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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
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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
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SECTION 1
EXECUTIVE SUMMARY
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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
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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.
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SECTION 2
INTRODUCTION
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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.
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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.
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SECTION 3
SALIENT FEATURES OF THE SITE
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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.
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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.
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SECTION 4
PROCESS FLOW CHART
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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
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SECTION 5
MANUFACTURING PROCESS
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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
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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
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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
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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
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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.
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SECTION 6
ENVIRONMENTAL ASPECTS
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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.
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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.
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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.
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SECTION 7
PROJECT SCHEDULE AND IMPLEMENTATION
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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.
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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.
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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.
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SECTION 8
ESTIMATE OF PROJECT COST
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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