburization of fatigue property of Cr-Si shot-peened oil-tempered wires with a tensile strength of around 1900 Mpa and some special measures to minimize these defects are described. For example, the fatigue life increases as the size of non-metallic inclusions decreases. Even the comparative shallow depth of surface flaws and decarburization that occur during processes such as patenting, descaling, drawing and oil-tempering affects the fatigue property. Furthermore, as the measure to minimize these influences of the defects, the effects of compressive residual stress applied by shot-peening are described concerning spring fatigue property. The fatigue life increases as compressive residual stress increases due to preventing crack propagation from the surface.

Environment aspects & role of plastics & FRP in rolling mills & processing lines
As we march ahead in the new century, a sense of concern for the environment has been growing among us. Strict enforcement by regulatory bodies is helping the cause of environmental protection. However this has also led to many manufacturing companies setting up equipments for the pollution control.

SGS Technologies main business line is Burners & Combustion Systems Business
Some of the prestigious and first of its kind, work done in the Industry includes :
Replacing the 2000 Kw connected load for Heating of Pipe Annealing furnace by HSD/ KEROSENE fired Recuperative Radiant tube burners:

A process heating consumption of 280 Kw/ Ton was replaced by 40 Liters/ Hr use of HSD to achieve the required uniformity at 930 Deg C annealing furnace at major ERW tube producer in INDIA. Eventual use of W Radiant tube in place of U Radiant tube reduced the capital cost by 40 % and achieved lower fuel consumptions. Through various OEM's this was repeated at many plants.

Coatings for line pipe applications
High pressure pipelines are worldwide the most common means for gas and other petroleum fluid transportation. During service, the line pipes are surrounded by several corroding media and hence are always used in anticorrosive coated condition. Different types of coatings are available for such applications. Multi-Layer Polyolefin Pipe Coating is at present the most widely adopted coating as it present the most widely adopted coating as it offers excellent performance under a wide range of temperature and other service conditions. Different versions of multilayer polyolefin coatings have been developed suiting to varying requirements of the service conditions. Different technologies for applying the polyolefin coating layers have also been developed. Rourkela Steel Plant has recently installed a Three Layer Polyethylene Pipe Coating Plant within their premises to coat the pipes produced through their pipe plants.

STEEL INTERNATIONAL
X-Cast® continuous slab caster successfully commissioned by SMS Siemag AG
China Steel Corporation (CSC), Taiwan, has successfully commissioned a two-strand continuous slab caster in cooperation with SMS Siemag, a company of the SMS group, Germany. The facility, erected at the Kaohsiung location, is designed for a maximum casting speed of 2.2 m/min and used for producing an annual 2.6 million t of steel slabs in the gages 230 and 250 mm.

LY Steel orders a heavy dividing shear line
LY Steel (Lian Yuan Iron and Steel Group), China, has placed an order with SMS Siemag, a company of the SMS group, Germany, for the supply of a heavy dividing shear line (Fig. 1). The line will be used for cutting hot coils of high material strength into plates and for leveling these so as to obtain a high-quality, flat and smooth end product. Commissioning of the dividing shear line is scheduled for spring 2011.

High-speed chain-track drawing of steel bars
To calibrate hot-rolled steel in coil format, coil-to-bar drawing lines traditionally make use of a reciprocating carriage pulling system to pull the rolled material through a drawing die. The carriages are driven by means of a rotating cam that engages the lower supports of the carriage.

STEEL PLANT
Enhancement of BOF productivity through modification of hot metal transfer ladle lining at Durgapur Steel Plant
Durgapur Steel Plant (DSP) a unit of SAIL is an integrated steel plant of 2 MT capacities being upgraded to 3MT. It has a BOF shop having 3 x 110/130 ton BOF converter and Bloom and Billet caster machines. There are 5 nos. of hot metal transfer ladle of capacity 140 ton, and out of which generally 1 or 2 nos. of ladle are used at a time for carrying hot metal from Mixer to BOF. The newly relined ladles are capable of transferring 140 T hot metal but its capacity gradually reduces due to mouth jam and bottom build up resulting in increased tare weight from initial 38-40 Ton to as high as 58-61 Ton. After a life of 100-110 heats, the ladle capacity reduces to about 125 Ton and the ladle is declared down for jam removal and refractory repair/maintenance.

REFRACTORY
Advances in lining of secondary steel ladles in India and microstructural studies of slag line refractories
The clean steelmaking demands adoption of secondary steelmaking processes coupled with continuous casting of steels in the operating plants. The processing steel ladles are, therefore, subjected to longer residence time, higher tapping temperature of steels from BOF, besides severity in operating conditions of ladle for inert gas purging from bottom and alloying of steel for adherence to quality of end products.

