steeldivision - seiaacg.org · (steel division) ... urla, raipur, it is proposed to installed 3...

// SERVER/ BISWAS/ RIPL/ STEEL/ RIPL-SD-DPR - 1 -

For

SStteeeell DDiivviissiioonnUnit Capacity [in Tons/ Year]

Existing Proposed total

Induction Furnace with CCM = 100000 300000 400000

Automatic Rolling Mill = 100000 300000 400000

(STEEL DIVISION)…………………………………………………………………………………………………………………………………………….

“Vrindavan”, Near IDBI Bank, Civil Lines, RAIPUR [C.G.] – 492 001


C O N TE N TS

SECTION 1 EXECUTIVE SUMMARY

SECTION 2 INTRODUCTION

SECTION 3 SALIENT FEATURES OF THE SITE

SECTION 4 PROCESS FLOW CHART

SECTION 5 MANUFACTURING PROCESS

SECTION 6 ENVIRONMENTAL ASPECTS

SECTION 7 PROJECT SCHEDULE AND IMPLEMENTATION

SECTION 8 ESTIMATE OF PROJECT COST


SECTION 1

EXECUTIVE SUMMARY


EXECUTIVE SUMMARY

Project : Induction Furnace with Billet Caster (CCM)

and Hot Rolling Mill

Plant location : Vill. Borjhara, P.O. Urla,

Raipur, Chhattisgarh

Promoters : Real Ispat & Power Ltd.

Installed Capacity :

UnitCapacity [in Tons/ Year]

Existing Proposed totalInduction Furnace with CCM = 100000 300000 400000

Automatic Rolling Mill = 100000 300000 400000

Nos. of Working Day: 300 Days

Project Cost : Induction Furnace with CCM - Rs. 16.00 Crores.

Rolling Mill - Rs. 28.00 Crores.

Raw Materials : Induction Furnace -80% Sponge Iron - 2,48,000 TPA

15% Pig Iron - 46,500 TPA

5% Scrap - 15,500 TPA

Billet Caster (CCM) -Hot Metal produced from IFD - 3 LTPA

Re-heating Furnace of Rolling Mill (Dual Fuel Mode)Coal for Producer Gas - 14,400 TPA or

Furnace Oil - 7,000 KLPA


Rolling Mill -

Ingots/Billets produced from CCM - 3 LTPA

Product : Induction Furnace - Hot Metal

CCM - Ingots/Billets

Rolling Mill - Rolled & Structural Steel

Water Requirement : 125 M3/ Day mainly for Cooling purpose

Data Source : Plant details from RIPL, Technical data from Consultant’s

data bank and budgetary offers received from vendors.


SECTION 2

INTRODUCTION


INTRODUCTION

Need for the project and its importance to the country and or region :

Indian steel industry is undergoing a period of restructuring, improving its rankingamong global steel producers from the 9th place to the 7th place. In the last 5years, the production and consumption of steel has grown at exceeding rates of9% per annum. The pace of growth has further accelerated in the current year toover 10%.

As per the latest CRISIL report a stable trend in the domestic steel industry’soperating margin in 2011-12 as compared with that of 2010-11, is predicted. Thefirm steel prices will keep the rise in input cost under check. The global demand-capacity ratio, which figured at around 89% in 2012, is expected to remain thesame during 2013, which will maintain the similar price range as registered in thepreceding year. Domestic prices are expected to follow the international pricestrend.

The CRISIL report also predicts buoyancy in the domestic steel demand. Withhealthy activity in pipes and tubes, automobiles and the construction segment,the demand for steel products is all set to scale. The report predicts a double-digitgrowth in demand for flat products with 11% to 21 Million Tons during 2011-12,where as demand for long products is expected to grow by 7.6% to 19 MillionTons.

The 11th Five Year Plan projects a 9% average annual growth in our GDP. Higherexpectations to see a massive increase in investment in infrastructure isprobable. Consequently, massive growth in demand for steel in the next fewdecades is also credible – perhaps to levels never visualized before.

Chhattisgarh is reach in respect of minerals which is evident from Iron Ore Minesexisting in Dalli Rajhara in Durg District and Baildadila in Bastar District. BhilaiSteel Plant located in Bhilai, nearly 30 km away from Raipur is a major publicsector undertaking which exploits the iron ore deposits of these mines. Hense,the Iron products like Iron Ore, Pig Iron, Billets, Ingots, Blooms are available atlower transportation cost in Raipur. There are many mini steel plant and RollingMills in this area consuming these items as raw material for producing steels.

