1. identification of project - welcome to...

Sunvik Steels Pvt Ltd Pre-feasibility Report

1. Identification of Project

M/s. Sunvik Steels Pvt. Ltd., is located at Village Jodidevarahalli, Taluka Sira, District Tumkur, and

Karnataka. The Company has received the Environmental Clearance for the existing Sponge Iron

Plant 90,000 TPA along with Captive Power Plant (10 MW), Induction Furnace (12 MT) and Rolling

Mill (100 TPD). Now, M/s. Sunvik Steels Pvt. Ltd., proposes for addition of the following

S. No Particulars Existing Project Proposed Expansion

1 DRI Kiln based Sponge Iron Plant 3 X 100 TPD 1 x 200 TPD

2 Induction Furnace based Steel Melting

Shop 1 X 12 TPH 1 X 500 TPD

3 Rolling Mill 1 X 100 TPD 1 X 500 TPD

4 Captive Power Plant 1 X 10 MW 1 X 5 MW & 1 X 10 MW

5 Blast Furnace NA 1 X 300 TPD

6 Tunnel Kiln NA 2 X 100 TPD

7 Iron Ore Pelletization & Beneficiation NA 1 X 2000 TPD

8 Fly-Ash Brick Plant 2000 Bricks/day 6000 Bricks/Day

9 Fly-Ash Beneficiation Plant NA 1 X 100 TPD

10 Slag Crusher & Beneficiation Plant 1 X 15 TPD 1 X 30 TPD

Table 1.a

1.1. Project Proponent

M/s Sunvik Steels Pvt. Ltd., (SSPL) was promoted in the year 2003. The company deals with the

manufacture of sponge iron and MS Billets. The production was so selected because of the vast

knowledge of the Directors in the field. The company will be run under the steward ship of,

• Mr. Sandeep M. Shishodia – Chairman

• Mr. Vivek Kumar Kejriwal – Managing Director

• Mr. Mahendra Kumar Kachhara – Director

1


All the above parameters and Directors have a vast knowledge in the field of ferrous and non-

ferrous metals, including manufacture of alloys and steel operating medium size manufacturing

units. In order to capitalize on this extensive experience, knowledge, acquaintances and expertise

of each of the above directors, the directors have all come together to form Sunvik Steels Pvt.

Ltd.

The core competency of Sunvik Steels Private Limited is to focus on making quality of steel and

making efficient deliveries to its customers. The rolling mills and the melting shops are

continuously upgraded to remain competitive with the best quality products. Further to deliver

to its customers the value added products with efficient delivery schedules M/s. Sunvik Steel

Private Limited was formed in the year 2004 having its go down at Bangalore (Karnataka).

At present there is good demand for steel products like TMT Bars (Thermally Mechanically

Treated Bars), Structural Steel items like Flat, Square, Angle, Rounds, Channels & Beams of high

strength steels, which are mainly used in building constructions and Power Transmission Lines,

etc.

1.2. Brief description of the nature of the project.

M/s. Sunvik Steels Pvt. Ltd., has 49.5 acres which is converted for industrial purpose for

establishment of Setting Up Sponge Iron Plant of 90,000 TPA along with Captive Power Plant (10

MW) , Induction Furnace (12 MT) and Rolling Mill ( 100 TPD). MoEF has issued environmental

clearance for the above said activities wide letter No: J-11011/959/2008-IA-II (I) dated 10th June

2009. The Industry proposes for establishment of the further expansion as mentioned in Table

1.a within existing premises of its unit at Sy No 59/72 Jodidevarahalli village, Kallambellla, Sira

Taluk, Tumkur District, Karnataka State and also purposes for for allotment of additional 48.4

acres of land to be sanctioned under Section 109 of the Karnataka Land Reforms Act, 1961.

2


1.3. Need for the project and its importance to the country and or region.

India’s economic growth is contingent upon the growth of the Indian steel industry. Consumption

of steel is taken to be an indicator of economic development. While steel continues to have a

stronghold in traditional sectors such as construction, housing and ground transportation, special

steels are increasingly used in engineering industries such as power generation, petrochemicals

and fertilizers. India occupies a central position on the global steel map, with the establishment

of new state-of-the-art steel mills, acquisition of global scale capacities by players, continuous

modernization and up gradation of older plants, improving energy efficiency and backward

integration into global raw material sources. Steel production in India has increased by a

compounded annual growth rate (CAGR) of 8 percent over the period 2002-03 to 2006-07. Going

forward, growth in India is projected to be higher than the world average, as the per capita

consumption of steel in India, at around 46 kg, is well below the world average (150 kg) and that

of developed countries (400 kg). Indian demand is projected to rise to 200 million tonnes by 2015.

Given the strong demand scenario, most global steel players are into a massive capacity

expansion mode, either through brownfield or Greenfield route. By 2012, the steel production

capacity in India is expected to touch 124 million tonnes and 275 million tonnes by 2020. While

Greenfield projects are slated to add 28.7 million tonnes, brownfield expansions are estimated

to add 40.5 million tonnes to the existing capacity of 55 million tonnes. Steel is manufactured as

a globally tradable product with no major trade barriers across national boundaries to be seen

currently. There is also no inherent resource related constraints which may significantly affect

production of the same or its capacity creation to respond to demand increases in the global

market. Even the government policy restrictions have been negligible worldwide and even if

there are any the same to respond to specific conditions in the market and have always been

temporary. Therefore, the industry in general and at a global level is unlikely to throw up

substantive competition issues in any national policy framework. Further, there are no natural

monopoly characteristics in steel. Therefore, one may not expect complex competition issues as

those witnessed in industries like telecom, electricity, natural gas, oil, etc.

3


1.4. Demand and supply gap

Demand for steel is high and as soon as they are processed they will be supplied to nearby

industries.

1.5. Export possibility

As the Indian steel industry has entered into a new development stage from 2007-08, riding high

on the resurgent economy and rising demand for steel. Rapid rise in production has resulted in

India becoming the 4th largest producer of crude steel and the largest producer of sponge iron

or DRI in the world. As the demand is more the export possibility of Sponge Iron will also be more.

As the demand is more the export possibility will also be more.

1.6. Domestic/export markets

While the demand for steel will continue to grow in traditional sectors such as infrastructure,

construction, housing automotive, steel tubes and pipes, consumer durables, packaging, and

ground transportation, specialized steel will be increasingly used in hi-tech engineering industries

such as power generation, petrochemicals, fertilizers, etc. The new airports and railway metro

projects will require a large amount of steel. Hence the domestic and export markets for steel

sector will rise.

1.7. Employment generation (direct and indirect) due to the project.

Estimated manpower requirement for the proposed project is 100 numbers; the total manpower

requirement for the entire plant is 200 numbers inclusive of staff and security. They will comprise

of 20 % of skilled labors, 40 % of semi- skilled labors and 40 % of unskilled labors.

4


2. Project Details

2.1. DRI Kiln based Sponge Iron Plant

2.1.1. HISTORICAL BACKGROUND

The production of steel began in ancient times; but because of the complexity and

slow speed of the ancient process, they could not be carried out on a very large scale.

Consequently, they were replaced by the high production rate ‘indirect process,’ and

the development of modern DR Process did not begin until the middle of 19th century.

Perhaps the very first patent in U.K. for sponge iron making was in 1792 presumably

using a rotary kiln. More than 100 DR processes have been invented and operated

since 1920. Most of these have died down. But some of them have re-emerged in

slightly different form.

As touched upon earlier, sponge iron is mainly produced from ore by two different

routes – (a) by reducing gases (CO and H2) in a shaft furnace, and (b) through direct

treatment with coal in a rotary kiln.

2.1.2. IMPORTANT FEATURES

The coal based rotary kiln process of making sponge iron is the focus of the present

write up. Although many different processes and process concepts have been

emerging in this area, there were rapid births and deaths of these processes and

process concepts in the middle of the twentieth century. But those operating

successfully at present have many features in common. Some of the common or

slightly differing features are:

(i) System of sealing to prevent air ingress into the reactor,

(ii) System of throwing or slinging coal from discharge end of reactor,

(iii) System of weigh feeding and proportioning of raw materials

(iv) System of introducing controlled amount of air at regular intervals of length in

such a way that it does not oxidize the reduced product in the bed,

5


(v) System of temperature sensing at regular intervals of length of the reactor and

recording of the same.

