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American Zinc Recycling & Befsa Join Hands for Waste Recycling

Leading provider of environmental services to the US steel industry American Zinc Recycling LLC announced that Luxembourg based Befesa SA will acquire 100% of its recycling assets for USD 450 million. Additionally, Befesa will invest USD 10 million for a minority stake in AZR’s downstream refining operation in Rutherford County in North Carolina American Zinc Products, forming a joint venture with the current ownership. The transaction will create a global leader in hazardous waste recycling services, enabling the circular economy within the steel and aluminum industries. The combined company will include all employees in AZR’s recycling business, and will operate under the Befesa name. The transaction increases Befesa’s total steel dust recycling capacity by 40% to 1.7 million tons across 12 facilities evenly spread through Europe, Asia and the United States. Combining with AZR will provide Befesa with its first North America operation and a significant and well developed presence in the growing EAF steelmaking markets in United States.

AZP’s zinc refining operation will be a joint venture between Befesa and the existing AZR shareholders, whereby Befesa may eventually acquire 100% of AZP pursuant to call and put options tied to certain operational and financial milestones through December 31, 2023. AZP employees will remain with the joint venture.

The vertical integration strategy of AZR and AZP will remain in place through a series of 3-year commercial contracts or until Befesa achieves 100% ownership of AZP. The Rutherford County facility produces Special High Grade and Continuous Galvanizing Grade high purity zinc metal using recycled steel mill dust. This EAF dust is processed at the AZR recycling facilities, and then further treated through the combined modern solvent extraction and electrowinning technologies of AZP, enabling the circular economy.

The transaction is expected to close in Q3 2021, subject to regulatory approvals and other customary closing conditions.

BMO Capital Markets acted as financial advisor to AZR in connection with the transaction and Akin Gump Strauss Hauer & Feld LLP acted as legal advisor to AZR in connection with the transaction.

Source - Strategic Research Institute
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Primetals Gets FAC for Mold Expert Systems from Tangshan Plate

Tangshan Heavy Plate issued Primetals Technologies with the Final Acceptance Certificate in March 2021 for three Mold Expert systems for the continuous casters at the Laoting plant in the Tangshan region of China. The new systems have been installed to increase efficiency even more in the prevention of breakouts on the continuous casters and cut the amount of maintenance work. Reducing the frequency of breakouts will also help to lower production costs. Primetals Technologies China commissioned the new systems on site with online support from experts at Primetals Technologies Austria. Despite travel restrictions, the project was realized within just three months. Before the order was placed, Primetals Technologies ran and supported a six-month test installation on one of the casters.

Tangshan Heavy Plate has invested in three Mold Expert systems for its existing continuous casters at the Laoting plant in Tangshan in China. The new solutions from Primetals Technologies have been installed to increase system availability at the Laoting plant and reduce the amount of time spent on maintenance by issuing prompt alerts. Apart from preventing breakouts, the system also transmits alerts in the event of abnormal casting conditions and evaluates the behavior and distribution of the mold powder. Continuous recording of information and experiences in the Mold Expert system results in more efficient prevention of breakouts in real-time operation, thus avoiding high costs for repairs and production outages. The system provides data for process optimization and supports the operator in his work. The software can be easily scaled to meet the customer's specific needs.

In the standard configuration, each Mold Expert system is deployed with one computer for measuring tasks and a separate client PC. However, to fulfil the customer's wishes and requirements in this specific project, a particularly "slim-line" version of the system was implemented with the entire software installed on just one computer in the operator room for each continuous caster.

Source - Strategic Research Institute
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ArcelorMittal North America Holding, a wholly owned subsidiary of ArcelorMittal SA (‘ArcelorMittal’ or ‘the Company’) announces today the conclusion of the sale of its remaining 38.2 million common shares in Cleveland-Cliffs Inc. (‘Cleveland-Cliffs’).

