Refractories: Adaptation in a traditional end-user industry Christoph Frey
Magnezit Magnezit Group Europe GmbH Dalgraphite
Magnezit Group. 2012 2
Introduction of Magnezit
Some words on Refractories
Usage of Graphite in Refractories
1.
2. Grades and Properties of Graphite for Refractories
Cooperation between Buyers and Suppliers 3.
4. Vertical Integration: Introduction of Dalgraphite
Dependency of Refractories on Steel Production
Table of content
Magnezit Group. 2014 3
Mining Production Engineering Service
cement and lime industry oil refining
glass production construction materials
Customer industries
metallurgy
Magnezit Group is an integrated company ensuring complete cycle of production and sales of refractory raw materials and products.
Key data Magnezit Group
Performance
70%
Share on the market of magnesia refractories
Russia
Annual production volume
СIS 67%
mln ton 1,5-1,6
Accrued investments for
modernization & development
bln roubles 18,5
4 Magnezit Group. 2014
» Branch of Magnezit Group in Razdolinsk town 120 thousand tons, 540 people
RUSSIA
Satka production site
» Magnezit Group
» Коmbinat Magnezit
» Magnezit-torkret-masses
» NPK Magnezit
» Маgnezit Montazh Service
1,233 mln tons, 7150 people
Lower Angara production site
Industrial core and the largest production site of Magnezit Group, which has more than a century-long history of activity. Today the project for increasing capacity of the Complex for production of dead burned magnesia clinkers is realized at the site.
Modern industrial complex for the production of refractory materials with MgO content not less than 97%, built in close proximity to high-quality magnesite deposits
Moscow Saint Petersburg Chelyabinsk Magnitogorsk Satka Yekaterinburg Novokuznetsk Nizhniy Tagil Orsk
Representative offices of Magnezit Group
Nizhny Novgorod Taganrog Krasnoyarsk Ukraine Kazakhstan Poland Slovakia China Germany
EUROPE
» Slovmag A.S. 150 thousand tons, 572 people
» Panteleymonovka Refractory Plant 76 thousand tons, 270 people
The largest producer of refractory materials in Eastern Europe
One of the largest refractory plants in Ukraine. A new strategy for qualitative growth, aimed at modernization of production and manufacturing of novel called-for products of higher degree of treatment is implemented at the plant.
CHINA
» Liaoning Dalmond Refractories 100 thousand tons, by the year 2015
production capacity will have surpassed 200 thousand tons, 369 people
» Wuxi Nanfang Dalmond Refractories 5 thousand tons, 86 people
Modern innovative enterprise specializing in the production of refractory materials for continuous casting of steel
The most modern and the largest enterprise of Magnezit Group in China, ensuring flexible production of full range of oxide-carbon refractories based on the best innovative technologies
Magnezit Group in the world
4 15 14 deposits production sites representative offices in
Russia and abroad carry out sales and service
UKRAINE Lubenik Koshitce
Taganrog
Moscow
Saint-Petersbourg
POLAND SLOVAKIA
GERMANY
Yekaterinbourg
KAZAKHSTAN
Magnitogorsk
Orsk
RUSSIA
CHINA
Novokuznetsk
Razdolinsk
Yingkou
Yixing
We hold customs in high esteem. We bring the most perfect knowledge to every country where we conduct a business.
Magnezit Group in the world
UKRAINE Ratingen
Nizhniy Tagil
Kyshtym
Chelyabinsk
Satka
Gorlovka
7 operating countries
Nizhny Novgorod
Pavlodar
Krasnoyarsk
5 Magnezit Group. 2014
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General definition of Refractories: Products which are used whenever high temperature (600 – >2,000 C) exists, mainly in the basic materials industry
Magnezit Group. 2014
Graphite in Refractories
» Above 50% of the natural flake graphite production is consumed for production of refractories.