(vi) System of indirect cooling of sponge iron-char mixture in a rotary steel cylindrical

shell using water from the outside.

(vii) System of treating waste gases and maintaining desired flow profile

through pressure control.

Fig. 2.1.2.a Key steps in sponge iron making in rotary kiln

A typical process scheme for making sponge iron in a rotary kiln is presented in Fig. 2.1.2.a While

Fig. 2.1.2.a shows only the key steps, a more detailed scheme, as it would appear for a typical

operating plant.

6


2.1.3. SPONGE IRON PLANT SCHEMATIC

2.1.4. WHY SHOULD WE SELECT A ROTARY KILN?

The rotary kiln direct reduction (RKDR) processes have been looked upon with

apprehension, mainly because there have been rapid births and deaths of processes

in this group. But the fact that it has re-emerged points to certain strengths of this

process. Let us examine some of them.

7


2.1.5. Process Strengths

Rotary kiln process has to compete mainly with the shaft process of making sponge

iron and in some cases with iron making blast furnace. As compared to them, the

rotary kiln has some advantages, as also some limitations, both with respect to the

process and the product it makes. The major process strengths of rotary kiln are:

(i) A rotary kiln can mix the solid charge as it heats and reduces it. Simultaneous

mixing helps in the dilution of CO2 concentration formed around the iron

ore/sponge iron particles – which is necessary for the reduction reaction to

proceed.

(ii) As a large freeboard volume is available above the solid charge (about 85%),

the rotary kiln can tolerate heavily dust-laden gas. When the kiln is suitably

designed, it would be best suited for utilizing the Indian high ash non-cooking

coals. In shaft reactors, generation of such dust leads to choking and

channeling which leads finally to disruption of the process.

(iii) Rotary kiln can serve the dual purpose of a coal gasifier as well as an ore

reducer. Preparation of reducing gas from coal is an expensive step, which is

coming in the way of commercialization of coal gasification based DR process.

Therefore, rotary kiln DR process has proved commercially viable, even with

low productivity per unit volume, because of this capability to perform two

different functions simultaneously.

(iv) In comparison to blast furnace, the temperature of reduction of iron oxide is

much lower in rotary kiln (about 1000oC as against 1500 to 2000oC in blast

furnace). This means that much less energy is required for bringing the

reactants to the temperature of reaction.

8


2.1.6. Product Strengths

Additionally the strengths of the product made by rotary kiln are:

(i) It is easy to desulphurise iron ore while making sponge iron. Consequently the

sponge iron of much lower sulphur content can be produced as compared to

blast furnace hot metal. For shaft process of sponge iron making, prior and

meticulous de-sulphurisation of natural gas is necessary to prevent poisoning

of catalyst used for reforming.

(ii) Sponge iron produced from rotary kiln is obtained in close granular size range.

This permits charging in electric or other steel making furnaces in a continuous

manner, obviating the need for opening and closing of roof. Continuous

charging permits partial refining during melting stage as the particle passes

through the slag layer into the mixed layer. If adequate melting energy is

available, refining time, and consequently, operation time can be considerably

reduced.

9


2.2. Induction Furnace based Steel Melting Shop

2.2.1. PROCESS

An induction furnace is powered by an electrical source that is designed to deliver

high frequency alternating current, AC, at the proper frequency required to create the

electromagnetic field. The AC power is conducted through a coil of copper tubing so

that it can generate the magnetic field. Water is pumped through the coil to help keep

it cool. The molten metal in an Induction Furnace is circulated automatically by the

electromagnetic action so that when alloy additions are made, a homogeneous

product is ensured in minimum time. The time between tap and charge, the charging

time, power delays etc. Are items of utmost importance are meeting the objective of

maximum output in t/hour at a low operational cost. The process for manufacturing

steel may be broadly divided into the following stages:

2.2.1.1. Melting the Charge

The furnace is switched on, current starts flowing at a high rate and a comparatively

low voltage through the induction coils of the furnace, producing an induced magnetic

field in the central space of the coils where the crucible is located. The induced

magnetic fluxes thus generated out through the packed charge in the crucible, which

is placed centrally inside the induction coil.

As the magnetic fluxes generated out through the scraps and complete the circuit,

they generate and induce eddy current in the scrap. This induced eddy current, as it

flows through the highly resistive bath of scrap, generates tremendous heat and

melting starts. It is thus apparent that the melting rate depends primarily on two

things (1) the density of magnetic fluxes and (2) compacted of the charge. The charge

mixed arrangement has already been described. The magnetic fluxes can be

controlled by varying input of power to the furnace, especially the current and

frequency.

In a medium frequency furnace, the frequency range normally varies between 150-

10K cycles/second. This heat is developed mainly in the outer rim of the metal in the

10


charge, but is carried quickly to the center by conduction. Soon a pool of molten metal

forms at the bottom causing the charge to sink. At this point any remaining charge

mixed is added gradually. The eddy current, which is generated in the charge, has

other uses. It imparts a molten effect on the liquid steel, which is thereby stirred and

mixed and heated more homogeneously. This stirring effect is inversely proportional

to the frequency of the furnace, and so that furnace frequency is selected in

accordance with the purpose for which the furnace will be utilized.

The melting continues till all the charge is melted and the bath develops a convex

surface. However, as the convex surface is not favorable to slag treatment, the power

input is then naturally decreased to flatten the convexity and to reduce the circulation

rate when refining under a reducing slag. The reduced flow of the liquid metal

accelerates the purification reactions by constantly bringing new metal into close

contact with the slag. Before the actual reduction of steel is done, the liquid steel

which might contain some trapped oxygen is first treated with some suitable

deoxidizer. When no purification is attempted, the chief metallurgical advantages of

the process attributable to the stirring action are uniformity of the product, control

over the super heat temperature and the opportunity afforded by the conditions of

the melt to control de-oxidation through proper addition.

As soon as the charge has melted and de-oxidizing ions have ceased, any

objectionable slag is skimmed off, and the necessary alloying elements are added.

When these additives have melted and diffused through the path of the power input

may be increased to bring the temperature of metal up to the point most desirable

for pouring. The current is then turned off and the furnace is tilted for pouring into a

ladle. As soon as pouring has ceased, any slag adhering to the wall of the crucible is

crapping out and the furnace is readied for charging again.

As the furnace is equipped with a higher cover over the crucible very little oxidation

occurs during melting. Such a cover also serves to prevent cooling by radiation from

the surface heat loss and protecting the metal is unnecessary, though slags are used

11


in special cases. Another advantage of the induction furnace is that there is hardly any

melting loss compared with the arc furnace.

2.2.1.2. Ladle Teeming Practice

The molten metal from crucible taken out in a ladle by tilting the crucible and crucible

is made free for a further charge of the next batch.

2.2.2. CONTINUOUS CASTING MACHINE

(i) The molten steel from the IF or the ladle metallurgical facility is cast in a

continuous casting machine (6/11 2 stand Billet Caster) to produce cast shapes

including billets. In some processes, the cast shape is torch cut to length and

transported hot to the hot rolling mill for further processing.

(ii) The process is continuous because liquid steel is continuously poured into a

'bottomless' mailed at the same rate as a continuous steel casting is

extracted.

(iii) Before casting begins a dummy bar is used to close the bottom of the mold.

(iv) A ladle of molten steel is lifted above the casting machine and a hole in the

bottom of the ladle is opened, allowing the liquid steel to pour into the mold

to form the required shape.

(v) As the steel's outer surface solidifies in the mold, the dummy bar is slowly

withdrawn through the machine, pulling the steel with it.

(vi) Water sprays along the machine to cool/solidify the steel.

(vii) At the end of the machine, the steel is cut to the required length by gas

torches.