The value crystalized from this sale of Cleveland-Cliffs common shares* will be returned to shareholders via a new $750 million share buyback program of ArcelorMittal common shares. This new share buyback program will commence immediately and follows the previous buyback program which is now complete.

The disposal of the remaining common shares in Cleveland Cliffs brings the total cash proceeds from the sale of ArcelorMittal USA to $1.9 billion so far, all of which will have been returned to ArcelorMittal shareholders via share buybacks.

ArcelorMittal North America Holdings LLC continues to hold non-voting preferred stock redeemable at Cleveland-Cliffs’ option for approximately 58 million common shares or cash equivalent to the value of such common shares.

*equivalent to approximately $20 per common share.

corporate.arcelormittal.com/media/pre...
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JFE Shoji Corporation Opens Service Ceneter in Mexico

JFE Shoji Corporation’s JFE Shoji Steel Service Center Bajio has started the operation of the plant located in Silao at Guanajato in Mexico to supply its products to the automotive industry in Mexico which is going to expand as a production base for vehicles destinated for the United States. JFE Shoji Steel Service Center Bajio has the capability of processing ultra-high strength steel and exposed steel panels for automobiles and will collaborate with NUCOR-JFE Steel Mexico, a joint venture between JFE Steel Corporation and Nucor Corporation for manufacturing steel products for automotive industry located adjacent to JSSB, to add value to NJSM products with steel processing.

JFE Shoji will fully utilize the expertise accumulated though the operation of steel service centers in Japan, China, Thailand and Indonesia in collaboration with JFE Steel’s manufacturing plants for steel products for automobiles and will respond to the customers’ requirements through stable supply and the provision of various services, with the greatest attention paid to safety and quality.

Form of business: Processing and sales of steel products

Facility: Big slitter machine capable of processing ultra-high strength steel

Thickness range: 0.4~3.6mm, Max

Width: 1,880mm

TS max: 1,470Mpa

Source - Strategic Research Institute
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Salzgitter Raises Earning Forecast for Financial Year 2021

German steelmaker’s Salzgitter Group raises its earnings forecast for the financial year 2021; positive business development further reinforced. It said “After an encouraging start to the year, accompanied by a dynamic increase in rolled steel prices, the European steel market continued its uptrend in the months that followed. Given the better-than-recently expected earnings situation, above all in the Trading Business Unit, we are raising our earnings forecast for the financial year 2021 once more, conditionally on the assumption of a stable market development in spite of the latent coronavirus crisis.”

It said “We now anticipate a pretax profit of between EUR 400 million and EUR 600 million (Previously: between EUR 300 million and EUR 400 million) for the Salzgitter Group.”

Source - Strategic Research Institute
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Construction Association Urges Mr Biden to End Section 232 Tarrifs

US’s Construction Association has called on US President Mr Joe Biden to immediately end tariffs and quotas on steel, aluminum, and lumber as first step to easing pressure on construction costs and supply chain bottlenecks. According to an analysis by the Associated General Contractors of America of government data, the cost of goods and services used in construction climbed by a record-setting 4.3% in May and 24.3% over the past 12 months, jeopardizing contractors’ solvency and construction workers’ employment. Association’s Chief Economist Mr Ken Simonson said “The increase in producer prices for construction materials over the past year far outstrips contractors’ ability to charge more for projects. That gap means contractors are being hit with huge costs that they did not anticipate and cannot pass on.”

Meanwhile, the producer price index for new nonresidential construction, a measure of what contractors say they would charge to erect five types of nonresidential buildings, rose only 2.8% over the past 12 months, as contractors held their profit expectations down in order to compete for a limited number of new projects.

Items with especially steep price increases over the past year covered a wide range of materials, including products made from wood, steel, metals, plastics, and gypsum.

