MAA CHHINNMASTIKA CEMENT & ISPAT PVT. LTD

MAA CHHINNMASTIKA CEMENT & ISPAT PVT.MAA CHHINNMASTIKA CEMENT & ISPAT PVT.LTD.LTD.

VillVill –– HEHAL,HEHAL, DisttDistt. RAMGARH, JHARKHAND. RAMGARH, JHARKHAND

PRE FEASIBILITY REPORTPRE FEASIBILITY REPORT

EXPANSION OF EXISTING SPONGE IRON UNITEXPANSION OF EXISTING SPONGE IRON UNIT

WITH ADDITION OFWITH ADDITION OF

A 15 MW POWER PLANTA 15 MW POWER PLANT

72,000 TPA STEEL MELTING SHOP72,000 TPA STEEL MELTING SHOP

67,500 TPA REBAR ROLLING MILL AND67,500 TPA REBAR ROLLING MILL AND

IRON ORE CRUSHING & BENEFICIATION FACILITYIRON ORE CRUSHING & BENEFICIATION FACILITY

FEBRUARY, 2016FEBRUARY, 2016

906-912, 9th Floor, Pearls Best Heights-II, Netaji Subhash Place, Pitampura, Delhi-110034Tel : 011-27357820, 21, 22, Fax : 011- 27357823, E-mail: [email protected] /[email protected]

KORUS Engineering Solutions Pvt. Ltd.

MAA CHHINNMASTIKA CEMENT & ISPAT PVT.MAA CHHINNMASTIKA CEMENT & ISPAT PVT.LTD.LTD.

VillVill –– HEHAL,HEHAL, DisttDistt. RAMGARH, JHARKHAND. RAMGARH, JHARKHAND

PRE FEASIBILITY REPORTPRE FEASIBILITY REPORT

EXPANSION OF EXISTING SPONGE IRON UNITEXPANSION OF EXISTING SPONGE IRON UNIT

WITH ADDITION OFWITH ADDITION OF

A 15 MW POWER PLANTA 15 MW POWER PLANT

72,000 TPA STEEL MELTING SHOP72,000 TPA STEEL MELTING SHOP

67,500 TPA REBAR ROLLING MILL AND67,500 TPA REBAR ROLLING MILL AND

IRON ORE CRUSHING & BENEFICIATION FACILITYIRON ORE CRUSHING & BENEFICIATION FACILITY

FEBRUARY, 2016FEBRUARY, 2016

Pre Feasibility Report for Expansion of Existing Sponge IronUnit with Addition of a 15 MW Power Plant,

72,000 TPA Steel Melt Shop, 67,500 TPA TMT Rebar RollingMill and Iron Ore Crushing & Beneficiation Facility

Maa Chhinnmastika Cement & Ispat Pvt. Ltd.,Korus Engineering Solutions Pvt. Ltd.

TABLE OF CONTENTS

CHAPTERNO.

CONTENTS PAGE NO.

1.1 – 1.91 EXECUTIVE SUMMARY

2 INTRODUCTION 0F THE PROJECT & BACKGROUNDINFORMATION

2.1 – 2.5

3 MARKET OPPORTUNITIES & PRODUCT MIX 3.1 – 3.5

4 PROJECT DESCRIPTION. 4.1 – 4.18

5 UTILITIES AND AUXILIARY SERVICES 5.1 – 5.9

6 ELECTRIC POWER REQUIREMENT, SUPPLY &DISTRIBUTION SYSTEM

6.1 – 6.7

7 MATERIALS MANAGEMENT 7.1 – 7.5

8 ENVIRONMENTAL POLLUTION CONTROL MEASURES 8.1 – 8.7

9 PLANT LOCATION, LAYOUT & INFRASTRUCTURE 9.1 – 9.3

10 EMPLOYMENT GENERATION – DIRCT/ INDIRECT 10.1 – 10.3

11 ESTIMATED PROJECT COST 11.1

12 PROJECT IMPLEMENTATION AND CONSTRUCTIONSCHEDULE

12.1

13 PROJECT APPRAISAL & RECOMMENDATIONS 13.1

1.1



Maa Chhinnmastika Cement & Ispat Pvt. Ltd.,Ramgarh

Korus Engineering Solutions Pvt. Ltd.

C H A P T E R – 01

EXECUTIVE SUMMARY

01.1 THE PROJECT

Maa Chhinnmastika Cement & Ispat Pvt. Ltd. (MCCIPL) is operating an Iron & SteelPlant with Sponge Iron Plant having three (3) Nos. Coal Based Rotary Kilns each of100 TPD Capacity, with an annual capacity of 90,000 Metric Tons.

Sponge Iron is presently sold to other steel producers for making finished steelproducts.

In order to improve the viability of the plant by cost reduction and producing valueadded saleable product, it is now planned to undertake an expansion project to installthe following facilities:

i) A 15 MW Captive Power Plant (CPP) utilizing waste heat from flue gases fromexisting Sponge Iron Kilns, Char produced as solid waste and some additionalcoal. The proposed power plant will produce power at a cheaper cost thanpower cost from State Grids and also improve availability of power.

ii) Steel Melting Shop having Two (2) Nos. Induction Furnaces each of 12 tcapacity and a 2-Strand 6/11 M Radius Continuous Casting Machine with anannual capacity of 72,000 Metric Tons of Billets using 80% Sponge Iron and20% Scrap / Pig Iron as charge-mix.

iii) A 67,500 TPA Rolling Mill to convert the Steel Billets produced in Steel MeltShop to TMT Rebar’s with an aim of value addition.

iv) Iron Ore Crushing, Screening & Beneficiation Facility with 201,000 TPYcapacity for existing DRI Kilns to improve the kiln performance.

v) Slag Crushing Facility for SMS Slag.

1.2





01.2 THE PROMOTERS

The project is being set-up by Maa Chhinnmastika Cement & Ispat Pvt. Ltd. (MCCIPL)a Company belonging to RUNGTA GROUP operating under the leadership of Shri RamChandra Rungta, the mentor and visionary of the group. Today the group has underits umbrella companies which are in varied industries like Steel, Transportation,Cement and Real Estate Business along with a Multi Facility Club. Presently theDirectors of MCCIPL are:

a) Mr. Alok Rungtab) Mr. Parsuram Singh

01.3 THE CONSULTANTS

KSIPL have assigned the task of preparing the Pre Feasibility Report (PFR) forobtaining prior environmental clearance in terms of the provisions of EIA notification,2006.

01.4 THE COMPOSITION OF THE REPORT

The TEFR consisting of thirteen (13) Chapters of text supported by Tables, Annexuresand Drawings for proper comprehension of the subject matter has been presented asper the Guidelines for Preparation of PFR issued by Ministry of Environment & Forestsvide Ref No. J-11013/41/2006-1A.II (I) dated 30th December, 2010.

01.5 MARKET OPPORTUNITY & PRODUCT-MIX

Instead of selling billets to other Rolling Mill Units, it is now proposed to set-up itsown Rolling Mill to produce Thermo-Mechanically Treated (TMT) High Strength SteelReinforcement Bars in a most energy efficient and cost effective manner. TheseRebars are always in high demand in the construction sector. The following product-mix is proposed, covering the full range of popular sizes required by the customers.

1.3





Rebar Size Yearly Production(mm) % Metric Tons

8 20 13,50010 30 20,25012 20 13,50016 15 10,12520 8 5,40025 3 2,02528 2 1,35032 2 1,350

______ _______100% 67,500

01.6 PLANT DESCRIPTION

The present facilities of the plant are:

Sponge Iron Plant - having three (3) Nos. Coal Based Rotary Kilns each of 100 TPDCapacity, with an annual capacity of 90,000 Metric Tons. Sponge Iron Plant has itsown material storage and handling facilities and other auxiliary plant units.