12


Process Flow Chart of induction furnace

Sponge iron and other materials as charge

Melting in Induction Furnace

Alloys addition

Metal transferred to the ladle

Casting in continues casting machine

Mild steel billets

13


Annual requirement of Raw Materials

Sl. No Raw materials

Description

Estimated Requirement

(Tons/Yr) for 12 MT

Proposed Requirement

(Tons/Yr) for 4 X 12

MT

1 Sponge Iron 33,600 1,34,400

2 Pig Iron/Cast Iron 4,200 16,800

3 Steel Scarps 7,000 28,000

Note: The quantities shown above are net and dry

Spilt up statement of water requirement in KLD

Sl no Details of water requirement

01 Make up water for existing 1 X 12 MT furnace 55 Kld

02 Make up water for proposed 4 X 12 MT furnace 220 Kld

03 Domestic 40 Kld

Land utilization pattern

Sl. No Facilities description Area(Acres)

1 Built up Area for Plant & Machineries (Proposed) 2 acres

2 Raw Materials & Finished Goods Storage 8 acres

5 Roads, Office Building & Parking Space 2 acres

14


BREAK-UP PROJECT COST

Sl. No Particulars Amount in Crores

1 4 X 12 MT Induction Furnace 5.00

2 Vacuum circuit Breaker 0.06

3 Transformers 1.40

4 Pumps and cooling towers 0.60

5 Civil works 0.94

Total 8.00

2.2.3. Analysis of proposal

One of the most useful and versatile material, steel is considered to be the backbone

of human civilization. As the steel industry has tremendous forward and backward

linkages in terms of material flow and income and employment generation, the

growth of an economy is closely related to the quantity of steel used by it.

Steel has been one of the oldest industrial sectors in India. It has also been the first to

get liberalized and controls lifted partially in 1991. There have been massive capacity

additions by all steel majors and several new groups made foray into primary and

secondary steel market in the first phase of liberalization in early 90s. The major costs

of the industry are the costs of iron ore, coal and power. While the country is rich in

iron ore and its quality of coal is poor and power costs are high. The industry enjoys

inherent advantages in terms of availability of raw material and cheap labour.

Finished steel is produced in the form of flat and non-flat products and is normally

available from integrated steel plants or secondary producers covering mini steel

plants and re-rollers. Bars and rounds along with structural heavy rounds belong to

the category of long products of steel and generally produced from billet/ingot in rod

mill/structural mill. These products play very significant role in the development of

both the industrial and constructional sector of the country.

15


The Indian steel industry entered into a new development stage from 2005–06,

resulting in India becoming the 5th largest producer of steel globally. Producing about

53 million tonnes (MT) of steel a year, today India accounts for a little over 7 per cent

of the world's total production.

India is the only country world over to post a positive overall growth in crude steel

production at 1.01 per cent for the January-March period of 2009. The recovery in

steel production has been aided by the improved sales performance of steel

companies.

According to a report from Barclays Capital, China and India are going to provide the

impetus for steel demand for the next few years.

Production

Steel production grew at 1.2 per cent in the January-March quarter of 2008-09 over

the same period last year. The fourth quarter saw most of the large steel companies

such as SAIL, Tata Steel, Essar and JSW operating at full capacity.

The National Steel Policy has a target for taking steel production up to 110 MT by

2019–20. Nonetheless, with the current rate of ongoing Greenfield and Brownfield

projects, the Ministry of Steel has projected India's steel capacity is expected to touch

124.06 MT by 2011–12. In fact, based on the status of Memoranda of Understanding

(MOUs) signed by the private producers with the various state governments, India's

steel capacity is likely to be 293 MT by 2020. Steel Minister, Ram Vilas Paswan, has

said that an investment worth US$ 176.49 billion is likely to go into the steel sector by

2020.

In the first 10 months of 2008-09, India's steel production went up to 46.8 MT up by

1.1 per cent from last year.

16


Consumption

India is the fifth-largest consumer of steel in the world. It consumes about 1.5 MT of

stainless steel a year with around 70 per cent accounting for kitchenware. However,

its use in railway coaches, wagons, airports, hotels and retail stores is growing

immensely. Demand for steel in India is likely to grow at around 12 per cent against

the global average of 5–6 per cent. Steel consumption grew at 3.8 per cent in the

January-March quarter of 2008-09 over the same period last year.

A Credit Suisse Group study states that India's steel consumption will continue to grow

by 16 per cent annually till 2012, fuelled by demand for construction projects worth

US$ 1 trillion. The scope for raising the total consumption of steel is huge, given that

per capita steel consumption is only 35 kg – compared to 150 kg across the world and

250 kg in China

Future demand

While the demand for steel will continue to grow in traditional sectors such as

infrastructure, construction, housing automotive, steel tubes and pipes, consumer

durables, packaging, and ground transportation, specialized steel will be increasingly

used in hi-tech engineering industries such as power generation, petrochemicals,

fertilizers, etc. The new airports and railway metro projects will require a large

amount of stainless steel.

According to an estimate, with the growing need for oil and gas transportation

infrastructure, a US$ 118 billion opportunity is waiting to be tapped by steel

manufacturers in the next five years. Indian steelmakers are set to make the most of

booming global demand for steel pipes and tubes with the government withdrawing

the 10 per cent duty on the exports of these products. According to a study by ICICI

Direct, Indian steel companies are likely to get 19 per cent of the total global demand

in the years to come.

17


2.3. Blast Furnace

Description

The proposed Blast Furnace unit has a blast furnace of capacity 100,000 MT of Hot Metal per

annum. The end product of the Blast Furnace Complex is foundry grade Pig Iron. The following

raw materials are used in the process:

Iron Ore

Coal

Dolomite

Scrap

A special feature of blast furnace process is that by using a feed of 100% Iron Ore pellets form

the Pellet Plant, 285 Tons per day of Hot Metal can be produced. For the present however,

calibrated iron ore lumps of 10 - 30 mm size will been used as feed to the furnace.

Process

The principle involved in Blast Furnace iron making is the thermo-chemical reduction of iron oxide

ore by Coke into liquid iron at around 1500 degree C. The unwanted materials are removed in

the form of liquid slag by addition of suitable fluxes. Raw materials are changed from blast

furnace top and hot air is sent up from the bottom resulting in these thermo-chemical reactions.

18


The major raw materials used in the Blast Furnace operation are Iron Ore, Coal, Steel Scrap,

Dolomite, the last being flux. The raw materials are received and stacked material wise in the

stockyard. The materials required for the day's usage are then transferred into day bunkers by

use of a conveyor system. The materials from the day bunkers are screened and weighed to the

required size and quantity in batches. The undersize materials in the screening process are

transferred into the fines bunkers for storage. The weighed batches are discharged into a

conveyor in a pre-determined sequence and are transported to the blast furnace top for charging

into the blast furnace.

The Blast Furnace top charging system is equipped with a double bell system to maintain the

blast furnace top pressure. The raw materials are evenly distributed by using a rotary chute. The

charging is carried out in batches as per a pre-determined sequence. The stock level indicator

measures the level of raw materials inside the furnace and gives feedback for charging inputs.

The entire charging system from screening to charging is fully automated.

The hot air required for the chemical reactions are blown into the furnace at an average rate of

43000 Nm3/hr by 2 HT motor driven blowers. The air before entering into the blast furnace is

heated up to 1100 degree C using 3 stoves. The stove refractory checkers, which store heat, are

heated by combustion of air and blast furnace gas inside stoves at optimum proportions. Blast

Furnace gas is a by-product the furnace and carries around 20% CO which makes it a cheap and

efficient fuel. The heat thus stored is passed onto the cold air blown by the blowers raising its

temperature to 1100 Degree C making it suitable for use in the blast furnace.

The counter current movement of blast air and raw materials facilitates the reduction reaction

of iron ore. The liquid iron (Hot Metal) produced collects at the bottom of the furnace above

which liquid slag, which is higher, is collected. Both slag and hot metal are drained out through a

top hole at regular intervals in Cast House. The hot metal is collected in 35 T capacity ladles

whereas the slag is granulated into powder form in a Slag Granulation Plant.

The Blast Furnace gas generated inside the furnace is cleaned of dust at Dust Catcher and Gas

Cleaning Plant (GCP). Gas is washed of dust in GCP by water spray and the stoves and captive

19


power plant use the cleaned gas as a cheap source of fuel. Any excess gas is bled off to the

atmosphere after flaring.