Source - Strategic Research Institute
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Nucor Expects Record Quarterly Earnings in the Second Quarter

US steel maker Nucor Corporation has announced guidance for its second quarter ending July 3, 2021. Nucor expects second quarter earnings to be in the range of USD 4.60 to USD 4.70 per diluted share. Second quarter of 2021 earnings are expected to be the highest quarterly earnings in Nucor history, surpassing the previous record set in the first quarter of 2021 of USD 3.10 per diluted share. Included in the second quarter of 2021 guidance range is an estimated USD 42 million non-cash impairment charge related to our leasehold interest in unproved oil and natural gas properties.

All three operating segments are continuing to generate robust profitability as overall strong demand is supporting higher average selling prices. Earnings of the steel mills segment are expected to improve in the second quarter of 2021 as compared to the first quarter of 2021, primarily driven by the significant increase in profitability of our sheet and plate mills. The steel products segment's earnings in the second quarter of 2021 are also expected to increase from the first quarter of 2021. After setting a new record for segment earnings in the first quarter of 2021, earnings from the raw materials segment are expected to decrease in the second quarter of 2021.

Nucor said “We believe that these strong market conditions will continue in the third quarter. The profitability of the steel products segment is expected to significantly improve as compared to the second quarter, and we expect increased earnings from the steel mills segment in the third quarter as well.”

Source - Strategic Research Institute
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NLMK Contributes to Worldsteel’s Global Decarbonization Program

Russian steel maker NLMK Group has been exploring potential avenues for cutting CO2 emissions as part of World Steel Association’s Step Up decarbonization programme. NLMK Group joined the Step Up programme in 2020. Together with Worldsteel experts, NLMK is developing measures to increase equipment productivity, decrease resource consumption, improve raw material quality, and boost the reliability of production processes. These measures are aimed at reaching global best practice levels in lowering GHG emissions.

NLMK Group has already made significant progress in reducing its CO2 emissions to become a global industry leader by level of emissions per tonne of product. Over the last five years, NLMK Group reduced its CO2 emissions per tonne of product (steel and pig iron for third-party sales) by 4%, from 1.98 tonnes in 2016 to 1.90 in 2020, while increasing its output. The Company’s 2023 target is to cut emissions by a further 3% to 1.84 tonnes.

Source - Strategic Research Institute
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Tata Tiscon Rebar Brand Receives CII GreenPro Certification

Tata Steel has become the first Indian steel company to receive the GreenPro Certification for rebars, which enables the end users to make an informed choice about buying steel having the lowest environmental impact. Tata Steel Vice President Steel Marketing & Sales Mr Peeyush Gupta said “GreenPro Ecolabel for rebars is a significant milestone in our endeavour to create sustainable products for building homes and infrastructure. Our R&D, Technology and Manufacturing teams have developed steel products with an environment friendly footprint. We are proud to announce that all the rebar manufacturing units connected with Tata Steel are GreenPro certified.”

Earlier this year, Tata Steel collaborated with CII Green Business Centre (nd other relevant stakeholders, to develop a GreenPro framework for steel rebars. It helped in setting up the country’s first type 1 eco-label – GreenPro Standard for Steel Rebars.

Steel rebars are used in multiple industries and extensively used for construction including home building. Green buildings are critical for future growth and development where the GreenPro certified rebars will have a notable impact in reducing the environment footprint.

GreenPro is a type 1 eco-label by CII GBC for building materials and it is recognised in IGBC Green Building Rating System. Builders who are opting for green building rating system will now be able to benefit from using Tata Tiscon rebars in their construction. The objective of the GreenPro eco-labelling programme is to promote sustainable products in the building sector.

Tata Tiscon is the fifth product of Tata Steel to receive the GreenPro certification. The four products of the Company which received the GreenPro certification earlier include GGBS (Ground Granulated Blast Furnace Slag), Tata Pravesh (Steel Doors & Windows), Tata Pipes (Steel Pipes) and Tata Structura (Structural Steel Sections).