After expansion the following configuration is proposed for the Integrated Steel Plant

Sl.No.

Description ofplant

Module Size/configuration

DailyProductionCapacity

AnnualProductionCapacity

1 Sponge Iron Plant,Rotary Kilns

3 x 100 T /dayof DRI

300 T 90,000 T

2 Steel Making Shop,Induction Furnacesand Billet Caster

2 x 12 T 240 T 72,000 T

3 Rolling Mill – TMTRebar Mill

Direct HotCharging

225 T 67,500 T

1.4





4 Power Plant Total 15 MW 324,000 kWh 106,920,000 kWh5 Waste Heat Boilers 3 x 2 MW6 AFBC Boiler 1 x 9 MW7 Iron Ore Crushing

& BeneficiationPlant

80 – 100 TPHsingle stream

670 T 201,000 T

8 Slag Crushing Plantfor SMS Slag

Single stream 5TPH

40 T 12000 T

Consultants have proposed the latest “State of Art” Technologies for the CaptivePower Plant, Steel Melting Shop and Rolling Mill.

The Proposed Technologies are:

a) Power Plant

The power is proposed to be produced in the most cost effective manner. Thesteam shall be produced in three (3) nos. Waste Heat Recovery Boilers(WHRBs) utilizing the sensible heat of waste gases of Sponge Iron Kilns. EachWHRB shall produce 9 to 10 t of steam and shall comprise an evaporator,super-heaters & economizer to recover the sensible of heat of kiln gases bycooling them from 850-9000C to 1800C.

The balance requirement of steam is proposed to be met by installation of a60 t capacity Atmospheric Fluidized Bed Combustion (AFBC) Boiler which shalluse Char & Low C.V. Coal in the ratio of 35% & 55%. AFBC technology is themost suitable for high ash low C.V. fuel and allows utilisation of Char producedas Solid Waste in Sponge Iron Kiln operation.

Selection of Steam pressure and temperature at 66 Ata & 4900C respectively isoptimum considering high efficiency and capital cost investment andmaintenance cost for the proposed size of 15 MW for the Power Plant.

T.G. Set of modern features and controls is proposed to be installed.

1.5





The cost of captive power generation is estimated at Rs.2.24 unit only ascompared to purchased power rate of Rs.5.50 per unit.

b) Steel Melting Shop

Steel Melting Shop will convert Sponge Iron to liquid steel of required grade inInduction Furnaces which will be converted in to billets in continuous castingmachine.

Two (2) Induction furnaces of capacity 12 T each will be installed to producequality steel

2 Strand 6/11m radius Continuous Casting machine will produce 72,000 T ofbillets of 100x100 mm size billets for further rolling in to steel bars.

c) Rolling Mill

The Rolling Mill shall be capable of carrying out direct rolling of hot billetscoming out of the Continuous Casting Machine without any intermediateheating in a billet reheating furnace. This technology has been adoptedsuccessfully in several Rolling Mills in India and abroad.

The other salient features of the Rolling Mill are:

- A Single Stand 500 mm 3-High Mill followed by a fourteen (14)Stand Continuous Mill with individual D.C. Motor Drives.

- Two (2) Nos. Crop-Cum-Cobble Shears of Start-Stop Type.

- Thermo Mechanical Treatment Line for on-line quenching toproduce high strength reinforcement bars.

- Dividing Shear & Automatic Rake Type Cooling Bed to reducemanual labour in hot area.

1.6





- Cold Shear for cutting the bars to customer lengths.

- Computerised Controls for mill operation from control desks.

d) Iron Ore Crushing & Beneficiation Facility

The Iron Ore Beneficiation Plant will use the wet screening process to removeAlumina & Silica particles adhering to the iron ore. This will increase the Fecontent in Iron Ore by about 2%. The plant will include crushers, screens,conveyors and water recirculation system. Washed and sized ore will besupplied as feed to the DRI Kilns.

e) Slag Crushing

Slag crushing facility will be installed to separate iron content from the SMSSlag and make it suitable for use in cement plant or for brick making.

The detailed description of the plant with flow diagrams as per the guidelines ofMOEF is referred in Chapter 04 of this PFR.

1.7





01.7 UTILITIES & SERVICES

Requirements are:

Daily Requirement

Existing for Sponge Iron Plant : 247 M3

15 MW Power Plant : 1758 M3

Steel Melt Shop 197 M3

Rolling Mill : 111 M3

Drinking, Sanitation & losses : 22 M3

________2335 M3

The total requirement of 2335 m3 per day is proposed to be met from River Damodarlocated 2.0 KM away from the Plant.

Compressed Air

Requirement of Compressed air for various units of plant will be met byinstalling Screw Compressors, Driers & Receivers in respective shops.

L.D.O.

It shall be needed only for initial heating of AFBC Boiler for which a 20 KLstorage tank with pumping system is proposed to be installed.

The detailed chapter for Utility & Services as per the guidelines of MOEF is referred inChapter 05 of this PFR.

1.8





01.8 ELECTRIC POWER

The plant at present receives power from 33 KV Supply Line with a sanctioneddemand of 1000 KVA from Jharkhand State Electricity Board for its Sponge IronPlant.

Power requirement after expansion will be 14.2 MW. Consultants have proposedretaining of both these supplies and synchronize the 15 MW Captive Power PlantGeneration with J.S.E.B Grid. Power requirement of the plant shall mostly be metfrom captive generation. Provision will be kept to feed power to grid as well asreceive power whenever required.

The detailed chapter for Electric Power as per the guidelines of MOEF is referred inChapter 06 of this PFR.

01.9 ENVIRONMENTAL POLLUTION CONTROL

The modern equipment selected for the project take into consideration the pollutionmitigation and control measures right at the design stage and in-built the same in theplant design. All requirements of Pollution Control Board with regards to Air Pollution,Liquid Pollutants, Solid Waste and Noise Pollution have been taken into consideration.

The detailed chapter for Environmental Pollution Control as per the guidelines ofMOEF is referred in Chapter 08 of this PFR.

1.9





Summary of Pollution Control Systems

All possible sources of particulate emissions are provided with collectionequipment as follows:

Sl.No Shop/Unit Source Pollution ControlEquipment

Residualdustcontent

1 Sponge Iron Kilns Flue Gas Electro StaticPrecipitator

< 50 mg/Nm3

2 AFBC Boiler in PowerPlant

Flue Gas Electro StaticPrecipitator

< 50 mg/Nm3

3 Steel Melting Shop InductionFurnace fumes

bag filter < 50 mg/Nm3

4 Material handlingsystems of Spongeiron plant, SMS,Power Plant andCrushing units

Dust frommaterialdischargepoints

Dust extractionhoods, ducting andbag filters

< 50 mg/Nm3

Plant is designed for zero discharge of water and liquid pollutants. All process coolingsystems use closed circulation of water. Reject water from systems like blow downs,etc. is used for non critical uses like slag quenching, ore washing, dust suppressionetc. Sanitation sewage is treated in septic tank and disposed in soak pit. Waterconsumed is only for make up due to loss on evaporation in cooling systems.

01.10 LAND

32.629 Acre Land already available is considered adequate for the existing andproposed additional facilities. Since no new land is to be procured, project does notenvisage any rehabilitation or resettlement.

The detailed chapter for Plant location & layout as per the guidelines of MOEF isreferred in Chapter 09 of this PFR.