Dedicated water pumping arrangements provides cooling water for the different cooling

members inside the furnace. Cooling is essential in view of the refractory and shell life of the

furnace. Another pumping system caters to the water requirements of the GCP.

The ladles carrying hot metal are transferred to a Pig Casting Machine (PCM) using a EOT crane.

In the PCM, the hot metal is cast into 'Pig Iron'. The arrangement for this includes a double strand

casting chain. The strands are driven by an electric drive. The ladle is tilted using the EOT crane

and the hot metal is directed into the moulds by a runner system. Air-cooling and water-cooling

is provided for the casting chain. The pig iron generated by the PCM is collected in three wagons

from where it is lifted by electro-magnetic crane and transported to the pig storage yard and

stacked grade wise for dispatch to customers.

The Pig Iron thus produced is used in the Induction Furnace for producing MS Billets and also will

be sold to various customers all over India as per their specified requirements.

2.3.1. Analysis of proposal

One of the most useful and versatile material, steel is considered to be the backbone

of human civilization. As the steel industry has tremendous forward and backward

linkages in terms of material flow and income and employment generation, the

growth of an economy is closely related to the quantity of steel used by it.

Steel has been one of the oldest industrial sectors in India. It has also been the first to

get liberalized and controls lifted partially in 1991. There have been massive capacity

additions by all steel majors and several new groups made foray into primary and

secondary steel market in the first phase of liberalization in early 90s. The major costs

of the industry are the costs of iron ore, coal and power. While the country is rich in

iron ore and its quality of coal is poor and power costs are high. The industry enjoys

inherent advantages in terms of availability of raw material and cheap labour.

20


Finished steel is produced in the form of flat and non-flat products and is normally

available from integrated steel plants or secondary producers covering mini steel

plants and re-rollers. Bars and rounds along with structural heavy rounds belong to

the category of long products of steel and generally produced from billet/ingot in rod

mill/structural mill. These products play very significant role in the development of

both the industrial and constructional sector of the country.

The Indian steel industry entered into a new development stage from 2005–06,

resulting in India becoming the 5th largest producer of steel globally. Producing about

53 million tonnes (MT) of steel a year, today India accounts for a little over 7 per cent

of the world's total production.

India is the only country world over to post a positive overall growth in crude steel

production at 1.01 per cent for the January-March period of 2009. The recovery in

steel production has been aided by the improved sales performance of steel

companies.

According to a report from Barclays Capital, China and India are going to provide the

impetus for steel demand for the next few years.

Production

Steel production grew at 1.2 per cent in the January-March quarter of 2008-09 over

the same period last year. The fourth quarter saw most of the large steel companies

such as SAIL, Tata Steel, Essar and JSW operating at full capacity.

The National Steel Policy has a target for taking steel production up to 110 MT by

2019–20. Nonetheless, with the current rate of ongoing Greenfield and Brownfield

projects, the Ministry of Steel has projected India's steel capacity is expected to touch

124.06 MT by 2011–12. In fact, based on the status of Memoranda of Understanding

(MOUs) signed by the private producers with the various state governments, India's

steel capacity is likely to be 293 MT by 2020. Steel Minister, Ram Vilas Paswan, has

21


said that an investment worth US$ 176.49 billion is likely to go into the steel sector by

2020.

In the first 10 months of 2008-09, India's steel production went up to 46.8 MT up by

1.1 per cent from last year.

Consumption

India is the fifth-largest consumer of steel in the world. It consumes about 1.5 MT of

stainless steel a year with around 70 per cent accounting for kitchenware. However,

its use in railway coaches, wagons, airports, hotels and retail stores is growing

immensely. Demand for steel in India is likely to grow at around 12 per cent against

the global average of 5–6 per cent. Steel consumption grew at 3.8 per cent in the

January-March quarter of 2008-09 over the same period last year.

A Credit Suisse Group study states that India's steel consumption will continue to grow

by 16 per cent annually till 2012, fuelled by demand for construction projects worth

US$ 1 trillion. The scope for raising the total consumption of steel is huge, given that

per capita steel consumption is only 35 kg – compared to 150 kg across the world and

250 kg in China

Future demand

While the demand for steel will continue to grow in traditional sectors such as

infrastructure, construction, housing automotive, steel tubes and pipes, consumer

durables, packaging, and ground transportation, specialized steel will be increasingly

used in hi-tech engineering industries such as power generation, petrochemicals,

fertilizers, etc. The new airports and railway metro projects will require a large

amount of stainless steel.

According to an estimate, with the growing need for oil and gas transportation

infrastructure, a US$ 118 billion opportunity is waiting to be tapped by steel

22


manufacturers in the next five years. Indian steelmakers are set to make the most of

booming global demand for steel pipes and tubes with the government withdrawing

the 10 per cent duty on the exports of these products. According to a study by ICICI

Direct, Indian steel companies are likely to get 19 per cent of the total global demand

in the years to come.

23


2.4. Tunnel Kiln

2.4.1. DRI tunnel kiln equipment characteristics

It is of high efficiency, large output, energy saving and environment

protection.

Suitable for use with low added value of coal and iron ore powder.

Less labor, a high degree of mechanization, low labor intensity.

Tunnel kiln belongs to a un-high altitude, un-high temperature and un-high pressure.

The production process is safe. It is of low investment, more suitable for large and

medium-sized enterprises in construction project.

This process is suitable for mining iron powder; in general requirements for iron ore

grade is up to TFe65%~70%, as well as requirements for oxidation of iron grade is

about TFe72%, it will be able to produce direct reduction sponge iron.

The length of the kiln made by above process depends on the output size, kiln trolley

size, reduction time, raw material types, thermal system stability, easy operation and

energy saving shall also be considered.

2.4.2. DRI Process parameters and cost analysis

No. Name 30,000 T tunnel kiln

1 The length of the

kiln 150M

2 Inner width 3.3M

3 Loading height 1.8M

4 Fuel type: Producer gas or other gas

24


5

Combustion-supporting air preheated

temperature is 350 ℃(can save the

producer gas 600Nm3/h)

2.4.3. DRI Tunnel kiln main equipment

NO. Name Device configuration(includes)

1 Raw materials

processing

Iron ore powder dryer, reducing agent drier, Conveying

equipment and so on

2 Tunnel kiln

equipment

tunnel kiln steel structure parts, kiln trolley transport

system, combustion system, fan system, trolley care

system, transportation system of out of kiln and electrical

control system and so on

3 Loading system Loading and mold transporter, raw material conveying,

feeding system transmission line equipment and so on

4 Unloading system Unloading sand cleaning equipment, dust suction recovery

system, the cover, cover position equipment and so on

5 Broken cold

pressing system

Multi roll reversible conveyor , cutting machine, storage

bin, raw materials delivery machine, briquetting machine

6 Gas generating

station

30,000 MTPA DRI tunnel kiln, each is equipped with a gas

furnace, diameter is 3 meters

25


2.4.4. Main cost structure of 1ton sponge iron (TFe65%Iron ore powder as an example)

NO. the main cost form item tons of consumption

1 ore fine 1.4T

2 producer gas 900Nm³

3 power consumption 60kw

4 anthracite coal（reducing agent） 0.53T

5 limestone（reducing agent） 0.12T

6 Si C tank 12kg （ according to the cycle number

allocation）

2.4.5. DRI material balance

For example iron ore powder in 65%, 67%, 70% three magnetite and sponge iron physicochemical

index after roasting reduction:

No. Name TFe(Total iron) Impurity (Si, S, P and so on)

1 TFe65% 86.44% 10.2%

2 TFe67% 89.93% 7.46%

3 TFe70% 95.47% 3.32%

26


Iron ore powder TFe65% of 2% moisture content as an example:

1. With an annual output of 30,000 tons of DRI, it needs 42,000 tons of iron ore powder and

19,500 tons of reducing agent.

2. After reduction, the reducing agent could be used one or two times according to the

carbon content.

2.4.6. Physical properties

The raw material used are ore powder, using silicon carbide tank canning, with good reducing

atmosphere and high metallization rate, quality of DRI is good and stable. After being broken DRI

particles or powder will be pressed block then density will be increased to more than 4.0t/m3, it

can be used for steelmaking.