Source - Strategic Research Institute
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Hoa Phat Develops Wire Rods for Fastners

Viatnamese steel maker Hoa Phat Dung Quat Steel Joint Stock Company has researched and successfully produced SWRCH22A carbon steel wire rod to replace imported goods for large scale screws production. From the first quarter of the year, Hoa Phat has produced SAE1022 steel wire for fastner production in the southern region. The group’s technicans have improved production methods to produce the high quality SWRCH22A carbon steel wire following JIS standard. According to the assessment of mechanical enterprises in Binh Duong Province, Hoa Phat's SWRCH22A wire has good quality, meeting the standards of manufacturing nails with higher requirements.

The steel wire rods have a diameter of 5.5-16 mm, ensuring ASTM standards and JIS with special mechanical properties.

The raw material demand for the fastner production is on average of 30,000-40,000 tonnes per month. The demand has been increased rapidly.

Source - Strategic Research Institute
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Severfield Reports GBP 441 Million Structural Steel Order Book

UK based leading structural steel group Severfield plc has announced its results for the 12 month period ended 31 March 2021. Severfield Chief Executive Officer Mr Alan Dunsmore said “The Group’s strategy to build a balanced business, with geographic, sector and client diversity, has facilitated not only revenue growth of around 30 per cent over the last three years but has also provided us with resilience during the pandemic. Our strong balance sheet and ability to generate cash has enabled us to continue to invest in our operations and in strategic acquisitions, such as DAM Structures. We have an established platform for further operational and strategic progress in the year ahead and with the current order book levels and pipeline activity, have the capacity to deliver enhanced shareholder returns in the future.”

Highlights

1. Revenue up 11% to GBP 363.3 million (2020: GBP 327.4 million)

2. Underlying profit before tax of GBP 24.3 million (2020: GBP 28.6 million), demonstrates resilience of the Group against COVID-19 backdrop

3. Acquisition of DAM Structures, an innovative steel fabrication company, giving the Group immediate access to attractive, complementary market sectors with strong growth potential including the propping, railway and steel piling markets

4. Over 100 projects undertaken during the year in the UK, Ireland and continental Europe in diverse market sectors including industrial and distribution, data centres, nuclear and commercial offices

5. UK and Europe order book of GBP 301 million at 1 June 2021 (1 November 2020: GBP 287 million), including GBP 18 million

7. India order book of GBP 140 million at 1 June 2021 (1 November 2020: GBP 98 million. India output currently being disrupted by ongoing second wave of COVID-19, step up in order book, strong pipeline and existing client relationships leave JSW Severfield Structures Ltd very well positioned once current COVID-19 issues subside

Source - Strategic Research Institute
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MMK Remained Committed to Energy Saving in Q1 of 2021

Magnitogorsk Iron and Steel Works has recently summarised the results of its energy saving programme and energy efficiency improvement in Q1 of 2021. In accordance with MMK CEO Pavel Shilyaev's directive 'On the approval of the Energy Saving and Energy Efficiency Improvement Programme for 2021', 47 measures aimed at saving electricity, fuel, drinking and service water, heat and air separation products were planned for Q1 2021. 97.9% of the measures for Q1 2021 were implemented.

The economic effect from the implementation of measures to reduce energy resource consumption at MMK and its subsidiaries amounted to about RUB 6.7 million per year. In Q1 2021, it was possible to reduce electricity consumption by more than 740 thousand kWh in annual terms, thereby saving RUB 2.86 million. The main activities included replacement of incandescent light bulbs with LED lamps, modernisation of lighting systems, decommissioning and replacement of energy-intensive equipment and more. In addition, the energy saving programme has made it possible to save 826 tonnes of fuel worth the equivalent of about RUB 3 million, 665 Gcal of heat energy and 130 thousand cubic metres of compressed air and air separation products. Service water savings amounted to almost 640 thousand cubic metres.