1.10





01.11 RAW MATERIALS & SUPPLIES

Main Requirements are:

a) Sponge Iron Plant

Iron Ore : 171,000 t/year (from beneficiation plant)

Coal : 144,000 t/year (E-auction and open sale )

Dolomite : 2300 t/year(Purchased from Market)

b) Power Plant Fuel

Char : 22,000 t/year (available from Sponge Iron Plant)

Coal : 45,000 t/year (E-auction and open sale)

c) Steel Melting Shop

Sponge Iron : 90,000 t/year (available from Sponge Iron Plant)

Scrap : 19,800 t/year (Partly Purchased and someinternally generated)

d) Rolling Mill

Steel Billets : 72000 t/year available from SMS

e) Iron Ore Beneficiation Plant

Iron Ore : 201,000 t/year (Purchased from mines)

f) Other materials are chemicals for water treatment, lubricants & greases,refractories for boilers, rolls, guides, knives for shear blades for rolling mill.

The detailed chapter for Materials Management covering Raw Material & Supplies,finished products and disposal of surplus and waste material as per the guidelines ofMOEF is referred in Chapter 07 of this PFR.

1.11





01.12 EMPLOYMENT GENERATION

A total of 491 personnel comprising Technical Managerial & Supervisory Staff andDirectly Employed Manpower is proposed to be newly employed as follows:

- Existing Sponge Iron Plant : 95 personnel

- Power Plant : 54 Personnel

- Steel Melting Shop : 194 Personnel

- Rolling Mill : 134 Personnel

- Crushing & Beneficiation : 14 Personnel____

- Total : 491Indirect employment generation is expected to be more than 1500 persons.

Functions comprising Sale, Purchase, HR and Accounts are considered to be lookedafter by the existing organisation.

The detailed chapter for Employment Generation as per the guidelines of MOEF isreferred in Chapter 10 of this PFR.

01.13 PROJECT IMPLEMENTATION & CONSTRUCTION SCHEDULE

Project Implementation for facilities proposed under expansion is estimated to take18 months from the ‘Go Ahead’ date. Details are presented in the form of a BarChart in Chapter-12.

The detailed chapter for Project Implementation & Construction Schedule o f ProjectPlanning as per the guidelines of MOEF is referred in Chapter 12 of this PFR.

1.12





01.14 PROJECT COST ESTIMATES

Total Project Cost is estimated as Rs. 191.2 Crores including cost of existing spongeiron plant as Rs. 35.76 Crores and estimated Project Cost for additional facilities asRs.155.50 Crores. Payback period is expected to be 4.5 to 5 years and IRR about17%

The detailed chapter for Cost Estimates as per the guidelines of MOEF is referred inChapter 11 of this PFR.

Profitability of project is quite attractive. Project is technically andfinancially viable with positive impact on the local infrastructure hencerecommended for implementation.

2.1



Maa Chhinnmastika Cement & Ispat Pvt. Ltd., RamgarhKorus Engineering Solutions Pvt. Ltd.

C H A P T E R – 02

INTRODUCTION TO PROJECT

2.1 THE PROJECT

Maa Chhhinnmastika Cement & Ispat Pvt. Ltd. (MCCIPL) is operating an Iron & SteelPlant with the following production facilities:

a) Sponge Iron Plant having Three (3) Nos. Coal Based Rotary Kilns each of 100TPD Capacity, with an annual capacity of 90,000 Metric Tons.

It is proposed to undertake expansion of the facilities in the existing plant by forwardintegration with the purpose of improving the viability of the plant by cost reductionand producing value added saleable products. Following additional facilities areproposed:

i) A 15 MW Captive Power Plant (CPP) utilizing;

a) Waste heat from flue gases from existing Sponge Iron Kilns

b) Char produced as solid waste in Sponge Iron Kilns, which still has ampleheat value of 1800 – 2000 Kcal/Kg; and

c) Some additional coal from mines owned by the promoters.

The proposed CPP will produce power at a cheaper cost than power cost fromState Grids and also improve availability of power.

ii) Steel Melting Shop having Two (2) Nos. Induction Furnaces each of 12 tcapacity and a 2-Strand 6/11 M Radius Continuous Casting Machine with anannual capacity of 72,000 Metric Tons of Billets using 80% Sponge Iron and20% Scrap / Pig Iron as charge-mix.

2.2




iii) A 67,500 TPA Rolling Mill to convert the Steel Billets produced in Steel MeltShop to TMT bars with an aim of value addition.

iv) Iron Ore Crushing, Screening & Beneficiation Facility with 201,000 TPYcapacity for existing DRI Kilns comprising :

a) Jaw Crusher

b) Cone Crusher

c) System of conveyors, screens, hoppers, etc.

v) Slag Crushing Facility for SMS Slag.

2.2 THE PROMOTERS

RUNGTA GROUP of Industries started with a vision – “a vision of contributing tothe national economy to make it competitive, vibrant and resilient”. Settingoff with it's Steel Industries, core competency business in Mining, it has nowdiversified into various other areas and has established a country-wide presence. TheGroup began its journey from a small town Ramgarh, Jharkhand, and has now itsbusiness premises and presence in northern and eastern India. Seeds of success, ofthe now magnificent group, were sown way back in 1990 under the steeringleadership of Sri Ram Chandra Rungta, the mentor and the visionary of the group.

Sri Ram Chandra Rungta, a renowned industrialist from Jharkhand, hails from thereputed Rungta family having diversified business exposure in mining, excavation,real estate ,transportation, highway & civil projects, steel industry, cement industry,irrigation system etc . The group owned Iron and Steel Industry based units are thekey Companies under the name rendering the group an identity, presence andunparallel success in the short span of time. Today, the group has under its umbrella,

2.3




companies which are in varied industries to name a few Steel, Excavation,Transportation, Cement, and Real Estate Business along with a Multi-Facility Club.

Mr. Rungta has contributed to society by and large by his Vision; Determination andValues. His vision not only contributed for exploitation of the Nature’s bounties in thebest interest of the Industries and Economy as a whole but has even generatedemployment for the people at large. Shri Rungta played a catalyst role in theutilization of the states richly blessed soil and beneath earth resources for thedevelopment of the economy. To stand and be amidst one of the developedeconomies what India, needs is continued endurance and skill full leaders like Mr.Rungta. Shri Rungta has propelled well and has taken the Group’s success to heights,signifying the strength in the vision.

Apart from such contribution, he has contributed to the quality life of society. In theyear 2002, he had set up a multi-facility club under the name and style of RamgarhGymkhana Club in a small town like Ramgarh.

The journey of the Group stated with the establishment of small transportationcompanies in the year 1990.Gradually the group diversified and entered into miningand excavation, highways and civil projects, mini steel plants, mini cement plants etc.

The Group owns the following Iron & Steel Plants – all located in Ramgarh District inthe State of Jharkhand.

1. Jharkhand Ispat Private Limited was formed on 29.04.2003 and it issituated at Vill: Hesla, Argada, Ramgarh Cantt, Jharkhand. At present companyis manufacturing Sponge Iron having capacity of 120,000 TPA and Billethaving capacity of 90,000 TPA. Presently the Directors of Jharkhand IspatPrivate Limited are:

a) Mr. Ram Chandra Rungtab) Mr. Rajeev Kumar Agarwal

2.4




2. Aloke Steels Industries Private Limited was formed on 06.05.2004 and itis situated at Vill: Budhakhap, Karma, Ramgarh Cantt, Jharkhand. At presentcompany is manufacturing Sponge Iron having capacity of 120000 TPA.Presently the Directors of Aloke Steels Industries Private Limited are:

a) Mr. Abhishek Rungtab) Mr. Kamendra Mishra

3. Maa Chhinnmastika Cement & Ispat Private Limited was formed on02.06.2004 and it is situated at Vill: Hehal, Barkakana, Ramgarh Cantt,Jharkhand. At present company is manufacturing Sponge Iron having capacityof 90,000 TPA. Presently the directors of Maa Chhinnmastika Cement & IspatPrivate Limited are:

a) Mr. Alok Rungtab) Mr. Parsuram Singh

2.3 APPOINTMENT OF CONSULTANTS & THEIR TERMS OF REFERENCE

MCCIPL have commissioned the services of KORUS ENGINEERING SOLUTIONS PVT.LTD. (KORUS), a leading Indian Company in the field of Engineering & Consultancy ofSteel Plants in India & Abroad, to prepare a Pre Feasibility Report (PFR) for obtainingprior environmental clearance in terms of the provisions of EIA notification, 2006.