Data Source: own research
Refractories
313,000
tons
other
Applications
285,000
tons
Importance of Refractories to the Flake Graphite Industry
Refractories
40 Mio tons
Graphite
0,3 Mio tons
Share of Graphite in the Refractory Industry
» The share of graphite as raw material in the refractory industry is below 1 %.
» Graphite is a small, but very important raw material for refractories.
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Classification of Refractories
1. Nature of raw material 2. Type of form
a) Bricks / Shapes (60%)
b) Monolithics (40%)
a) basic raw material Magnezite, Dolomite, Chromite, … b) acidic/neutral raw material Silica, Aluminum-Silicates, …
Magnezit Group. 2014
Acidic Monolithics;
28%
Acidic Bricks; 17%
Basic Monolithics ;
12%
Basic Bricks ; 23%
Specialities; 20%
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Refractory markets by type
Data Source: IM 2013
Magnezit Group. 2014
Usage of Graphite in Refractories
Graphite
» Graphite is used only in a limited range of refractories, but in many types of refractory products
» The most important graphite bearing refractory product are the MgO-C bricks,
as they are widely used in the steel industry
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Usage of Graphite in Refractory Bricks
steel ladle
BOF
Magnesia Carbon Bricks (MgO-C) and
Magnesia Dolomite Carbon Bricks (CaO–MgO–C) mainly for steel industry: wear lining for - basic oxygen furnace - electric arc furnaces - steel casting ladles - … and in functional products: - purging and tap-hole bricks - …
Magnezit Group. 2014
Carbon Containing Non Basic Materials Alumina Magnesia Carbon Bricks (AMC) mainly for steel industry : - for lower part of steel ladles,
excellent service life due to lower tendency to spall (compared to MgO-C bricks)
Typical type
of Graphite
Flake Graphite:
С 86 – 99%,
(mainly 90-95%C)
-100…+50 mesh
Flake Graphite
С 92 – 94%
-100 mesh
Carbon Content (without SiC)
3-18% C ∅ 𝟏𝟎%
3-10% C
Isostatically pressed functional parts for steel making Al2O3-C, ZrO2-C, MgO-C based - mainly for continuous casting - ladle shrouds, monobloc stopper,
submerged nozzles central role in steel making; heavy duty parts
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Graphite and Carbon bricks Usually precursors like PET-Coke, Anthracite, Coke or Synthetic Graphite are used. Natural Graphite is insignificant for this application
Crucibles
functional parts in a tundish
Usage of Graphite in Specialities
Magnezit Group. 2014
Graphite containing crucibles - for light metals (aluminum and aluminum alloys) and non-ferrous metals (copper). Also for zinc distillation and melting of cast iron
Unshaped refractories - Carbon bonded mixes - used as ramming mixes and e.g.
as cold- or warm-flowing casting mixes for filling joints or to repair areas with premature wear in converters, ladles, tap hole clays…
Typical Graphite
Flake Graphite:
С 90 – 99%,
-100 …+50 mesh
(mainly coarse flakes)
Flake Graphite
С 85 – 96%
> 100 mesh
Flake Graphite
С 85 – 94%
> 100 mesh
Carbon Content
5 – 50%C
25 - 50% C
3-10% C
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MgO-C brick
1
Installation of MgO-C bricks
2
Using of MgO-C bricks
3
MgO-C bricks after using 4
Carbon-containing Refractories
Oxide-Carbon Refractories in Macro-pictures
Magnezit Group. 2014
MgO-C bricks in plastic packing
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Oxide-Carbon Refractories in Micro-pictures
Microphotography of MgO-C bricks (transmitted light)
Microphotography of Al2O3-MgO-C bricks (reflected light)
Carbon-containing Refractories
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Tasks graphite has to fulfill in carbon containing refractory materials
» Thermal homogenization of the refractory material used
» Strengthen the resistance against liquid metals and slags
» Reduction of infiltration of foreign matters (slag/metals)
» Reduction of corrosion caused by infiltrated foreign matters
» Increase the absorption of tension in the brick
» Strengthen thermal shock resistance
» Strengthen the brick flexibility
» Reduction of thermal expansion
Tasks of Graphite in Refractories
Magnezit Group. 2014
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Graphite needs
1. to be easy workable in the brick workshop
2. to have excellent performance in the refractory application
Desired Properties of Graphite in Refractories
Magnezit Group. 2014
Desired Properties of Flake Graphite
» Well-balanced grading
» Good oxidation resistance
» Suitable chemical composition of the ash
» Low volatiles / sulphur content
» Low alkaline content
How can buyers work with suppliers to improve product quality and meet higher manufacturing standards?