As MMK CEO Pavel Shilyaev noted, saving energy resources not only has a significant economic effect, but is also of great environmental importance due to the reduction of the technogenic load on the environment: 'By improving energy efficiency and upgrading our production facilities, we intend to drastically reduce our pollutant emissions, achieving an increase in the efficiency of our energy policy and demonstrating our commitment to the principles of ESG.'

Source - Strategic Research Institute
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Arkan Names KPMG as Advisor to Study Emirates Steel Merger

Leading construction and building materials company in the UAE Arkan Building Materials Company has appointed KPMG as independent valuer and White & Case as legal advisor to review the merger offer submitted last month by General Holding Corporation (Senaat), part of ADQ, with its wholly owned subsidiary, Emirates Steel Industries. Arkan said its board of directors will refer to the valuation work of KPMG along with work done by other advisors in assessing the proposed offer before making a recommendation to shareholders.

The key terms of Senaat’s offer are to transfer Emirates Steel to Arkan in consideration of the issuance by Arkan to Senaat of a convertible instrument. Upon closing of the transaction, the convertible instrument would automatically convert into 5.1 billion ordinary shares at a fixed price of AED0.798 per share in Arkan’s capital. When applied to Senaat’s valuation of Emirates Steel, the offer implies an equity value for Arkan of approximately AED1.4 billion. Post completion, Senaat would own 87.5% of the entire issued share capital of the combined group.

Source - Strategic Research Institute
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Hyperion Secures Rights to GSD Technology for 3D Printing

Charlotte North Carolina based Hyperion has secured the exclusive rights to the patented Granulation-Sintering-Deoxygenation technology developed by Dr Z Zak Fang for producing zero carbon, low-cost spherical titanium powders. GSD offers major advantages in the production of spherical titanium for use in 3D printing, including

1. Production of titanium and titanium alloy powders with low oxygen, controllable particle size and excellent flowability

2. Higher manufacturing yields than current processes, leading to significantly lower costs

3. Energy efficient process leading to a zero carbon process when coupled with renewable power

4. Ability to utilize lower cost and sustainable feedstocks including recycled titanium metal powders/scrap or HAMR titanium powders

The combination of producing titanium metal via the HAMR process is followed by the production of titanium spherical powders via the GSD process has the potential to substantially reduce the total cost of titanium powders for 3D printing, opening up many potential new markets. The combination of these technologies has the potential to disrupt not just the high value titanium metals and powders market, but also the far larger aluminum and stainless-steel markets.

The GSD manufacturing process steps are

1. Titanium metal or alloy is hydrogenated to make friable hydride and is then milled into fine particles

2. The fine hydride particles are granulated into spherical granules in the desired size range using spray-drying

3. The spherical granules are sintered to produce densified spherical titanium powder

4. The densified spherical titanium powder is deoxygenated with magnesium to reduce the oxygen content to product specifications

5. The GSD technology can also introduce desirable alloying ingredients with the titanium hydride powder made in Step 1 to make titanium alloys

Dr Fang is a Professor of Metallurgy at the University of Utah. The HAMR and GSD technologies were developed, in part, with the financial support provided by the Advanced Research Project Agency-Energy of the US Department of Energy from 2014-2019. The Company is making significant progress with Dr. Fang and his team in Utah on both the HAMR and GSD technologies and expects to make key updates, including:

1. HAMR powder production using the company’s titanium minerals from the Titan project

2. Commencement of GSD powder production from HAMR titanium powders and/or titanium recycled scrap

3. Techno-economic assessment for the scale up of production of titanium metal and powders

Hyperion’s vision is to utilize these sustainable technologies and accelerate the rapid penetration of titanium in current and widespread applications in next generation mobility. The light weighting of trucks, trains, drones and electric vehicles will lead to a quantum leap in the energy efficiency of these vehicles and will be large, high growth new markets for titanium.