The TEFR is required to be prepared on the Guidelines for Preparation of PFR issuedby Ministry of Environment & Forests vide Ref No. J-11013/41/2006-1A.II(I) dated30th December, 2010.

2.5




2.4 THE REPORT

The Consultant’s Report prepared after carrying out the basic engineering of theproject, is presented in the following 13 Chapters of text supports by Tables,Annexures and Drawings. Executive Summary is enclosed as Chapter # 1 in thebeginning of the Report.

CHAPTER NO. CONTENTS

1 EXECUTIVE SUMMARY

2 INTRODUCTION 0F THE PROJECT & BACKGROUND INFORMATION

3 MARKET OPPORTUNITIES & PRODUCT MIX

4 PROJECT DESCRIPTION.

5 UTILITIES AND AUXILIARY SERVICES

6 ELECTRIC POWER REQUIREMENT, SUPPLY & DISTRIBUTIONSYSTEM

7 MATERIALS MANAGEMENT

8 ENVIRONMENTAL POLLUTION CONTROL MEASURES

9 PLANT LOCATION, LAYOUT & INFRASTRUCTURE

10 EMPLOYMENT GENERATION – DIRCT/ INDIRECT

11 ESTIMATED PROJECT COST

12 PROJECT IMPLEMENTATION AND CONSTRUCTION SCHEDULE

13 PROJECT APPRAISAL & RECOMMENDATIONS

2.6




2.5 COMPLIANCE TO MOEF GUIDELINES FOR PFR

Table 2.1 below gives the reference to details covered in the report corresponding tovarious clauses of the MOEF Guidelines for preparation of Pre Feasibility Report.

TABLE No. 2.1

Sl.No.

Description Compliance /Reference to Detailscovered in Chapters

Remark

1 Executive Summary Chapter -1

2 Introduction of the project &Background information

i Identification of project and projectproponent. In case of mining project, acopy of mining lease and letter of intentshould be given.

Chapter - 2

ii Broad description of nature of the project, Chapter - 2

iii Need for the project and its importance tothe countryand or region.

Chapter - 3

iv Demand Supply Gap Chapter – 3

v Imports vs. Indigenous production Chapter – 3

vi Export Possibility Chapter - 3

vii Domestic / export Markets Chapter - 3

viii Employment Generation (Direct andIndirect) due to the project.

Chapter - 10

2.7




Sl.No.


Remark

3 Project Description Chapter - 4

Type of project including interlinked andinterdependent projects, if any.

4.0

Location (map showing general location,specific location, and project boundary &project site layout) with coordinates.

4.1 and Chapter - 9

Details of alternate sites considered andthe basis of selecting the proposed site,particularly the environmentalconsiderations gone into should behighlighted

Chapter -9 Existing plantarea. Noalternative sitestudy required

Size or magnitude of operation. 4.0Project description with process details (aschematic diagram! flow chart showingthe project layout, components of theproject etc. should be given)

4.2 to 4.7

Raw material required along withestimated quantity, likely source,marketing area of final product/s, Modeof transport of raw Material and FinishedProduct.

Chapter – 7

Resource optimization/ recycling andreuse envisaged in the project, if any,should be briefly outlined.

Chapter – 7 (7.6)

Availability of water its source, Energy/power requirement and source should begiven.

Water – Chapter – 5Power – Chapter – 6

Quantity of wastes to be generated (liquidand solid) and scheme for theirManagement/disposal.

Chapter – 7

Schematic representations of thefeasibility drawing which give informationof EIA purpose

Flow diagramsenclosed with PFRChapter - 4

Site Analysis Project is expansionof existing plant

2.8




Sl.No.


Remark

within availableplant site. Detailedsite analysis notdone.

4 Project Planning Chapter - 12

Planning Concept (type of industries,facilities transportation etc) Town andcountry Planning/ Development authorityClassification

Chapter – 12

Population Projection Chapter – 12

Land use planning (breakup along withgreen belt etc),

Chapter - 12

Assessment of Infrastructure Demand(Physical, Social).

Chapter – 12

Amenities/Facilities. Chapter - 12

5 Propose Infrastructure Shown in LayoutDrawing

Industrial Area (Processing Area). Annexure-4.3

Residential Area (Non Processing Area). Annexure-4.3

Green Belt. Annexure-4.3

Social Infrastructure. Already available forexisting plant

Connectivity (Traffic and TransportationRoad, Rail/Metro/Water ways etc)

Layout Drawing

Drinking Water Management (Source &Supply of water)

Chapter -5

Sewerage System. Chapter - 4

Industrial Waste Management. Chapter -7

2.9




Sl.No.


Remark

Solid Waste Management Chapter - 7

Power Requirement & Supply / source. Chapter -6

6 Rehabilitation and Resettlement (R& R) Plan

Not applicable sinceno new land areaprocured.

Policy to be adopted (Central/State) inrespect of the project affected personsincluding home oustees, land oustees andlandless laborers (a brief outline to begiven).

7 Project Schedule & Cost EstimatesLikely date of start f construction andlikely date of completion (Time schedulefor the project to be given).

Chapter – 12

Estimated project cost along with analysisin terms of economic viability of theproject.

Chapter – 11

8 Analysis of proposal (FinalRecommendations)Financial and social benefits with specialemphasis on the benefit to the localpeople including tribal population, if any,in the area.

Chapter – 13

3.1

Pre Feasibility Report for Expansion of Existing SpongeIron Unit with Addition of a 15 MW Power Plant,



C H A P T E R – 03

MARKET OPPORTUNITY &PROPOSED PRODUCT-MIX

3.1 MARKET OPPORTUNITY

Steel is traditionally considered the backbone of national economic development. It isa major input into sectors which support economic growth such as infrastructure,machinery, power and railways, as well as being important for fast growing sectors,in particular automobiles and consumer durables.

India is the fourth (4th) largest steel producer in the world, presently producing about75 Million Tonnes of saleable finished steel products in the ratio of about 50-50% inthe category of Flat Products and Long Products. The production trend in the pastSeven (7) years is as given in Table-3.1.

TABLE-3.1

Production of Finished Steel Products in Million TonnesY e a r

2008 2009 2010 2011 2012 2013 2014

India 51.4 57.9 64.9 69.8 72.4 73.7 75.3

World 1226.1 1150.7 1303.2 1411.8 1439.3 1528.4 1537.3

The Per Capita Steel usage for the years 2008 to 2009 is presented as in Table-3.2.

3.2




TABLE-3.2

Per Capita Consumption of Steel (Kilograms finished steel products)Y e a r

2008 2009 2010 2011 2012 2013 2014

India 43.8 48.6 53.9 57.1 58.5 58.8 59.4

World 185.2 171.7 193.0 205.8 207.4 217.8 216.6

China 332.8 408.1 432.1 468.6 479.4 530.6 510.6

It will be evident from above Table that per capita consumption of steel in India isonly about 60 Kg as compared to a world average of 217 Kg and China’s 510 Kg.Being a developing country, the consumption in the country shall increase every yearcreating a good demand over the coming years. The present Government has anambitious development agenda and has forecasted that with the planned projects inInfrastructure Sector, the steel demand shall almost double by the year 2020.