Demand for formation of “Chhattisgarh State” has revived after induction of newCentral Government and sooner or later it will be accomplished. With theformation of Chhattisgarh as new state, Raipur will be designated as the capitalof this new state. This will create huge demand for steel and cement to developinfrastructure required for the purpose of capital of a newly formed state. Thisdemand will further increase the gap between demand and supply of steel.


Project Proponent :

Real Ispat & Power Ltd, hereinafter called “The Company” is a new companyincorporated in 04/10/1999 vide registration no. 10-13773 of 1999. At present,the company having 1 LTPA capacity Induction Furnace with CCM and RollingMills. To captive utilization of 1.5 LTPA Sponge Iron production of groupcompany at Borjhara, Urla, Raipur, it is proposed to installed 3 LTPA capacityInduction for producing quality Billets mainly for internal use and automaticRolling Mill with an installed capacity of 3 LTPA of finished rolled/ structuralproduct at existing factory premises at Borjhara, Urla Bendri Road, Raipur.

The Directors of the company are :

01. Mr. Umesh Agrawal02. Mr. Shiv Agrawal03. Mr. Basant Agrawal04. Mr. Ritesh Jindal

They are promoter directors of the company and belong to reputed family fromRaipur as well as also techno-commercially qualified entrepreneurs backed up by20 years of steel trading experience and production of steel for the last 5 years.They are enjoying good reputation. The promoters have funds which they want toinvest in expansion of industry. After surveying the industrial market they havedecided to install Induction Furnace with CCM and Automatic Rolling Mill to availthe benefits of raw material availability, captive power, land, labour and readymarket. The manufacturing process is tested and can be managed by thepromoters successfully. The proposed unit shall mainly manufacture Billets andBars which has very potential market all over India.

Employment Generation due to the project :

The local areas will be benefited by way of generation of employmentopportunities, increased demand for local products and services. There will be anoverall improvement in the income level of the local people. The expansionproject creates employment to about 90 persons once the plant comes to theoperational stage. Top priority will be given to locals for Semi-Skilled andUnskilled jobs. With the development of this Plant there will be lot of scope formore ancillary development, which in turn will benefit the nation.

There will be a certain enhancement of educational and medical standards ofpeople in the study area. There will be generally positive and beneficial impactsby way of economic improvements, transportation, aesthetic environment andbusiness generation. There will be an overall upliftment of socio-economic statusof people in the area with the implementation of the project.


SECTION 3

SALIENT FEATURES OF THE SITE


SALIENT FEATURES OF THE SITE

SITE LOCATION

The proposed Steel Division of Real Ispat & Power Ltd, will be located at Borjhara

Industrial Area, Raipur in Chhattisgarh state. The project location is well

connected by road and rail. The nearest railway station is Raipur, which is at a

distance of 12 km from the site. The nearest airport is Raipur and seaport is

Visakhapatnam.

METEOROLOGICAL DATA.

Maximum dry bulb temperature : 50 Deg C

Minimum dry bulb temperature : 16 Deg C

Design dry bulb temperature : 35 Deg C

Design wet bulb temperature : 28 Deg C

Max. Relative Humidity : 85%

Min. Relative Humidity : 50%

Design Relative Humidity : 65%

WIND AND SEISMIC DATA

Basic wind speed : As per IS 875

Seismic zone : Zone 1 As per IS

1893

SOIL CLASSIFICATION

The soils in the area are generally of clayey loan types with sandy loan soil in

some areas. The soils have been classified as Ustocherpts/ Ustorthents/

Rhodustalfs/ Haplustalfs/ Haplusterts, as per pedological taxonomy.

EXISTING INFRASTRUCTURE

All required infrastructure is prevailing in the site.


DETAILS OF ALTERNATE SITE CONSIDERD :

The proposed expansion is carryout within existing premises only and no

additional land is required for the same; hence, no alternative site had been

considered.

CLIMATIC DATA FROM SECONDARY SOURCES :

The climatic condition of this area is semi arid. The maximum temperature goes

up to 40oC during summer and the minimum temperature goes down to 8oC

during winter in the month of January-February. The winds in the area are light to

moderate during summer and winter. The rainfall of the district is 1477mm.

Generally light to moderate winds prevails throughout the year. Winds were light

and moderate particularly during the morning hours. While during the afternoon

hours the winds were stronger. A review of the wind rose diagram shows that

predominant winds are mostly from S, SW, NW, WNW, W, NE and N direction

followed by NW direction.

LAND REQUIREMENT :

The total plant area is 56.565 Acres in which 13.940 Acres utilized for existing

setup, 18.665 Acres utilized for development of Green Belt area, 7 Acres for

proposed expansion of steel division 16.96 Acres are open space.