Titanium has exceptional material properties including high strength, light weight, superior corrosion resistance and leading biocompatibility versus other metals. Producing high quality spherical powders from titanium and titanium alloys is one of the critical building blocks for the rapidly growing, industrial scale, 3D printing / additive manufacturing sectors. Additive manufacturing with titanium can provide many benefits to the medical, aerospace, EV, space and defense sectors, including

1. Enhanced performance and sustainability by producing strong, lightweight parts that have high levels of corrosion resistance and are 100% recyclable

2. Reduced production lead times through iterative, software led design and rapid printing

3. Reduced waste and cost of producing a part - with scrap rates of less than 10% compared to over 90% for complex milled parts

4. In medical applications, titanium powders allow the rapid production of made-to-measure medical implants that are strong, lightweight, and critically, biocompatible

Source - Strategic Research Institute
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EDB to Fund ERG’s Sokolov Sarbai Mining Production Association

The Eurasian Development Bank and Eurasian Resources Group signed a memorandum of cooperation during the St. Petersburg International Economic Forum. Under the memorandum, the EDB will consider extending a credit facility to Sokolov-Sarbai Mining Production Association for pre-export financing and to finance the company’s investment program. ERG CEO Mr Benedikt Sobotka said “The new agreement with the EDB, with which we have been working for five years, will further enhance the sustainability of the iron ore giant SSGPO and strengthen cooperation with ERG as a whole. The understandings we reached will help to ensure sales of iron ore products in the long term as well as the implementation of SSGPO’s development strategy and investment projects using state-of-the-art technologies that meet ESG criteria. We work continuously to make sure that ERG products meet the highest standards and market needs. We are implementing the ERG Way, our production system, at SSGPO and other ERG’s entities. In doing so, we continue to improve our production and invest in the development of our employees.”

Eurasian Resources Group is a leading diversified natural resources group with integrated mining, processing, energy, logistics, and marketing operations. The Group operates in 15 countries on four continents and is a major employer in the industry. ERG is the world’s largest high-carbon ferrochrome producer by chrome content and among the principal copper and cobalt suppliers. It is also one of the largest suppliers of alumina and iron ore in Eurasia and the only producer of high-grade aluminium in the Republic of Kazakhstan.

In Kazakhstan, ERG represents one third of the metals and mining industry. It is also a key power supplier and a large railway operator in Central Asia. ERG manages production entities in Kazakhstan that are among the nation’s foremost enterprises, including Kazchrome, SSGPO, Kazakhstan Aluminium Smelter (KAS), Aluminium of Kazakhstan, Eurasian Energy Corporation, Shubarkol Komir, Transportation Group TransCom, 3-Energoortalyk and ERG Service.

In Africa, ERG mines and processes copper and cobalt ore and produces copper and cobalt hydroxide. It has recently launched Metalkol Roan Tailings Reclamation, a major tailings reprocessing operation in the Democratic Republic of the Congo. Metalkol RTR has become the world’s second largest standalone cobalt producer and is also a large producer of copper.

The Group has further development projects in thermal coal, manganese, platinum, bauxite and fluorspar in South Africa, Zimbabwe, Mali and Mozambique. ERG controls its own supply chain on the continent through its company Sabot, a North-South Corridor logistics specialist.

In the State of Bahia in Brazil, ERG is pioneering an integrated mining and logistics project comprising the Pedra de Ferro iron ore mine, the Porto Sul deep-water port and the associated new FIOL broad-gauge railway.

Source - Strategic Research Institute
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Anglo American Demerges Thungela Thermal Coal Business

Anglo American plc announced the completion of the demerger of its thermal coal operations in South Africa. Thungela Resources Limited started trading today through a primary listing on the Johannesburg Stock Exchange under the abbreviated name “Thungela” and a standard listing on the London Stock Exchange. As a leading South African thermal coal exporter, Thungela offers investors access to a high quality thermal coal business with low cash cost and high-margin assets and a strong balance sheet, underpinned by a robust ESG framework.

