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AGENDACurrent information of the company. Overview and Profile of the industry. Challenges faced by the company.

Current information of the company Principal activity is to manufacture and market Sponge iron and Crush Iron ore Lumps. Sponge iron/Direct reduced iron is used to produce Billets and Ingots which is further processed and used in construction and infrastructure development. Major raw materials are Iron ore, Coal and Dolomite, all of which are available in and around the locality.

Process Flow Chart for Sponge Iron UnitRaw material feeding at ground hopper (Coal, Ore) Coal Crushing Over size Screening Screening Iron ore Lumps Crushing Over size

Coal Bin

Iron ore Bin

Dolomite Bin

Setting up of production of mixed raw materials for kiln feed

Processed in rotary kiln at 1000 C

Raw Materials

Iron Ore

Coal

Dolomi te

Process Flow Chart for Sponge Iron UnitRaw material feeding at ground hopper (Coal, Ore) Coal Crushing Over size Screening Screening Iron ore Lumps Crushing Over size

Coal Bin

Iron ore Bin

Dolomite Bin

Setting up of production of mixed raw materials for kiln feed

Processed in rotary kiln at 1000 C

Rotary Kiln

Contd.

Indirect cooling in rotary cooler with water spray Screening of mixed end product (Sponge iron & unburnt coal ) S.I Lumps + Dolochar S.I Fines + Dolochar

Drum type magnetic separator

Drum type magnetic separator

S.I Lumps (5mm 18mm)

Dolochar (5mm 18mm)

S.I Fines (below 5mm)

Dolochar (below 5mm)

Rotary Cooler

Contd.

Indirect cooling in rotary cooler with water spray Screening of mixed end product (Sponge iron & unburnt coal ) S.I Lumps + Dolochar S.I Fines + Dolochar

Drum type magnetic separator

Drum type magnetic separator

S.I Lumps (5mm 18mm)

Dolochar (5mm 18mm)

S.I Fines (below 5mm)

Dolochar (below 5mm)

Product Separation System

Sponge Iron

Lumps

Fines

Iron ore Crusher

Iron Ore

Lum ps

Size ore

The composition of DRICONTENTS Total Fe Metallic Fe Degree of Metallization Carbon Sulphur Phosphorous Silica % 94 95 88 90 93 95 1.2 1.0 - 1.5 0.3 0.0005 0.02 1.0 0.015 0.09 2.0

For maximum yield, the metallic iron content should be at the highest possible level with sulphur and phosphorous as low as possible.

Overview and Profile of the Industry

Nature of the industry: According to one survey by joint plant committee in 2005-06, the growth of Indian sponge iron industry has been spectacular i.e. from a production of only 10,000 tonnes in 1980, it reached a level of 1.25 million tonnes in 1991-92 & 5.44 million tonnes in 2000-01 making it the 3rd largest producer in the world that year.

Contd.

Sponge iron is the raw material for units producing long products, which indicates a greater demand for Sponge iron by these units. It is also a substitute of Steel scrap. The domestic average growth has been 21% in the last three years while the growth rate stands at 10%. India is at this point the largest producer of Sponge iron and makes more than 111 lakh tonnes p.a.

Contd.

Demand and Supply: Sponge iron industry plays a key role in development of the steel sector as per national steel policy. Sponge iron is substitute for steel melting scrap. Scrap availability is getting difficult. Therefore, steel industry has to depend heavily on sponge industry for the supply of metallic's in future.

Sponge Iron Plants Granted Consent to Establish (NOC) as on 14.12.2008 in Orissa

Challenges faced by the company Availability of high quality Raw materials. High input costs. High cost of Capital. Slowdown of economy, resulting in Demand recession. Heavy competition by different players in the market.

Human Resource Developments

Industrial Relations: Maintenance of peaceful relations with the workers in order to avoid loss of any man days.

Safety: Emphasis on safety & security of the work force in all areas. Enlighten the workers on the importance of safety to avoid accidents & develop a safe working practice environment.

Thank You