» Buyers must be clear on their requirements regarding Graphite characteristics
» Buyers need to specify the requirements not only concerning product quality, but
also concerning packaging standards, quality inspection, documentation…
» These specification need to be shared with suppliers. Suppliers have to check
possibilities to match the requirements and improve accordingly – if possible!
Note: Graphite companies have limited possibilities to change the chemical and physical properties of the graphite, but e.g. oxidation behavior can be modified in certain ranges by modification of the particle size distribution. It is desirable to form research and development cooperation, to develop most suitable
grades for specific applications.
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Cooperation between Buyers and Suppliers
Magnezit Group. 2014
Conclusions: 2/3 of the refractory products are used for the iron and steel industry The dependency of the refractory industry on the steel market is high As graphite is mainly used in the iron and steel refractories, also the demand for flake graphite depends a lot on the production level of steel. For the steel production refractories are consumables and therefore proportional to the steel production, but the consumption was reduced due to optimization…..
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Poor steel industry performance and its effect on refractory product demand
• Ensuring graphite supply through vertical integration
usage specific refractory consumption
per ton of product
[kg/ton]
Year 1955 1998 2005
iron and steel industry 69 67 65 19 15
non-ferrous metall industry 2 3 13 7 8
glass industry 3 3 15 5 5
cement and lime industry 7 10 1 1 1
ceramics, chemistry, others 19 17
Dependency of Refractories on Steel Production
Magnezit Group. 2014
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Poor steel industry performance and its effect on refractory product demand
Dependency of Refractories on Steel Production
Data Source: MB research MagMin2014
0
5
10
15
20
25
30
35
40
45
Yearly output of Chinese refractories
production Mio tons
Data Source: Refsource 2014
Magnezit Group. 2014
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Ensuring graphite supply through vertical integration
Vertical Integration
Soyuznoye Graphite Project
The Graphite Project of Magnezit in the Far East of Russia
Magnezit Group. 2014
Dalgraphite - Project Location
s. Soyuzsnoje, JAR EU
The license area is located in Jewish Autonomous region of Russia, on the right bank side of the Amur river on the boarder with China License covers exploration and production of Graphite and is valid through 2035
19 Magnezit Group. 2014
Core Drilling
7 554 meters
Sampling 8 581 проба* 8 581 samples
3D model of license area
20 Magnezit Group. 2014
Dalgraphite – Facts
Resources » Huge resources, among the biggest even in a global scale
(> 14 mio tons of graphitic carbon) » Flake size rather small, but sufficient for usage in refractories,
batteries and many other applications
Mining/Processing » Easy open pit mining: the graphite layers are lying flat and outcrop at the surface
(low strip ratio 0.5:1). » Process Flow-sheet development was made by SGS Canada » Simple flotation sufficient to get to a carbon level of 94% » Initial annual production: 40.000 tons of graphite per year
Mine life » At a production rate of 40.000 tons per year the mine life will exceed 300 years.
Costs » Low mining cost due to favorable location of the deposit at the slope of a hill. » Low production costs due to high carbon in the ore (average C 12,5%) and rather
soft ore. » Favorable logistics: Close to China and close to a station with connection to the
Trans-Siberian Railway.
Other important Advantages » Offtake agreement for many thousands tons with Magnezit foreseen » Strong support from central and local government (tax incentives, infrastructure…)
21 Magnezit Group. 2014
Dalgraphite – Facts
Thank you for your attention! Questions?