The land area required for expansion of the Steel Division is around 7 acres. This

includes the area for Induction Furnaces, Continuous Casting Machine, Rolling

Mill, storage, fuel & and raw water storage.

WATER REQUIREMENT AND SOURCES :

The Steel & Rolling Mill Division will require about 125 m³/Day of water. It is

proposed to pump the required quantity of water from the River. It will be

supplemented by Industrial water supply.


SECTION 4

PROCESS FLOW CHART


PROCESS FLOW CHART OFINDUCTION FURNACE WITH CCM AND ROLLING MILL

Raw MaterialBay

EOT Crane forMaterial Lifting

Charging in theFurnace

Melting Temp. inthe Furnace

Slag Removalfrom Furnace

Addition ofFerro Alloys

Tapping MoltenMetal in Ladle

EOT Crane forLadle Shifting

Hot Metal Pouringin Billet Caster

Billet Casting

EOT Crane forBillet Lifting

Dispatch toRolling Mill

Billet ShearingMachine

ReheatingFurnace

Roughing MillStand

Final RollingSrand

Cooling Bed

FinishedProduct Yard

InductionFurnace

CCM

RollingMill


SECTION 5

MANUFACTURING PROCESS


MANUFACTURING PROCESS

INDUCTION FURNACE WITH CCM

The Induction Furnace proposes to produce of Hot Metal and CCM manufacture of

Billets. However, the manufacturing process for Billets is given below as the process

involve is similar.

First of all, raw material i.e. Sponge Iron, Pig Iron and Scrap in the composition of 80%

mix of Sponge Iron + 15% mix of Pig Iron and 5% mix of Scrap will be charged on the

bottom of the crucible and the power is on. It starts drawing power and liquid metal is

made. Simultaneously deslag is done through out. Through out the process it is

advisable to run the Furnace at full KW load. After final de-slaging, the metal sample is

taken out and sent to Laboratory for analysis. Temperture is raised to 1560-1580 0C.

Then the weighed quantity of FeSi, SiMn and Al, are added which is responsible for the

final chemical analysis of steel. Then the Furnace is lifted with the help of Hydraulic

Power Pack. Metal starts pouring to Hot Metal Ladle. Once the entire metal are poured,

the ladle will moved out by EOT Cranes and fitted at Billet Caster Pouring stand for re-

poured on Continuous Casting Machine.

Continuous Casting is the process whereby molten steel is solidified into a “Semi

Finished” Billet, Bloom or Slab for subsequent rolling in the finishing mill. Prior to the

introduction of Continuous Casting in the 1950s, steel was poured into stationary molds

to form “Ingots”. Since then, Continuous Casting has evolved to achieve improved yield,

quality, productivity and cost efficiency.

Steel from the Furnace is tapped into a ladle and taken to the CCM. The ladle is raised

onto a turret that rotates the ladle into the casting position above the tundish. Liquid steel

flows out of the ladle into the tundish and then into a water cooled copper mold.

Solidification begins in the mold, and continues through the first zone and strand guide.

The cutting Torch cut the product at specified size during rolling out then discharged for

intermediate storage or hot charged for finished rolling.

ROLLING MILL


The mill consists of the following :

a. Reheating Furnace

b. Roughing Mill

c. Intermediate Mill

d. Finishing Mill

e. Finishing Section

f. Auxiliary Equipments and

a. Reheating Furnace

The Reheating Furnace will be of the Dual Fuel Mode (Producer Gas/ Furnace

Oil) fired pusher type. The design of the same has been made keeping with the

latest furnace technology of minimize heat losses optimize fuel consumption as

well as reduce the pollution. The inside dimensions of the furnae will be 2 mtr.

Breadth and 17 mtrs. In length with fire-wool blanket being used as additional

insulation material. The furnace will have heating capacity of 15 tons per hour.

The heat loss is expected to be around 0.3 percent.

Gasifier adopts combination of intermediate cooling and air cooling methodologyto save energy and protect environment.