The admission to trading of Thungela on the Johannesburg and London stock exchanges follows the completion of the demerger of Anglo American’s thermal coal operations in South Africa that was announced on 8 April 2021 and was approved by shareholders on 5 May 2021. The scheme of arrangement to implement the demerger was sanctioned by the UK High Court of Justice on 26 May 2021. The completion of the demerger took effect at 8.00pm (UK time) on 4 June 2021.

With the completion of the demerger and at the point of listing of Thungela, 100% of the issued share capital of Thungela is held by Anglo American’s shareholders who each received one Thungela share for every ten Anglo American shares that they hold. Each Anglo American shareholder also retains their existing shareholding in Anglo American. Thungela holds 90% of the thermal coal operations in South Africa with the remaining 10% held collectively by an employee partnership plan and a community partnership plan.

Source - Strategic Research Institute
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ArcelorMittal start derde aandeleninkoopprogramma
Staalreus sluit tweede inkoopprogramma af.

(ABM FN-Dow Jones) ArcelorMittal is van plan om met een derde inkoopprogramma voor nog eens 750 miljoen dollar aan eigen aandelen te kopen. Dit meldde de staalreus vrijdag nabeurs, nadat eerder op de dag de intentie om dit te doen al bekend werd.

Dit derde inkoopprogramma zal aflopen op 31 december 2021.

Het concern meldde op 17 juni 2021 zijn tweede aandeleninkoopprogramma afgerond te hebben. In totaal kocht het concern ruim 17,8 miljoen aandelen voor ruim 468,8 miljoen euro tegen een gemiddelde prijs van 26,27 euro per aandeel.

Door: ABM Financial News.

info@abmfn.nl

Redactie: +31(0)20 26 28 999
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JFE Group Shares Environmental Vision for 2050

JFE Holding last month unveiled Group’s Environmental Vision for 2050. In an investor present Japanese giant said “Carbon recycling blast furnaces are based on technology that uses green hydrogen to convert CO2 in blast furnace exhaust gas into methane for injection back into the blast furnace as a reductant agent. As a result, the carbon required for reducing iron ore is recycled, and total CO2 emissions are reduced. A problem when hydrogen is used as a reductant agent is that the endothermic reaction can result in insufficient heat, inhibiting the reducing reaction. The methane used as a reductant agent in carbon-recycling blast furnaces, meanwhile, drives an exothermic reaction in the blast furnace combustion area, so it is better than hydrogen when it comes to tackling the issue of furnace chilling. Also, injecting pure oxygen into a carbon-recycling blast furnace makes it possible to maximize the amount of methane fed in because the energy normally used to heat airborne nitrogen in the conventional blast furnace process can be used to heat the methane. Shifting to oxygen blast furnaces roughly halves the amount of exhaust gas because the blast furnace gas no longer contains nitrogen.”

JFE said “The COURSE50 initiative aims to reduce CO2 emissions by 30%, which comprises a 10% reduction in blast furnace CO2 emissions achieved by injecting hydrogen gas into furnaces and a 20% reduction via CCS. Hydrogen reduction is an endothermic reaction, so there is a limit on how much hydrogen can be blown into the furnace. The Super COURSE50 initiative aims to increase the reduction in blast furnace CO2 by heating external hydrogen before injecting it into the furnace. Hence, COURSE50, Super COURSE50, and carbon-recycling blast furnaces involve different technologies. But with blast furnaces being the main process used, a full range of super-innovative technologies need to be tried, including verifying which is superior, so all of these technologies are worth considering.”

JFE said “We should also consider combinations of each of these technologies. JFE Steel aims to reduce its CO2 emissions from the steelmaking process by around 10% by introducing ferro coke, a highly reactive form of coke, to cut down the amount of reductant agent used in its blast furnaces. JFE Steel is currently performing demonstration tests of ferro coke production at our Fukuyama district medium-scale facility. We believe the amount of CO2 that can be reduced by combining carbon recycling blast furnaces and ferro coke is another process-development factor to examine.”