27


2.4.7. DRI production process flowchart

2.4.8. Brief description of new technology about DRI tunnel kiln

2.4.8.1. Efficient energy-saving heat exchanger

On the top of preheating section of kiln flue heat exchanger is arranged and in the

middle of cooling section rapid cooling /heating exchanger is arranged, hot air which

temperature is 300℃~350℃ degrees out from cooling /heating exchanger can be

used for combustion-supporting directly, it can save fuel 20%~25%, at the same time

it reduces both waste gas temperature and the temperature of cooling section.

Automatic

Tunnel

Automatic

Ash

Fracture

Storage

Magnetic

Gas furnace

The tail

Tail slag

Ore concentrate powder

Dry

Mixed ingredient

Reducing agent Desulfurizingag

Fracture

Sieve

Fracture

Sieve

Dry Dry

Pressing

28


2.4.8.2. Rational layout of the combustion system

Gas burner with multi points by small flow arrangement in the roasting section are

"goods" – type distribution which are in upper and lower dislocation, so, combustion

gas injected into the kiln can also stir air, let reduction temperature in a kiln reaches

unanimity, the maximum temperature difference is no more than plus or minus 10

degrees.

2.4.8.3. Comprehensive utilization of circulating water system

In the rear of cooling section circulating water cooling system is arranged. For further

reduce the temperature in the kiln, meanwhile the output of the hot water can meet

the various needs of the factories such as heating or bath hot water and so on.

2.4.8.4. Safe and stable trolley foot structure

Trolley foot， made by radiation type big wheel with high temperature resistant

bearing coupled with kiln trolley frame body connected with a bearing seat, run safely

and steadily.

2.4.8.5. Automated material load& unload system

It has such characteristics as simple operation, low amount of repair, a high degree of

mechanization. It improves the labor intensity of workers and operating environment

and increase the economic benefit of enterprises.

2.4.8.6. Automatic control

The electrical appliance control equipment and switch are centralized installed in the control

cabinet. In the both ends of the tunnel kiln, including the back trolley line, video surveillance

system is equipped.

Following the social economic development, it always accompanied by people’s new

technology and new process innovation. A mature innovation process should be from simple

to complex, from complexity to simplicity, the company's innovative series tunnel kilns have

29


such characteristics. Welcome friends to choose the coal based tunnel kiln equipment

suitable for your own development. It will bring investors great economic benefit and social

benefit to construct DRI tunnel kiln production line which is low investment and quick

returns.

30


2.5. Rolling Mill

2.5.1. What is TMT Process:-

By adopting thermo mechanically treatment process higher strength of TMT bars is

obtained. In this process, steel bars get intensive cooling immediately after rolling.

When the temperature is suddenly reduced to make surface layer hard, the internal

core is hot at the same time. Due to further cooling in atmosphere and heat from the

core, the tempering takes place. This process is expected to improve properties such as

yield strength, ductility and toughness of TMT bars. With above properties, TMT steel

is highly economical and safe for use. TMT steel bars are more corrosion resistant than

Tor steel.

2.5.2. What are TMT Steel Bars:-

The full form of TMT is Thermo Mechanical Treatment; in this the steel bars are passed

through a specially designed water-cooling system. After the bars pass, the outer

surface of the bars solidifies while the core remains hot. This creates a temperature

gradient in the bars. After the intensive cooling, the bar is exposed to air and the core

re-heats the quenched surface layer by conduction, therefore tempering the external

martensite. When the bars are taken out of the cooling system, the heat flows from the

core to the outer surface, further tempering of the bars, which helps them attain higher

yield strength. The resulting heat-treated structure imparts superior strength and

toughness to the bars. Cooling process is illustrated below:

31


The pre-determined cooling of the bar periphery transforms the peripheral structure to

martensite and then annealed through the heat available at the core. The peripheral

and core temperature difference finally equalizes at around 600 degree C and the

resultant bar structure is of tempered martensite at the periphery and of fine-grained

ferritepearlite at the core. Generally speaking, the resultant soft core forms about 65-

75 per cent of the area (depending upon the desired minimum yield strength) and the

rest is the hardened periphery. The equalizing temperature together with the final

rolling temperature is the most important parameter to achieve the required

mechanical properties. Finally, when the bar is discharged on to the Cooling Beds, the

remaining austenite transforms into a very fine-grained pearlite structure.

32


After this process of thermo mechanical treatment, a dark etched peripheral rim of tempered

martensite and a grey core of ferrite pearlite get formed. The tempered martensite surface layer

is very hard while the microstructure of the core is a very fine-grained ferrite and pearlite which

is quite soft. The result is a structure with a high yield strength combined with high ductility.

Hence from the above data it is seen that the sudden quenching is the key role in hardening the

steel bars. The pressure of the water jets on the hot molten bars determines the thickness of the

martensite structure and is controlled for the required hardness.

2.5.3. Advantages of TMT Bars:-

Better Safety of structures: because of higher Strength combined with higher Ductility.

Easy working at site: owing to better Ductility and Bendability. Pre-welded meshes can be made

to eliminate manual binding at site. Reduces construction and fabrication time.

33


Resists fire: Unlike Tor steel/ CTD Reinforcement bars, TMT bars have high thermal stability. They

are the preferred choice when elevated temperatures of 400-6000 C may be encountered

(Chimneys, fires).

Resists corrosion: The TMT process gives the bar superior strength and anti- corrosive properties.

Controlled water-cooling prevents the formation of coarse carbides, which has been cited as the

main cause for the corrosive nature of common bar.

Another reason for better corrosion resistance is the absence of surface stresses caused by the

cold twisting process.

Formability: Due to very high elongation values and consistent properties through out the length

of bar, TMT rebars have excellent workability and bendability.

Earthquake resistance: The soft ferrite-pearlite core enables the bar to bear dynamic and seismic

loading. TMT bars have high fatigue resistance to Dynamic/ Seismic loads due to its higher

ductility quality. This makes them most suitable for use in earthquake prone areas.

Malleability: TMT bars are most preferred because of their flexible nature

Fine welding features: TMT rebars (having low carbon content) can be used for butt and other

weld joints without reduction in strength at the weld joints.

Bonding strength: External ribs running across the entire length of the TMT bar give superior

bonding strength between the bar and the concrete. Fulfils Bond requirements as per IS: 456/78

and IS: 1786/85.

Cost-effective: A high tensile strength and better elongation value gives you great savings,

Reduced Transportation Costs.

2.5.4. What is Heat treatment:-

Metals can be heat treated to alter the properties of strength, ductility, toughness, hardness or

resistance to corrosion. Common heat treatment processes include annealing, precipitation

strengthening, quenching, and tempering. The annealing process softens the metal by allowing

recovery of cold work and grain growth. Quenching can be used to harden alloy steels, or in

34


precipitation hardenable alloys, to trap dissolved solute atoms in solution. Tempering will cause

the dissolved alloying elements to precipitate, or in the case of quenched steels, improve impact

strength and ductile properties.

The schematic shown above there are different stages in the manufacturing of the TMT bars. It

shows stage by stage development from the raw material and gradually how the finished product

is emerged.

These stages adopted here are a universal sequence to manufacture the TMT bars and is followed

in general practice. This is the best way to attain the finished products using the equipment

efficiently. Now let us briefly explain every stage in the process. Note that every stage brings the

35


raw material closer to the final product and any miscalculation in any stage or occurrence of

breakdown will result in loss of raw materials, wastage of power and delay in production. Hence

every process is equally important. Now let us have a brief insight stage wise.

Now the first stage is handling the ingots and billets. They are the raw materials for the TMT bars.

They are unloaded from the truck and placed in stacks and are in line with the next batch ready

to be processed further. Various color coding is already done based on their type. They are always

placed in order as to reduce lead time. There are few minor differences between ingots and

billets which will be later discussed in greater detail. The ingots then fed into the furnace and are

softened to a red hot ingot which is later on fed into the roughing mill which considerably

decreases the diameter of the ingot and gradually brings it closer to the final required diameter

and then leading its way to the intermediate mill to further decrease the diameter. Finally the

finishing mill comes into play where the final dimensions are obtained. Note that the rod is still

red hot after emerging from the finishing mill and enters into the TMT quenching box where the

pressure of water is set and the rod is hardened. In the final stage the rod is placed on the cooling

bed and then at last they are stacked together and are ready for dispatch. Thus this brief

summary gives us a proper foundation how the TMT bars are manufactured.