The demand for Rebars which is about 30% of the total Steel Consumption in thecountry is expected to grow from 22.0 Million Tonnes per annum to about 44.0Million Tonnes per annum by 2020.

TMT Rebars are used as Steel Reinforcement Bars in the construction sector forbuilding the houses, industrial buildings, bridges for highways, roads & railways,schools, airports, recreation centres, power plants & electrical distribution, civil worksetc.

3.2 NEED FOR THE PROJECT

MCCIPL is presently producing about 90,000 Tons per year of Sponge Iron which ispresently sold in market for production of steel.

3.3




MCCIPL management has realized that for its business to survive, the Companyshould stop selling Sponge Iron and should produce Steel and convert toReinforcement Bars as value added product and also take measures to reduce cost ofproduction.

It can be concluded from the Market scenario presented in para 3.1 thatMCCIPL with production of only 67,500 metric tons per annum of TMTRebars shall have a sustained marketability, more so, due to the costreduction measures being focused in the planned expansion project.

Further, the project envisages the following energy and costs saving measures toachieve lower cost of production in the Integrated Steel Plant for sustainability:

1. Install a Captive Power Plant of 15 MW Capacity to produce cheaper electricalpower by utilizing;

- Waste Heat from Sponge Iron Kiln Flue Gases.

- Utilizing char produced as solid waste from Sponge Iron ProductionProcess, to serve as a part of fuel for the proposed Power Plant.

- Use of coal from captive mines of the group to meet the balancerequirement of fuel for the Power Plant.

2 Install a Steel Melting Shop having Two (2) Nos. Induction Furnaces each of 12t capacity and a 2-Strand 6/11 M Radius Continuous Casting Machine with anannual capacity of 72,000 Metric Tons of Billets using 80% Sponge Iron and20% Scrap / Pig Iron as charge-mix.

3. Install a Rolling Mill downstream of Continuous Casting of Steel Melt Shop tocarry out direct rolling of hot billets without any additional heating in aReheating Furnace. This will save on fuel cost of reheating the billets whichhas to be incurred if billets produced are cooled, transported and rolled in arolling mill far away.

3.4




Also the direct rolling will save on the cost of loading, transportation andunloading in addition to a reduction of scale loss to the tune of 1-1.5% forreheating.

Thus, MCCIPL management considers it essential to make investment on theproposed facilities bringing synergy to the operation of the complete plant andbe a competitive supplier of a fast moving product in the category of Thermo-Mechanically Treated High Strength Steel Reinforcement Bars, commonlytermed as ‘TMT Rebars’.

4. Iron Ore Crushing & Beneficiation Facility to process 201,000 T/ year iron ore isproposed to be installed for providing sized material to the DRI Kilns for theiroptimum operation.

5. Slag Crushing Facility for crushing of SMS Slag and recover metallic componentfrom Slag.

Overall Process and Material Flow for the Project is shown in Annexure-4.1

3.5




3.3 PRODUCT-MIX

Depending on the consumption pattern of TMT Rebars in the country and profitmargins, the Consultants propose the following Product-Mix for MCCIPL (See Table-3.3):

TABLE-3.3

PRODUCT-MIX FOR TMT REBARS

Rebar Size Yearly Production(mm) % Metric Tons

8 20 13,50010 30 2025012 20 13,50016 15 10,12520 8 5,40025 3 2,02528 2 1,35032 2 1,350

______ _______100% 67,500

4.1




C H A P T E R – 04

PROJECT DESCRIPTION

4.1 PROJECT CONFIGURATION

This chapter describes the project location, processes of manufacture along withcapacity selection and major features for the existing facilities and new facilitiesproposed to be added at MCCIPL works. The requirements of chapter 3 of guidelinesof MOEF are covered in this chapter.0

At present Sponge Iron Plant with 3 x 100 TPD Rotary Kilns is existing. FinalConfiguration of the plant after Expansion is proposed to be as per Table 4.1:

Table 4.1

Sl.No.

Description ofplant

Module Size/configuration

DailyProductionCapacity

AnnualProductionCapacity

1 Sponge Iron Plant,Rotary Kilns(Existing)

3 x 100 T /dayof DRI

300 T 90,000 T

2 Steel Making Shop,Induction Furnacesand Billet Caster

2 x 12 T 240 T 72,000 T

3 Rolling Mill – TMTRebar Mill

Direct HotCharging

225 T 67,500 T

4 Power Plant Total 15 MW 324,000 kWh 106,920,000 kWh5 Waste Heat Boilers 3 x 2 MW6 AFBC Boiler 1 x 9 MW7 Iron Ore Crushing

& BeneficiationPlant

80 – 100 TPHsingle stream

670 T 201,000 T

8 Slag Crushing Plantfor SMS Slag

Single stream 5TPH

40 T 12,000 T

4.2




The project is an expansion of existing works and will be located in the same locationas the existing plant for which the area is available. Project is stand alone project forcreating Integrated Steel Making facility at one location without dependence on otherprojects.

Overall process and material flow for the project is shown in Annexure – 4.1 andEnergy Balance for the Plant is shown in Annexure – 4.2

4.1 PLANT LOCATION

The MCCIPL Plant is located at Village Hehal, P.O. Barkakhana, Distt. Ramgarh in theState of Jharkhand.

Latitude : 23 37’ 07.56” N

Longitude : 85 25’ 42.82” E

Nearest Railway Station : Barkakhana - 6 KM from site.

Nearest Airport : Ranchi – at a distance of 50 KMs.

Nearest Access Road : Ramgarh - Patratu Road, SH-2 at 0.5 KM

Nearest Highway : NH # 33 at a distance of 15 KM.

Forest Area / Wild Life Sanctuaries /National Parks / Archaeological /Historically Important Site

: None within 15 KM Radius

Source of Water : Damodar River located 2 KM away.

Total Land Area of Existing Plot : ≈ 32.629 Acre

Power Source : State Grid

4.3




Plant is located in land allocated to MCCIPL in declared industrial area. Land is fairlylevel and new proposed facilities will be installed in vacant area within the plant land.Location is close to the National Highway with convenient linkages for raw materialsupply as well as transportation of finished products. Considering the selection oftechnologies for the new units and their location within the existing plant premises,the project will not have any impact on the environmental aspects of the region andis considered ideal for the purpose.

Layout of the existing and proposed units is shown in Annexure 4.3. Details oflayout, land use and salient features of site are covered in Chapter -9.

4.2 PROCESS DESCRIPTION FOR EXISTING SPONGE IRON PLANT

To produced sponge iron, sized lump ore is fed along with coal, recycled char andflux in to the Rotary Kiln wherein iron ore gets converted to metallic iron. Flux helpsin scavenging Sulphur content from coal. Brief features of the process are as follows :

Kiln process of DRI production involves tumbling of iron ore with select grade ofnon-coking coal and dolomite in a rotary kiln.

The kiln is supported on roller stations and rotated by means of a variable speedAC motor and girth gear mechanism. Refractory lined rotary kiln of suitable size isplaced on two or four support stations and is kept inclined at 2.5 % slope.

The transport rate of materials through the kiln can be controlled by varying itsslope and speed of rotation. There are inlet and outlet cones at opposite ends ofthe kiln that are cooled by individual fans.

The kiln shell is provided with small sampling ports, large ports for rapid removalof the contents in emergency or for lining repairs. Longitudinal positioning of thekiln on its riding rings is controlled hydraulically.

The coal and iron ore are metered into the high end of the inclined kiln. A portionof the coal in pulverized form is also injected pneumatically from the discharge

4.4




end. The burden first passes through a pre-heating zone where coal de-volatilization takes place and iron ore is heated to pre-heating temperature forreduction.