Recuperator recovers sensible heat of gas, generating steam for tracingpurging of gasification, poking hole operation, saves energy and reducestemperature of gas

Intermediate cooler use circulating cold water, to cool the gas to specifiedvalue

Air cooler adopts natural air indirect cooling mode, thus avoiding waste ofsources

Gas and Water in Recuperator and intermediate cooler does not contactdirectly


GASIFIER DIAGRAM

b. Roughing Mill

The Roughing Mill comprise of the series of reduction stands in a rolling mill. In

this mill, the roughing mill accepts the raw materials at the cross sectional size. It

will have 3 strands of pinion center distance 350mm dia. The stands will be driven

by 800 HP Motors with speed of 720 RPM. On repeated passes through the

roughing stands the raw material will be reduced to cross sectional area.

c. Intermediate Mill

The Intermediate Mill is the second stage in the Rolling Mill. Materials are

received into the Intermediate Mill automatically from the Roughing Mill. The

Intermediate Mill will consist of 6 stands and will be driven by another 600 HP


Motor with speed of 720 RPM. The cross sectional area will be further reduced by

45-55% in this mill. As the cross sectional area decreases, the lenth of the piece

of raw material will increase. To adjust the length to the speed of the mill, the

Intermediate Mill will also be equipped with a speed increaser between the 4th

and the 5th stands.

d. Finishing Mill

The Finishing Mill will give the end-size to the product. In this case, the finishing

mill consists of a section of mill stands and spindles, repeaters etc. The Finishing

Mill consists of two mill stands driven by 400 HP Motors with speed of 960 RPM.

In the Finishing Mill, the reduction in section diameter will be of final thickness.

e. Finishing Section

The Finishing Section will consist cooling conveyors, cooling blowers, cooling bed

and a set of twisting machines to produce CTD Bars.

f. Auxiliary Equipment

Auxiliary equipments are supportive to the plant and machineries. These shall

consist of compressor unit, furnace oil tank with pump, guide boxes etc.

For the both Division i.e. Induction Furnace with CCM and Rolling Mill following

additional facilities is also essential :

Work Shop

Work Shop is an essential part of any industrial unit where regular repair and

maintenance of machines and accessories are carried. Break down and normal


wear and liar of spare parts are inevitable and these are to be repaired without

any loss of time on spot. To facilitate the company shall have fully equipped work

shop consisting of Lathe, Drill, Shaper, Grinder, Welding, Gas Cutter etc.

Inspection/ Quality Control

The products are tested for its quality in testing laboratory to ensure best quality

of output. The testing laboratory is full equipped with latest testing equipment

etc.


SECTION 6

ENVIRONMENTAL ASPECTS


ENVIRONMENTAL ASPECTSGENERAL :

The proposed Steel and Rolling Mill Division will be located within the premises of Steel

Division. Whose operation will be governed on the basis of non-polluting systems..

In our proposed Induction Furnace with CCM and Rolling Mill units, any type of

generation of particulate matter will not be there because :

a) Induction Furnace with CCM will be electrically operated.

b) Rolling Mill will be Furnace oil/ producer gas fired operated.

We are committed to trap all the dust and suspended particulate matter (SPM) in the flue

gas to achieve concentration level below the permissible limit as per the Pollution control

board norms. In this regards, we are following the basic norms establish by CPCB

/CECB. Thus, generation of additional PM will not be there. In nut shell, the premises will

have no additional burden of any type of PM.

INDUCTION FURNACE UNIT :

The induction furnace process on which melting is an open house process therefore,

there is least chance of Air pollution. Regarding Air pollution devices, the company shall

install such process, which is in slightly negative pressure, which sucks all the gases

librated from the Furnaces. For this, Real Ispat will deploy a movable type of Suction

hood that collects the dust laden flue gases generated from the Furnaces. This suction

hood leads to cyclone separator, in which heavier particles settled down. After this the

gases are passed through Bag Filter. After Bag Filter Clean gases will be vented to the

ambient air by means of Stack having height of 30 meters.

ROLLING MILL UNIT :

As the fuel to be use in Re-heating furnace of rolling mill unit will be Furnace Oil which is

termed as Clean fuel and there is least environmental pollution load by the burning of the

fuel. Hence Real Ispat propose no pollution control equipment for the propose rolling mill.


SO2 EMISSIONS

Since the Sulphur contents of all the contributing raw materials are 0.04% max.

However, the stack height erected by us follow the CPCB/CECB conditions.

EFFLUENT FROM WATER TREATMENT PLANT

The existing principal of waste water treatment is installed by us. However, in the

proposed project plan none of the waste water generation source will be there. Thus,

generation of additional effluent will not be there. The water drained from the water

treatment plant, will have to be treated so that the water let out is neutral (pH 7.0 – 8.0).

To achieve this the water drained from water treatment plant is pumped to a

neutralisaion pit. The neutralisation pit will have acid resistant brick lining. Depending

on the quality of water collected in the pit, either an alkaline medium or acidic medium

will be pumped into the pit to neutralise the water.

SEWAGE FROM THE STEEL & ROLLING MILL DIVISION BUILDINGS

The sewage from the Steel & Rolling Mill buildings will be taken to a common septic tank

through trenches. The sewage from the septic tank will be disposed off through soak

pit/concrete dispersion trenches. As the sewage is taken in trenches the soil will not get

contaminated.