2.5.5. RAW MATERIALS

The raw materials used in production of TMT bars is in-house Billets.

The ingots and billets are almost similar but billets have better finish and there is less chance of

blow holes being present inside within. The final product obtained by using billets have better

finish when compared to the ingots.

Billets are more refined raw material which has less chance of blow holes and smooth surface

finish.

36


Billets have no standard color coding or a standard ratio. They are entirely made as on order. But

after manufacturing the billets are supplied with a Heat number (a test certificate) which

elaborates the ratios of metals used and order size. The dimensions of billets are almost similar

to the ingot. The cross section area of a billet is: 125.Average mass per length 3.1kg per inch in

length

After quality testing, the ingots are ready to be fed in the furnace. It is necessary for the ingots

to have a high temperature for the rolling process through the rollers. This is where the furnace

comes to play. The ingots are fed into the furnace wherein they are constantly heated for 4 hours.

The material, on exit is suitable to undergo Rolling. The furnace generates heat energy by the

combustion of coal gas, which is produced in a coal gas plant located nearby.

The furnace has three processes:-

• Feeding

• Heating

• Ejection

The feeding of the raw material into the furnace is done with the help of conveyer rollers. The

ingots are placed on the conveyer rollers manually; tongs are used in the positioning onto the

conveyor system, which transports the raw material to the feeding bed. Once the ingots are

stacked one after the other on the feeding bed, they are pushed into the pre-heating chamber of

the furnace with a mechanism which consists of a worm gear pushing the ingots into the furnace.

This mechanism is also controlled manually by a person due to discontinuity in feeding.

The Heating Chamber or furnace is the chamber where the ingots are made molten, which makes

it feasible to pass it through the rollers. The furnace is a fuel consuming chamber which works on

coal gas. The furnace has a total of 8 burners. There is a preheating zone, which leads to the

intermediate zone ultimately leading to the final zone.

The gas plant is where the coal gas is produced. There is a pipeline system which leads the gas to

the burners. The peak temperature in the furnace goes up to 1200˚C. The gas is streamlined to

37


vary the temperature. Lot of precaution is taken as there is immense heat in proximity to the

furnace.

The furnace interior is made of refractory bricks to withstand the high temperatures. There are

also certain doors at the side for inspection during maintenance. There is another controller near

the exit of the furnace to guide the red hot ingots outside of the furnace and position them onto

the rollers; leading them to the rolling mill.

After heating, the ingot is ready for the roughing mill. Authorized personnel are stationed at

various nodal points to navigate the heated raw material from the Furnace to the Roughing

mill. The exit door is opened by the person who removes the ingot.

Just after the ingot comes out of the furnace it is slowly led to the roughing mill. The roughing

mill is the first mill among the three mills present there. The mills are operated with a high

capacity motor. There is a gear reduction of ratio 1:6 to provide the necessary torque required

for rolling. The roughing mill is where there is very slight elongation and gradually decreases in

diameter and this is the main function of the roughing mill. There are three sets of rollers present

in the roughing mill.

The single motor shaft is transmitted to three shafts through the distributer. The sequence of the

alignment of the motor, couplings, bearings are as shown in the figure below.

Here is the order of the layout of the roughing mill. “C” stands for coupling and “B” stands for

bearing. While entering the first set of the roughing mill it roles at about seven times at the same

roller in different slots.

38


The different slots are shown in diag.2 which are the gray parts and the molten ingot passes

through these slots and then manually put back into the next slot and after 7 times in the first

set of rollers it moves through the guide way which leads it to the second set of rollers and again

leading it through the third roller and then the roughing mill is over.

The roughing mill is where most of the elongation is done and the area cross section gradually

decreases and the length increases. But the ingot is still in the molten state and it continuously

moves on to the next rollers through the guide ways.

The motor used for the roughing mill has a capacity of 800HP. Enough power has to be produced

to as the shaft power has to be divided among three shafts.

After passing through the roughing mill, the rod is led into the Intermediate mill. It should be

observed that, there is a considerable decrease of the size of the rod after passing through the

Roughing mill. The main function of the Intermediate mill is to prepare the specimen for the

finishing mill.

39


This is the sequence of the intermediate mill. There is a speed increaser placed as shown. This

facilitates for the smooth movement of the rod as the motor is incapable of giving the entire push

to the rod. The speed increaser is placed wherever more thrust is required.

The finishing mill is the main roller where the required dimension is obtained. The rollers are

made with precision and in such a way that the exact dimension can be obtained. Quality is of

great importance, since the manufactured products are graded and approved by the ISI. This

gives the company an edge over its competitors. The finishing mill also facilitates for the brand

imprint to be put onto the rod.

40


2.6. Captive Power Plant

2.6.1. Introduction :

M/s Sunvik Steels Pvt Ltd (SSPL) has in operation at Bangalore a CPP of 10 MW comprising of

three 10 TPH WHRB and one 25 TPH AFBC Cheema Boilers (67ata and 485oC) and Triveni TG as

major equipment. SSPL is planning to install a 200TPD Sponge Iron (SI) kiln in their existing plant

in order to increase the production capacity and expand the Power Plant Capacity by 5 MW

through a 20 TPH WHRB to meet the Steel Plant Power requirement in total.

2.6.2. Description of the expansion plan of power plant :

Waste heat recovery boiler steam parameters will be 20TPH, 67ata and 485oC with a feed water

inlet temperature of 150oC. The flue gas temperature from the SI kiln/ WHRB inlet is considered

to be in the order of 850-950oC. The flue gas temperature at the outlet of WHRB will be in the

order of 180-190oC. The waste heat recovery boiler system includes radiant chamber, super-

heater, attemperator, evaporator, economizer, de-aerator, boiler feed pump, steam and feed

water piping as required, electrical and instrumentation, etc. ESP, ID fan and chimney of SI kiln

will be used for WHRB also.

Steam and feed water side interconnection between the proposed power plant and existing

power plant will be provided for operational flexibilities.

Steam turbine will be of 5MW with single bleed cum condensing type. Bleed steam will be utilized

for de-aeration of feed water. Steam parameters at the inlet of steam turbine will be 64ata and

480oC. The exhaust steam pressure will be 0.22ata. Power generation for 20TPH steam will be

4.7 MW (approx.).

Air Cooled Condenser is considered for the project and possibilities of expansion of the existing

three cell ACC would be reviewed by addition of more cells.

Existing WTP scheme will be studied in detail and suitably augmented to meet the additional

makeup water requirement for proposed WHRB based power plant.

41


Auxiliary cooling tower will be added for the proposed power plant for turbine oil cooler,

generator air cooler, BFP and sample coolers. Approximate cooling water capacity will be

325m3/hr.

Addition of Electrical equipment such as transformers, Distribution Panels, MCC / PCC etc would

be reviewed if can be accommodated suitably in the existing Electrical and Control room and

existing DCS would be suitably augmented and integrated with the proposed CPP. Ventilation

and Air conditioning as required in the Control Room and VFD room will be augmented.

Air compressor capacity would be reviewed for adequacy to meet the instrument and service air

requirements and will be suitably augmented for the proposed power plant.

Power house can be extended suitably to accommodate the 5 MW TG along with auxiliaries

keeping the provision for maintenance bay and EOT crane as existing.

Balance of plant pumps like ACW pump, cooling tower makeup water pumps, DM water makeup

pump will be provided in the WHRB power plant.

Balance of plant piping like instrument air piping, cooling water piping, DM water piping, etc as

required will be provided.

2.6.3. Tentative Capital Outlay :

The tentative Plant and Equipment Cost without interest during construction will be in the order

of Rs.22 Crores based on the following assumptions. Detailed workings would be done and

provided in DPR.

1. 5 MW TG and 20 TPH WHRB along with auxiliaries. Rs.10.0 Cr.

2. ACC addition along with auxiliaries. Rs. 2.5 Cr.

3. Electrical and Instrumentation augmentation Rs. 3.0 Cr.

4. Civil works for the additional facilities Rs. 3.5 Cr.

5. All other auxiliary facilities as indicated above Rs. 3.0 Cr.

42


As it is evident, the above cost is exclusive of preliminary and preoperative costs, know-how /

Consultants’ fee, all financial expenses, contingency, etc.