ADVERTISEMENT FEATURE
EMG Strip Guiding Systems for CR-Flat Products ensures quality & safety during continuous strip processing
Quality of metal strip during continuous strip processing is one of the key factors in finished products like automotive, white goods etc. Strip guiding systems not only ensure the safety of equipment but also maintain overall strip quality by avoiding lateral shift in various process lines such as Pickling lines, Cold Rolling mills, Electro Cleaning lines, Coating lines like CGL, CCL etc.

ROLLING TECHNOLOGY
SLIT Rolling Technology in Bar Mills Capacity 400,000 Tons/Annum
The KAMACHI GROUP of Chennai, India has currently got a new steel mill under construction in the State of Tamil Nadu. M/s RANA UDYOG PRIVATE LTD of Calcutta working in co-operation with MWE Magdeburger Walzwerk Engineering GmbH have been awarded a contract for the design, manufacture, supply, erection & commissioning of the bar mill with a design capacity of 400,000 Tons/Year. The production programme covers rolling of reinforcing steel in sizes between 8mm and 40mm. The unique feature of this plant is the adoption of latest State of the Art "SLIT TECHNOLOGY" for the first time in India in private sector.

PRESS CONFERENCE
An overview on the Annual Report Press Conference of SMS Group in Düsseldorf on June 17, 2009 presented by Dr. Heinrich Weiss, Chairman of the Managing Board of SMS GmbH, Düsseldorf, Germany
SMS group’s business year ends on December 31. Now the company is already in the middle of business year 2009. That gives one a better opportunity than to comment in detail on the current situation in the industry and the company. First of all, a report on the past business year 2008 up to the middle of the year, when the economic crisis started to bite, SMS enjoyed a further increase in order intake. Business Areas SMS Siemag and SMS Meer were able to continue the positive development of recent years and once again improve on the high level of order intake and sales booked in the previous year. Similarly, profits also increased.

IRON MAKING
Recycling residues into metals
A combination of the PRIMUS® pyrometallurgical process and a hydrometallurgical process makes it possible to recover valuable elements from steelmaking process residues which would normally be dumped in landfill. Iron is recovered as pig iron and zinc is recovered as high purity zinc or as zinc alloy. Other elements are recovered in a stable slag suitable for road construction or as saleable by-products such as Pb-Ag concentrate.

FACE TO FACE
We believe steel market can only be expanded by making steel available to small consumers
Essar Steel Hypermart has taken an initiative to help small and medium Enterprise with the best quality material with the ease of accessibility. We intend to cater these needs through a Pan-India presence, Transparent pricing, Immediate delivery and above all trust of quality. We at ESSAR HYPERMART call it as “3-S” (Sahi quality, Sahi price, Sahi delivery). Our vision is to service each and every possible customer. We plan to accomplish this by creating stock points at every 200Km and touch points at every 100Km. ESSAR HYPERMART is both a case of diversification and integration. Though our current Business model is of forward integration, going forward we have planned to diversify in terms of our product range which would include non steel and allied products.

Essar Steel pioneered the concept of steel retailing targeted to SME requirements
We have a focus of reaching to every district and town of India where steel is consumed. Essar Hypermarts – Expressmart programme is one such step in this direction. These are exclusive hypermart outlets owned and operated by channel partners. We have already initiated our channel partners drive in these places and soon we would have out foot print across every steel consumption point.

COMPANY NEWS
Shot blasting in steel industries
The purpose of this article is to make the users more aware about the shot blasting equipment as well as its design, construction and maintenance. Effective maintenance will improve the finish of components shot blasted. It will also reduce operating cost, which is approximately 18 to 20 paise/kg depending upon power, abrasives, spare parts and labour cost in different states.

Long sustained growth in the labyrinth
According to the recent assessments, experts view that the domestic coke making – mainly met coke – industry, the most important supporting industry to all the heavy metals industries, is actually showing up in India amidst the nose wide gap between the demand and the supply created by the ugly economic meltdown, which almost crushed the production of the industries to a huge extent and also led to the closure of many small and sunrise industries.

allmineral Asia - complete mineral beneficiation solutions for India & S.E. Asia.
In order to provide complete mineral beneficiation solutions to the Indian as well as South-East Asian market, a new company, allmineral Asia Pvt. Ltd has been formed on 11th June-09, which is a joint venture company between allmineral GmbH & Co. KG, Germany and Jyotirmoyee International Pvt. Ltd.

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