Temperature and process control in the kiln are carried out by installing suitableno. of air injection tubes made of heat-resistant steel. These are spaced evenlyalong the kiln length and countercurrent to the flow of iron ore. Tips of the airtubes are equipped with special internal swirlers to improve uniformity ofcombustion.

A central burner located at the kiln discharge end is used with LDO for heatingthe cold kiln. After initial heating, the fuel supply is turned off and the burner isused to inject air for coal combustion.

The kiln temperatures are measured with fixed thermocouples and QuickResponse Thermocouples (QRT). Fixed thermocouples are located along thelength of the kiln to monitor temperature profile of kiln. Fixed thermocouples, attimes, may give erratic readings due to coating with ash, ore or accretion. In sucha case QRT are used to monitor the kiln temperatures.

The product (DRI) is discharged from the kiln at about 1000°C. An enclosedchute at the kiln discharge end is used to transfer the hot DRI to a rotary cooler.The cooler is a horizontal revolving cylinder of appropriate size, wherein DRI iscooled indirectly by water spray on the cooler upper surface. The cooling watercollected in troughs below is pumped to the cooling tower for recycling along withmake-up water.

DRI is cooled to about 100°C without exposure to atmospheric air. A grizzly in thechute removes accretions that are large enough to plug up or damage the coolerdischarge mechanisms.

The product is screened to remove the plus 30 mm DRI. The undersize – a mix ofDRI, dolo-char and coal ash are screened into +/- 3mm fractions. Each fraction

4.5




passes through a magnetic separator. The non-magnetic portion of the plus 3mmfraction is mostly char and can be recycled to the kiln if desired.

The nonmagnetic portion of –3mm fraction, mostly spent lime, ash and fine charis discarded.

Magnetic portion of each fraction is DRI. Of this the +3mm fraction can be useddirectly for steel making and the finer fraction is either briquetted or collected inbags.

The kiln waste gases leave at about 850-900°C. These are passed through dustsettling chamber where heavier particles settle down due to sudden decrease invelocity of gases. The flue gases are then passed through an After BurningChamber (ABC) where un-burnt combustibles are burnt by blowing excess air.The temperature of the after burner chamber, at times, is controlled by watersprays.

Burnt gases are passed through a down duct into an evaporation cooler where itstemperature is brought down and balance dust particles are separated through apollution control equipment namely ESP / Bag filter/ scrubber. The gas is let offinto the atmosphere through stack via ID fan.

The thermal energy in outgoing flue gases is recovered through Waste HeatRecovery Boiler (WHRB) where sensible heat of the gases is extracted and thenlet off into the atmosphere after passing through pollution control equipment likeESP, ID fan and stack.

Simplified process flow of Sponge Iron Plant is shown in Annexure – 4.4

4.6




4.3 PROCESS DESCRIPTION FOR POWER PLANT

Total power generation for the proposed power plant is taken as 15 MW using SteamTurbine Generator set. Production of steam required for power generation isproposed from following sources:

Installation of four (3) nos of Waste Heat Recovery Steam Generators capableof producing 9T/h of steam each from the hot flue gases produced by existing3 x 100T capacity DRI Rotary Kilns.

Installation of AFBC type boiler for steam generation using waste char as fuelsupplemented by coal firing to the extent required. Capacity of the boiler isproposed as 35-45 T/h of steam to ensure production of 15MW power evenwhen two out of three kilns are in operation.

Flow Diagram for overall system for the Power Plant is given in Annexure – 4.5.

4.3.1 Waste Heat Recovery Steam Generators (WHRSGs) for Sponge Iron Kilns

Each Kiln has a Waste Gas Volume of 22,000 to 25,000 Nm3 discharged at 850 to9000C (9500C maximum).

The gas is presently being cooled in a Gas Cooler to a temperature of about 1800Cand then cleaned in an electrostatic precipitator and then discharged by an InducedDraught Fan into atmosphere through a Steel Chimney. The heat of the gases ispresently not utilized for any useful purpose.

It is possible to utilize the heat of waste gases by installing a Waste Heat RecoverySteam Generator (WHRSG) for each Kiln. The well tried out configuration for WHRSGis comprised of an Evaporator, Super-heater in two (2) sections and an Economizerwhich will bring down the temperature of gases from 850-9000C to 1800C andproduce 9 to 10 TPH Steam at a pressure of 66 Ata and 4900C.

4.7




4.3.2 Technological Features of WHRSGs

The technological features of the WHRSG shall be as follows:

Type : Single Drum Water Tube with RadiantChamber.

Type of Water Circulation : Natural Circulation

The boiler pressure parts shall consist of water wall system of Fin Welded membraneconstruction, Super-heater Stage-I, Super-heater Stage-II, Spray Type De-super-heater (Attemperator) between the super-heater stages to control the steam super-heat temperature to 490 ± 50C, Economizer, Steam Drum, Risers & Down comers.,The economizer shall be a plain tubular counter flow and drainable type construction.In the economizer, the feed water shall be heated to a temperature close to thesaturation temperature by the outgoing gas.

In the steam drum, the water shall be received from economizer outlet header. Thesteam drum is sized to have adequate steam space and water space. The steamdrum is equipped with internals, which remove the water particles from the saturatedsteam, before it enters into the super-heater.

The steam generated in the furnace water walls is taken to the steam drum througha series of riser tubes. The water wall bottom headers receive the water from thedrum through a series of down-comers. The entire super-heater area is arranged inthe convection and radiant zone. The super-heater heats the saturated steam fromsteam drum by absorbing the heat from the flue gas to the required temperature.The de-super-heater sprays feed water into the steam to maintain outlet steamtemperature to the required level.

Common System for a Pair of Kilns

The following items of equipment are proposed to be common for pair of two Kilns tobring economy in capital cost without affecting the working. Third kiln will haveseparate facility with matching capacity.

4.8




Deaerator-Cum-Storage Tank having 20 min capacity.

Boiler Feed Water (BFW) Pumps (1 working + 1 standby)

Blow-down Tanks

One H.P. Dosing System with 2 working + 1 standby pumps. One pump shalldose one WHRB.

One L.P. Dosing System with 1 working + 1 standby pump for serving thecommon Deaerator.

The boiler shall have Digital Distributed Controls for the complete operation of theboiler in conjunction with T-G set operation.

4.3.3 ATOMOSPHERIC BUBBLING FLUIDIZED BED COMBUSTION (AFBC) BOILER

The boiler is envisaged to use the following solid fuels:

a) Char generated as solid waste in the existing Kilns. It has a calorific valueranging from 1800 to 2200 Kcal/Kg i.e. an average calorific value of 2000Kcal/Kg. The annual generation of Char is 22,000 t.

b) Coal with an average calorific value of 3600 Kcal/Kg. Annual requirement isexpected to be about 45,000 T

Selection of Type of Boiler

Based on the experience of working of boilers for identical application in similarplants, an Atmospheric Bubbling Fluidized Bed Combustion (AFBC) Boiler isconsidered to be the ideal choice. It has the following advantages:

No need to grind the coal as required for Pulverized fuel firing. The boiler usesa fuel size of -6 mm.

4.9




As a result of better heat transfer, the unit size and hence the capital costs arereduced.

It can respond rapidly to changes in load demand since thermal equilibriumbetween the fuel particles in the bed is quickly established.

Low combustion temperature of 800 to 9000C inhibits formation of nitrogenoxides.

Due to low bed temperature, it can use coal of high ash content upto 50%.Even coals with 70% ash can be efficiently burnt.

Dolomite / Lime is used in the bed material to take care of sulphur in the fuelfrom pollution point of view. Hence high sulphur coals can be used. The FlueGas Desulphurization System is not required, thus reducing the capital cost.