2.6.4. Conclusion :

With regard to returns due to addition of the 5 MW Power Generation through additional WHRB,

present cash outflow towards Power Import to an extent of about 4 MW can be saved and fuel

cost for AFBC can be controlled by use of the additional Dolochar from new SI kiln and steam load

also can be adjusted keeping the WHRB load (50 TPH) to the maximum.

43


2.7. Beneficiation, Pelletization of Waste Dumps and/or Low Grade Iron Ore

2.7.1. Plant Process can be defined in 2 distinct stages

Stage 1 Beneficiation

When Waste Dump or Low Grade Iron Ore (Fe content 50%-55%) is upgraded/ pulverized

through combined process of Cleaning and Grinding. Ore is upgraded to +64% Fe, through

Washing, Gravity and Magnetic separation.

Stage 2 Pelletization

Pulverized Ore after Beneficiation, known as Concentrate, are made into balls of required

size, passes through a defined heating and cooling processes.

2.7.2. Raw Material

Waste Dump or Low Grade Iron Ore Fe content range 50% to 55%

2.7.3. Additives

Primary additive is Bentonite, Other additives Dolomite/Lime, Non-coking Coal of Calorific

value 6,200 Kcal/kg min, Ash 12% max

2.7.4. Quantitative Requirement

Waste Dump/Low Grade Ore 1.2 Million Tons

Bentonite 4,800 Tons

Dolomite/Limestone 12,000 Tons

Non-Coking Coal 24,000 Tons

2.7.5. Output

Iron Ore Pellets, Fe content + 63%, for direct input to Sponge Iron Plants and Blast Furnaces

(Plant can be set to produce both sizes of pellets, either 5mm - 18mm, suited to Sponge Plants

or 10mm - 30mm, suited to Blast Furnaces)

44


2.7.6. Power

Connected Load approx. 15 MW

2.7.7. Water

60 m3/Hour or 1 Million Litres/Day

2.7.8. Project Cost

206.80 Crores

2.7.9. HIGHLIGHTS OF THE PROJECT

2.7.9.1. STRENGTHS

Demand Supply Gap

Downstream Processing Units, primarily Sponge Iron Plants are starving tor raw material,

as ores extracted in this sector are soft and need to be processed to make is suitable for

use.

Availability of Raw Material – Waste dumps

Raw material will be the Waste Dumps (low grade fines)

2.7.9.2. BENEFITS

Our proposed project is uniquely poised in terms of catering to two requirements:

• Utilizing Waste Dump or Low grade Ore which are already stock piled or will be

generated in future,

• Feeding much needed Raw Material to Downward Processing Plants, be it Sponge Iron

or Blast Furnaces.

In fact, our plant is ideally poised to conform to the objectives laid down in Karnataka Mining

Policy of 2008, primarily

• Utilization of Indigenous Iron Ore Fines, more specifically Beneficiation of Low Grade Ores

45


• To Maximize Value Addition of Ores in the State, within the State, thus encouraging

maximum Investments/ Revenue Generation in Downstream Industries

• Priority to establishments proposing Industries for Value Addition in the vicinity of mining

areas

• Last, but not the least, Utilization of Mine Wastes to Minimize the Impact on Environment

46


2.8. Fly-Ash Bricks Plant

2.8.1. Introduction

Pulverized fuel ash commonly known as fly ash is a useful by-product from thermal power

stations using pulverized coal as fuel and has considerable pozzolonic activity. This national

resource has been gainfully utilized for manufacture of pulverized fuel ash-lime blocks as a

supplement to common burnt clay buildings blocks leading to conservation of natural

resources and improvement in environment quality.

Pulverized fuel ash-lime blocks are obtained from materials consisting of pulverized fuel ash

in major quantity, lime and an accelerator acting as a catalyst. Pulverized fuel ash-lime blocks

are generally manufactured by intergrading blending various raw materials are then moulded

into blocks and subjected to curing cycles at different temperatures and pressures. On

occasion as and when required, crushed bottom fuel ash or sand is also used in the

composition of the raw material. Crushed bottom fuel ash or sand is also used in the

composition as a coarser material to control water absorption in the final product. Pulverized

fuel ash reacts with lime in presence of moisture from a calcium hydrate which is a binder

material. Thus pulverized fuel ash - lime in presence of moisture form a calcium - silicate

hydrate which is binder material. Thus pulverized fuel ash - lime brick is a chemically ended

blocks. These blocks are suitable for use in masonry construction just like common burnt clay

blocks. Production of pulverized fuel ash-lime blocks has already started in the country and it

is expected that this standard would encourage production and use on mass scale. This stand

lays down the essential requirements of pulverized fuel ash blocks so as to achieve uniformity

in the manufacture of such blocks.

2.8.2. Market Demand

180 billion tons of common burnt clay blocks are consumed annually approximately 340

billion tons of clay- about 5000 acres of top layer of soil dug out for blocks manufacture, soil

erosion, emission from coal burning or fire woods which causes deforestation are the serious

problems posed by brick industry. The above problems can be reduced some extent by using

47


fly ash blocks in dwelling units. Demand for dwelling units likely to raise to 80 million units by

year 2015 for lower middle and low income groups, involving an estimated investment Of

$670 billion, according to the Associated chamber of commerce and industry. Demand for

dwelling units will further grow to 90 million by 2020, which would requires a minimum

investment of $890billion. The Indian housing sector at present faces a shortage of 20million

dwelling units for its lower middle and low income groups which will witness a spurt of about

22.5million dwelling units by the end of Tenth plan period. There is ample scope for fly ash

brick and block units.

In Bangalore alone 1 crore blocks are required for constructional activities in every day. But

good quality of blocks as well as required quantity are not available moreover during the rainy

seasons supply of clay blocks are very difficult. Therefore, in order to fulfill the required

demand there will be a great chance to start more units in the field of fly-ash blocks.

2.8.3. Raw Materials

Fly-Ash:

Fly Ash is the inorganic mineral residue obtained after burning of coal in the boilers. Fly Ash is

that portion of ash which is collected from the hoppers of ESP's and pond ash is collected from

the ash ponds. Bottom ash is that portion of ash which can be collected from the bottom portion

of the boilers. The characteristics of fly ash depend upon the quality of coal and the efficiency of

boilers. Fly-ash from our in-house power plant will be used.

Cement:

Cement of 53 grade will be used.

Bed Material:

Bed Material from our in-house facility will be used as a substitute for lime.

M-Sand:

Slag from our Induction Furnaces will be processed in the Slag Crushing and beneficiation unit to

form M-sand which is an excellent substitute for river sand.

48


2.8.4. Manufacturing Process

Fly ash (70%), Bed Material (10%), cement (5%) and M-sand (15%) are manually feed into a pan

mixer where water is added to the required proportion for homogeneous mixing. The proportion

of raw material may vary depending upon quality of raw materials. After mixing, the mixture are

allowed to belt conveyor through feed in to automatic block making machine where the blocks

are pressed automatically. Then the blocks/ blocks are placed on wooden pallets and kept as it is

for two days there-after transported to open area where they are water cured for 10 -15 days.

The blocks are sorted and tested before dispatch.

2.8.5. Inspection and Quality Control

The Bureau of Indian Standards has formulated and published the specifications for maintaining

quality of product and testing purpose. IS: 12894:2002. Compressive strength achievable: 60-250

Kg/Cm Sq. Water absorption: 5 - 12 %; Density: 1.5 gm/cc Co-efficient of softening depending

upon water consistency factor) Unlike conventional clay blocks fly ash blocks have high affinity

to cement mortar though it has smooth surface, due to the crystal growth between brick and the

cement mortar the joint will become stronger and in due course of time it will become monolithic

and the strength will be consistent.

49


2.9. Fly-Ash Beneficiation Plant

Fly Ash is the inorganic mineral residue obtained after burning of coal in the boilers. Fly Ash is

that portion of ash which is collected from the hoppers of ESP's and pond ash is collected from

the ash ponds. Bottom ash is that portion of ash which can be collected from the bottom portion

of the boilers. The characteristics of fly ash depend upon the quality of coal and the efficiency of

boilers.