NOISE POLLUTION:

The noise level in the plant has to be maintained as per OSHA standards by installing

silencers, sound proof walls etc.

GENERATION AND DISPOSAL OF SOLID WASTES :Furnace slag will be generated as solid wastes from proposed expansion, the same will

be crushed in to course and segregated in to metallic and non-metallic contents. Metallic

contents will be recycled back as raw material for captive utilization and non-metallic

contents will be disposed off in nearby abandoned quarries and also been used for road

embankment.


End Cutting and Mill Scale will be generates from the Rolling Mill. Among which End

Cuttings will be utilized as raw material in our own Induction Furnace unit; while Mill

Scales will be sold to Ferro Alloys manufacturing unit or steel casting unit.


SECTION 7

PROJECT SCHEDULE AND IMPLEMENTATION


PROJECT SCHEDULE AND IMPLEMENTATION

PROJECT SCHEDULE

Project completion period has a significant influence on the overall project cost as

the long project schedule results in increased cost on interest during construction.

Hence, optimum project completion schedule has to be adopted along with

effective project implementation plan to ensure completion of project in time.

For this project, the project completion schedule considered is 06 months from

the date of financial closure. The project schedule includes the various activities

like civil works, detailed engineering, procurement, erection and commissioning of

the project.

The project will be implemented on two phases. In first phase, Induction Furnace

with CCM will be introduced and after achieving full production capacity, in

second phase, Automatic Rolling Mill will implemented.

Review meeting with the various suppliers and the owners will be held frequently

for effective completion of the project with in the schedule. Corrective action will

be initiated. Wherever it is felt necessary.

A full-fledged project team will be appointed by the owners comprising engineers

of various disciplines, administrative and finance personnel to deal with the day-

to-day activities. Project consultants will assist the project team for the

successful completion of the project in time.


CONSTRUCTION MANAGEMENT

Preliminary Works

Soil investigation study has to be carried out to obtain the details of soil profile,

sub surface condition and soil bearing capacity.

Depending on the soil investigation report, suitable type of foundation has to be

planned for the various structures and equipment.

Construction Office & StoresTemporary office shall be constructed to accommodate the construction

personnel inside the plant boundary. This shall be a single storied building with

load bearing brick wall and A.C sheet roofing.

A covered storage of adequate area shall be needed for the temporary storage of

raw materials and equipment.

Construction WaterThe water requirement for the construction purpose shall be drawn from the

existing facilities available in the plant i.e. water pond etc. The water shall be

pumped to a masonry tank and the construction water shall be supplied at

different places with the help of pumps.

Construction PowerConstruction power shall be made available from the captive power plant.

Alternatively DG sets shall also be used to meet construction power requirement.

Construction EquipmentConstruction equipment like Bull dozer, Road roller, Truck mounted cranes,

Tractors, Pumps, Air compressors, DG sets, Welding equipments shall be made

available at the site.


Sufficient number of vehicles like Cars, Jeeps shall also be deployed at the site

for manpower mobilization.

Construction Manpower

A Construction Manager with adequate people from different disciplines like Civil,

Mechanical, Electrical, Instrumentation and Administration shall be looking after

day to day execution of the project at site.


SECTION 8

ESTIMATE OF PROJECT COST


ESTIMATE OF PROJECT COST

The cost of the Induction Furnace with CCM and Automatic Rolling Mill project is

estimated on the basis of the prevailing prices and rates and the estimation is for,

the installation of Hot Metal & Billet Production and Rolling facilities described in

the earlier sections. The estimate is derived by dividing the total quantum of

work into three categories, viz., civil works, electrical system equipment &

mechanical equipment. No provision for escalation is considered.

The cost of the Induction Furnace with CCM and Automatic Rolling Mill covers all

the costs associated with the construction of the plant, and includes the civil

construction cost, cost of equipment for production, cost of auxiliaries and utilities.

The total project cost is arrived at by adding to this cost, the pre-operative

expenses inclusive of project design and engineering, start-up and training

expenses, interest during construction and the margin money to meet the working

capital requirements. The table given below give the details of the Project Works

Civil, Mechanical and Electrical Cost estimate and the overall project cost

estimate.

TOTAL PROJECT COSTRs in lakhs

Induction Furnace with CCM : 1600.00

Automatic Rolling Mill : 2800.00

Total Project Cost 4400.00

steeldivision - seiaacg.org · (steel division) ... urla, raipur, it is proposed to installed 3...

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