Combustion temperature can be controlled accurately which helps in achievingbetter life of tubes in boiler components.

4.3.4 Description of Proposed AFBC BoilerThe Boiler selected for Coal & Char firing is atmospheric bubbling type fluidized bedcombustion boilers of 45 TPH steaming capacity (to ensure total 15 MW Power evenwhen two kilns are in operation) with following design features :

1. Natural Circulation Design2. Balance Draft Furnace3. Single Drum Construction4. Under Bed Fuel Feeding System5. Fluidized Bed Combustion6. Top Supported Design7. Semi outdoor Installation

4.10




The Boiler is designed for firing coal and char as the main fuel. The Boiler is lightedup using Charcoal & Diesel Oil. The complete furnace section is made of watercooled membrane wall construction arranged as a gas & pressure tight envelope.Refractory is provided inside the furnace on the water wall for a suitable height.

The steam drum is designed and provided simple and efficient drum internals,resulting in high steam purity at all load condition of boiler output.

The fuel preparation and firing system consists one twin type bunker for both coaland char. The fuel feeder is provided with VFD to control the fuel feed quantity.Primary air transports the fuel pneumatically into the bed through the fuel air mixingnozzles. Fuel is feed into the fluidized bed through under bed coal feed piping andbubble cap type fuel nozzle. The draft system for the boilers includes 1 no. I.D. Fan,1 no. F.D. Fan, 2 nos. P.A. Fans. Bed ash coolers are provided for cooling the ashdischarged from the level of fluidized bed during operation. It consists of a smallfluidized bed with air cooling. The complete boiler is top support design and integralpiping, valves and fittings, air and flue gas ducting, refractory / insulation withnecessary fixing components, aluminium claddings provided for boiler. Ductingsystem is provided with necessary supporting steel work, expansion joints, dampersetc. Primary and secondary air flow measuring devices are provided in the system.Necessary secondary and isolating dampers are provided for efficient and safeoperation of the boiler. Secondary dampers are pneumatically operated and fanisolation dampers are motor operated.

An electrostatic precipitators is envisaged for dust collection. The ESP is designed tolimit the outlet emission to 50 mg/Nm3. The blow down system for the boilerincludes one of CBD and one IBD tank with all associated drains and vents, levelgauges, temperature and pressure gauges etc. The boiler is provided 2 nos. of feedpump along with motor drive. One spray-cum-tray deaerator with storage tank isprovided.

4.11




4.3.5 T.G. SET

One Steam Turbo Generator set suitable with Air/ water Cooled Condenser with anoutput of 15 MW is proposed to be installed. The salient features of the equipmentare:

Turbine

Type : Horizontal single cylinder, single controlledextraction (common to Process and Deaeratorheating) cum Condensing, multistage.

Inlet Steam Pressure : 65 Ata

Inlet Steam Temperature : 4850C

Generator

Rated Output : 15 MW

Speed : 1500 RPM

Output Voltage : 11 KV

Power Factor : 0.8

TG Set will include Gear Box, Lubricating Oil system and all other accessoriesincluding control system.

4.4 PROCESS DESCRIPTION FOR STEEL MAKING SHOP

Suitable technology and optimum equipment have to be selected for manufacture of72,000 TPA of Mild Steel Billets as an input to the Rolling Mill using in houseproduced DRI. Project investment as well as the manufacturing costs are to be keptas low as possible with minimal impact on environment. Sponge Iron is to be utilizedas raw material to maximum extent possible.

4.12




Electric Steel Making through Melting in an Electric Induction Furnace (IF) and BilletCasting in a Continuous Casting Machine (CCM) is the only and well establishedtechnology for meeting the objectives. During the last four decades, there has beentremendous development in Electric Steel Melting. This technology today is widelyused not only for recycling of scrap (which was the original objective) but also formanufacture of steel from the primary raw materials (in the shape of DRI, HBI, SI, ICetc.)

For producing 72,000 TPA Billets, it is proposed to install 2 Nos. Induction Furnacesof 12 T capacity each with matching Billet Caster.

Production Capacity

Description Unit

Billet Production (Yield 98%) tons/ yr 72,000Liquid Steel Production tons/ yr 73,500Operating Days days/yr 300Liquid steel tons/day 245Tap-to-tap time min 120 - 130No. of Heats Per day 21Furnace capacity Tons 2x12

Raw Material Requirement

Name of Raw Material Qty. required / MToutput of Induction

Furnace

Total qty.required per

annum

Sponge Iron 1.0 MT 73,500 MTPAPurchased Scrap 0.2 MT 14,500 MTPAReturn Scrap 0.04 MT 3,000 MTPA

4.13




In Induction Furnace, Steel Scrap & DRI are melted and converted into high qualitysteel by using induction heating. IF is a tool to melt solid raw materials to liquid steelas fast as possible and then refine to get desired quality of steel.

Scrap will be charged into the crucibles for generating the hot heel. Necessary carbonin the form of petroleum coke will be added into the crucibles to ensure theavailability of necessary carbon in the bath. Pig iron also can be used for maintainingproper operating conditions. Once the molten bath has been formed and theminimum temperature of the bath has been achieved, DRI will be chargedcontinuously through vibro feeder and the slag formed will be removed periodically.After the completion of charging and melting, a sample will be drawn to determinethe composition of the bath. After achieving the desired melt analysis, thetemperature will be raised to the tapping temperature and furnace is tapped rapidlyinto preheated ladle.

Fumes generated during the process are sucked through collection hood and arepassed through cyclone cum spark arrestor before entry to pulse jet type bag filterfor removal of dust particles. ID fans are used for suction of the fumes and dischargein to atmosphere through stack. Dust content at stack outlet will not exceed50mg/Nm3. Flow diagram of dust collection is shown in Annexure – 4.6.

Billet Caster

Liquid steel after tapping from IF is taken to the continuous casting machine. Theladle is raised and placed on to a ladle stand above the tundish. Liquid metal flowsout of the ladle into the tundish and then into water-cooled copper mould.Solidification begins in the mould, and continues through the first zone and strandguide. In this configuration, the strand is straightened, torch-cut and then dischargedfor intermediate storage or hot charged for finished rolling.

4.14




2-Strand 6/11m radius Billet Caster with annual production capacity to cast 72,000 Tof 100x100 mm square size is proposed to be installed. The billet caster shall becomplete with ladle stand, mould assembly, Strand guide segments and supportswithdrawal and straightening system, mould cooling system, Cut-off equipmentincluding length measuring device, Marking machine etc. Requisite dummy bar andfacilities for Dummy bar disconnecting and a dummy bar receiver will be included.

4.5 PROCESS DESCRIPTION FOR ROLLING MILL

4.5.1 The process of manufacturing of high strength rebar basically consists of selectingbillets of Correct Steel Composition, heating the billets to a temperature suitable forhot working and then rolling. The rolling process consists of passing the hot billetthrough a number of rotating grooved roll pairs, progressively and sequentiallyreducing the cross sectional area till desired size of bar is obtained. The hot rolledbars are then cooled, cut to customer length in a cold shear, collected in a bundle ofsuitable size which is suitably tied and dispatched to customer.

The process shall utilize the heat of rolled bar itself for thermo-mechanical treatmentthrough water quenching thus eliminating the need of using Micro-alloyed Steelgrades which are otherwise required to get the same strength. The process will useordinary grade of Steel billets with 0.16-0.23% Carbon and 0.8 to 1.5% Manganese.This will result in saving on the cost of the billets.

Billet size & length

In order to achieve a high yield (upto 95%) of finished product, it is proposed to roll6000 mm long billets in cross section of 100 x 100 mm size weighing 456 Kgs.