It consists of organic mineral constituents of coal and organic matter which are not fully burnt.

The ash particles are collected from the flue gas by electrostatic precipitators, and the gases are

released in the atmosphere. Fly-ash is generally grey in colour, abrasive, acidic, refractory in

nature and consists of unburned carbon, magnetite, cenospheres and alumina materials. Various

Studies have proved beyond doubt that the ash material has intrinsic properties to emerge as a

valuable raw material for high wear resistant ceramic tiles, foam insulation products, light weight

refractories, fly ash metal composites/ash alloys, continuous casting powders for steel plants,

castable synthetic wood, railway sleepers, distemper, domestic cleaning powder, ceramic fibre,

mosaic titles or glazed facing tiles, fire abatement materials, adsorbent for toxic organics, oil well

cement, fire bricks, mineral wool and decorative glass.

2.9.1. Formation and composition of coal fly ash

Fly ash is the principal product of transformation of mineral impurities present in coal after its

combustion in pulverised fuel furnaces. The coal inert fraction, mainly formed by quartz, mullite,

pheldspates, pyrite, and carbonate, typically ranges between 6 and 12 % of the fuel weight.

During the thermal process it melts at the higher furnace temperatures (1400-1500°C) and a

small part of it falls in the bottom of the boiler producing the so-called bottom ash. The main part

is instead dragged by the exhausted gas stream, cooling quickly, and solidify in the form of small

vitreous spherical particles, which form the fly ash. Fly ash is separated by the fumes by means

of electrostatic precipitators and collected in the hoppers beneath. Evacuated pneumatically and

stocked dried in silos, fly ash is then transported by trucks or shipped to its different destinations

of reuse. With particle diameters mainly between 1 and 100 μm, fly ash appears like a fine grey

powder, which fineness compares to that of cements. Its chemical composition is characterised

50


by the presence of high contents of silica, alumina and ferrous oxides in an amorphous phase,

and can be considered equivalent to that of a volcanic pozzolana.

2.9.2. Beneficiation Process

The material is fed into the thin gap between two parallel planar electrodes. The particles are

triboelectrically charged by interparticle contact. The Positively charged carbon and the

negatively charged mineral are attracted to opposite electrodes. The particles are then swept up

by a continuous moving belt and conveyed in opposite directions.

The Process is entirely dry and requires no additional material other than fly-ash and produces

no waste water or air emissions. The recovered material consists of fly ash reduced in carbon

content (LOI) to levels suitable for use as a pozzolanic admixture in concrete.

51


2.9.3. Recovered fuel value of high-carbon fly-ash

In addition to the production of a controlled-LOI fly-ash for use in ready-mixed concrete, this

process also recovers a stream enriched in carbon. The reburning of high-LOI fly ash in utility

boiler is a relatively simple method of utilizing this concentrated unburned carbon(UBC).

Furthermore, recovery of residual energy contained in the high-carbon fly ash increased the value

of the beneficiation process directly to the power plant operation in the form of reduced fuel

costs.

52


2.10. Slag Crusher & Beneficiation Plant

2.10.1. Brief introduction of steel slag processing production line:

Steel slag iron separation equipment researched and developed by our company is of high

efficiency. Steelmaking in steel works, the residue flowing out contains iron, the second recycling

uses crane to pour the liquid slag of slag ladle with layering onto the slag bed ( or slag pit ), spray

a proper amount of water to make the high-temperature slag quench fragmentate and accelerate

cooling, and then excavate and loading with loading machine, electric shovel and other

equipment mining loading, then ship it to the residue field. Those needs processing and

utilization is transported to the steel slag treatment room for fabrication processing such as

crushing, grinding, grading, magnetic separation.

2.10.2. Steel slag iron separation processes:

Disc splash water ( ISC method)

In a steel slag workshop, set elevated splash slag plate, use the crane to splash liquid steel slag

inside slag ladle into the slag plate. The slag layer is generally 30-120mm thick, then sprayed with

proper amount of water to quench cracking.

Overturn the slag in the slag car, drive the car to the pool water cooling, unload the slag to the

tank for further cooling. Residual particle size is generally 5 - 100mm, finally grab it out with grab

bucket and then load in the car, send to slag processing workshop, crush from large to small

pieces, get into the ball mill for grinding, when up to a certain degree, with mortar pump beat

them into the high-frequency screen, sieve, sieved material gets into the magnetic separator for

magnetic separation, those not on the magnetic into the re-election, shaker and the spiral chute

separate, the grade can reach above 64%, three times of recycle into steel steelmaking.

53


Steel slag water quenching process

Hot melt slag in the outflow, falling process, segment and shatter by pressure water. Slag meets

water and rupture because of stress concentration from quenching shrinkage, and granulate the

slag. As slag has higher basicity and viscosity than blast furnace slag, difficulty of water quenching

is big. In order to prevent the explosion, some use slag pot hole, adopt method of water

quenching of the water slag groove and limit the maximum flow rate through the aperture of slag

ladle slag.

Wind quenching method

Slag ladle receives slag and transport it to the air quenching device, tip slag ladle, slag flows out

via intermediate tank, blown and scattered by the air a special nozzle blows, crushed into

particles, in bell type boiler recycle high-temperature air and the heat slag particles emit and trap

slag particles. After air quenching particles turn into the converter slag can be used as building

materials; the medium temperature steam generated by the boiler can be used for drying and

oxidizing the iron sheet.

2.10.3. Steel slag powder processing

As slag contains free CaO of no tables, when processing converter steel slag with steam of l00 ℃

and 0.2-0.3MPa pressure, its volume increases by 23% to 87%, powder ratio of steel slag less than

0.3mm is up to 50% -80%.Without changing the main mineral phase composition in the slag, it

eliminates uncombined CaO, improves the stability of the steel slag. This treatment process can

significantly reduce broken steel slag processing capacity as well as reducing the wear of the

equipment.

54


3. Annual requirement of Raw Materials for Entire Project

Sl. No Raw materials Description Quantity in MT

1 Iron Ore Lumps 4,90,000

2 Coal 4,50,000

3 Coke 1,00,000

4 Limestone 5,00,000

5 Dolomite 14,000

6 Sponge Iron 1,00,000

7 Pig Iron 75,000

8 Steel Scrap 21,000

9 MS Billets 2,31,000

10 Fly-Ash 26,520

11 Processed Slag 8,750

12 Cement 4,900

13 Low Grade Iron Ore Fines 12,00,000

14 Slag 21,000

4. Overall water requirement

Sl no Details of water requirement Quantity in KLD

1 DRI Based Sponge Iron Kiln 60

2 Induction Furnace 220

3 Rolling Mill 30

4 Captive Power Plant 120

5 Blast Furnace 400

6 Tunnel Kiln 60

7 Iron ore Pelletization & Beneficiation 40

8 Fly-Ash Brick Plant 50

55


9 Fly-Ash Beneficiation Plant 10

10 Slag Crushing & Beneficiation Plant 10

5. Overall Power Requirement

Sl no Particulars Quantity in MW

1 DRI Based Sponge Iron Kiln 0.4

2 Induction Furnace 22.0

3 Rolling Mill 3.0

4 Captive Power Plant 1.5

5 Blast Furnace 4.0

6 Tunnel Kiln 0.5

7 Iron ore Pelletization & Beneficiation 15

8 Fly-Ash Brick Plant 0.6

9 Fly-Ash Beneficiation Plant 0.5

10 Slag Crushing & Beneficiation Plant 0.2

6. Overall Land utilization pattern

Sl no Particulars Quantity in Acres



3 Rolling Mill 3.0


5 Blast Furnace 5.0

6 Tunnel Kiln 5.0

7 Iron ore Pelletization & Beneficiation 5.0


56




7. OVERALL PROJECT COST

Sl no Particulars Amount in Crores



3 Rolling Mill 12.00


5 Blast Furnace 140.00

6 Tunnel Kiln 45.00

7 Iron ore Pelletization & Beneficiation 207.00




11 Land Cost 02.50

TOTAL 550.00

57

1. identification of project - welcome to...

Documents