JFE added “Since there are limits to how much funding and manpower any individual company can bring to bear, we will be developing the technologies in collaboration with other companies. JFE Steel intends to initially focus on developing carbon-recycling blast furnace (including methanation) technology as well as associated CCU technologies. We will be working with Japanese reactor manufacturer to develop methanation technologies, and we will be collaborating with RITE to develop CCU technologies. A broad range of discussion regarding carbon-recycling blast furnace is expected to be held, including on the issue of whether it will engage in joint development efforts or not.”

It added “Since there are limits to how much funding and manpower any individual company can bring to bear, we will be developing the technologies in collaboration with other companies. JFE Steel intends to initially focus on developing carbon-recycling blast furnace (including methanation) technology as well as associated CCU technologies. We will be working with Japanese reactor manufacturer to develop methanation technologies, and we will be collaborating with RITE to develop CCU technologies. A broad range of discussion regarding carbon-recycling blast furnace is expected to be held, including on the issue of whether it will engage in joint development efforts or not.”

Source - Strategic Research Institute
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ASEAN Steel Consumption to Recover by 6% in 2021

According to a report by South East Asia Iron and Steel Institute, steel consumption in the ASEAN region is going to increase by 6.1% to 74.9 million tonnes in 2021 amid improved construction after a sharp drop in 2020 due to the lockdowns and pandemic effects and may return to pre-pandemic level only in 2022. The strongest support will come from Vietnam and Indonesia, where consumption will reach or even exceed the pre pandemic 2019 level already in 2021.

Vietnam - 24.7 million tonnes, up 5.8% YoY

Thailand - 17.1 million tonnes, up 4.9% YoY

Indonesia - 16 million tonnes, up 6.0% YoY

The Philippines – 9 million tonnes, up by 6% YoY

Malaysia – 6.1 million tonnes, up 7% YoY

Singapore – 2 million tonnes, up 25% YoY

Last year, the steel market in the ASEAN region was adapting to the new pandemic situation with the supply chain moving from global to more regional. As a result, in 2020 steel production in the ASEAN region went up by 3.7% to 46.3 million tonnes to support the short fall in imports due to logistics constraints. Net imports fell by 31.9% or as much as 11.4 million tonnes in 2021 to 24.3 million tonnes. This shift to local steel products was mainly seen in the longs segment, while a large part of demand for flats was still served by imports. Moreover, in early 2021 imports of flat steel products from China to the ASEAN region posted a sharp rise, offsetting declines of shipments of other products. For instance, in the first quarter of 2021, HRC imports from China totalled 1.64 million tonnes, up by 208% YoY.

Source - Strategic Research Institute
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SAIL Plan for Production of Head Hardened Rails Hit by COVID Wave

PTI reported that Steel Authority of India Ltd has postponed its plans to begin commercial production of head hardened rails at its Bhilai Steel Plant in Chhattisgarh, as the foreign experts involved in the trials left India in the wake of the second Covid wave in April for their respective countries. SAIL said "The entire process was going on with the help and support of foreign experts but it had to be postponed mid way due to the second wave of pandemic. The work will resume as soon as the situation is conducive for experts to return."

Earlier, SAIL was looking to start commercial production of head hardened tracks in the 2020-21 fiscal. SAIL said that cold commissioning of head hardened rails has been done and hot trials were taken in March this year.

Head hardened tracks are special tracks used in high-speed cargo lanes and subway tracks. Such rails are manufactured using the head hardening technology to carry about 50% higher pressure compared to normal rails. SAIL has set up facilities for the production of head hardened tracks at the new Universal Rail Mill at its Bhilai steel plant in Chhattisgarh.

Source - Strategic Research Institute
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Vertraagd 25 apr 2024 17:35
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