4.15




Direct Rolling

It is envisaged that hot billets coming out from billet caster at 950-10000C will bedirectly rolled without re-heating. Billets which will not be rolled directly due to millbeing down or any other reason will be sold in the market.

Simplified Flow Diagram for the Rolling Mill is shown in Annexure – 4.7

Rolling Mill Process Flow Chart is shown in Annexure 4.8

4.4.2 Salient Features of Rolling Mill

For the envisaged capacity of 67,500 TPA Rolling Mill and use of 100 mm square6000 mm long billets weighing 456 Kgs, a Semi-Continuous Rolling Mill with a SingleStand 3-Hi Roughing followed by a Continuous Mill with 2-High Stands is proposed.

The salient features of the proposed facilities for MCCIPL mill are described below.Judicious selection has been made to create a ‘Fit-for-Use’ mill with minimum capitalinvestment but capable of achieving high productivity.

i) Mill Arrangement

The Rolling Mill comprises 15 Nos. Mill Stands arranged as follows:

Roughing Mill - Single Stand 500 mm, 3-HighIntermediate Mill - 6 Stands; andFinishing Mill - 8 Stands

_________Total - 15 Stands

ii) Use of 2-High Stands for Intermediate & Finishing Mill

It is proposed to use all the stands of two high closed top housing design.These stands offer the following advantages over the conventional stands:

4.16




iii) Individual Drives for all stands

All stands are proposed to have individual drives so that the speed of eachstand can be controlled separately. This arrangement minimizes rollconsumption and provides better dimensional control of the bar throughout therolling process, thus resulting in close tolerances of the finished product.

iv) Intermediate Mill

Considerable thought has been given on the arrangement of this section of themill. Two possibilities have been investigated viz. H-V arrangement of standv/s Horizontal-Horizontal arrangement. It is now proposed that all stands inthis section shall be kept in horizontal arrangement and no Vertical stands shallbe used. The decision is based on following reasons:

- The vertical stands cost at least 50% more than the Horizontal stands andshould be used only when very essential as in rolling of Alloy Steels.

- The bar stock having been already hot worked for 5 passes in roughingsections becomes quite tough. Also the size has been reduced. Therefore,the twisting of such bars does not pose any difficulty. This is more so asonly low carbon steel grade is being rolled.

v) Finishing Mill

For Finishing Mill shall have Horizontal arrangement for all stands.

vi) Tension Free Rolling

Three (3) Nos. of inter-stand loopers have been provided in the Finishing Mill toachieve good tolerances on the finished product by avoiding pull i.e. tension inthe bar.

4.17




vii) Fast Groove Changing and Constant Pass Line Operation

The mill shall have arrangement for quick shifting of stand & guides in rollingposition for groove changing and for removal / replacement of stand. The passline i.e. the line of rolling shall remain constant. The shifting shall be achievedmechanically or hydraulically.

viii) Start / Stop Drive for Flying Shears

The crop-cum-cobble shears after Stand # I2 & # F2 and the dividing shear areall proposed to have individual drives with start/stop arrangement. This featuregives a high reliability to the function of the machine by continuouslymaintaining the set cut length accurately. Also these shears need minimummaintenance as compared to shears with pneumatic clutch and brake.

ix) Thermo-Mechanical Treatment (TMT) of Bars

The consultants have proposed adoption of well established technology ofproducing high strength rebars by carrying out on-line heat treatment of barunder rolling, utilizing its rolling heat. It may be noted that the TMT technologyhas totally replaced old technology of Bar Twisting. It is recommended to useThermax Technology for TMT which is well established and reputed amongproducers as well as its users.

TMT process essentially consists of heat treatment of bars as follows:

a) The bar leaving the last mill finishing stand passes immediately through aspecial set of water cooling pipes. The cooling efficiency of these pipes issuch that a layer of the bar is quenched to martensite, whilst the coreremains austenite.

4.18




b) As the bar leaves the quenching pipes, the temperature gradientestablished in its cross section, causes heat to flow from center tosurface of the bar.

The increase of the surface layer temperature results in self- temperingof martensite. The core is still austenitic.

c) Finally the austenitic core transforms to ferrite and pearlite during slowcooling of the bar at the cooling bed. The austenitic layer immediatelybelow the martensite layer also gets partially or even sometimes fullytransformed to bainite structure.

By modifying the water flow and pressure or the quenching line length,the cooling rate can be controlled for production of bars with differentinternational standards of reinforcing steel bars.

d) Bar Dividing

- A start and stop type dividing shear shall divide the bars to multipleof commercial length. Shrinkage of bars on cooling shall be takeninto account in arriving at the cut-length. The divided bars shall bedelivered onto the Cooling Bed Twin Channels. Cut lengthoptimization shall be carried out to automation to minimizegeneration of short lengths.

e) Cooling Bed

An automatic Cooling Bed with following sections is proposed:

- Twin Channels with Hydraulic Drive.

- A set of straightening pockets constructed of C.I Grids to fully supportthe hot bars upto 9-10 rakes.

4.19




- Rake Type Transfer device

- Set of Aligning Rollers to align the tail end of the bars.

- Chain Type Bar Transfer Device to collect a predetermined number ofbars delivered by Rake Transfer device onto the Cooling Bed run-outTable.

- Cooling Bed Run out Table.

f) Cutting & Bundling

- One Cold Shear with Disappearing Stopper shall be installed to dividethe bars to final commercial length.

- Cut bars shall be collected in a bundle forming device, in pre-determined numbers depending on customer bundle weightrequirement, and transported to the automatic binding area.

- The bars shall be manually bound and then transferred to the storingarea for shipping.

xi) Mill Control & Automation

Over the years, Mill Control & Automation have been developed into ‘State ofArt’ technology, where each and every mechanical function and metallurgicalprocess is automatically controlled. The operators have to initially set the millfor a particular size and quality and only keep watch for any malfunctioning orcobbling etc. Features proposed are as follows:

4.20




- Individual drives for all 2-High roll stands for easy and flexible operation ofthe mill.

- All DC Drives to have the flexibility of speed change for intermediate &finishing mill.

- Basic automation system with stand alone capability to minimize stoppagetime of rolling operations due to failure of higher level computer system orfailure of automation equipment of adjacent system like TMT.

- Tracking of billet from Roughing Mill to finishing.

- System to be backed by strong UPS for safe shut-down and to prevent lossof data / information.

- Suitable control of impact drop compensation to achieve zero drop orminimum tension for intermediate & finishing stands.

- Tension free rolling with looper height control for the Finishing Mill Stands.Speed control for these stands shall have special compensation controlagainst impact drop and to reduce tail end play.

- To set the mill quickly, simulation for monitoring the machine movementwithout the rolling material.

- Rolling operations to be remotely controlled and supervised through CRTterminals located in mill pulpits. Hard wired operation desks and board willprovide reliability and safety in mill operation.

- The plant network system shall be hierarchically framed in Level-1 toperform the following task:

4.21




Level-1 : ‘Basic Automation System’ supports the operation fromCaster Run-out Roller Table to Bar Handling System.

4.5 PROCESS DESCRIPTION FOR IRON ORE CRUSHING, SCREENING &BENEFICIATION PLANT

Iron Ore received from outside sources is received by road and stored in openstorage yard. It is proposed to installed facility for crushing and beneficiation of ironOre to make it suitable for feeding in to DRI Kilns by increasing Fe content in the ironore feed.

Iron Ore from storage piles will be fed to the ground hoppers using pay loaders anddump trucks. Vibratory feeders will transfer the material to the conveyor which willfeed the same to system of Jaw Crusher and cone crushers to reduce the size of oremaking it suitable as feed to DRI Kilns.

Crushed Iron Ore will pass through double deck wet screens having water spraysystem. Oversize material (+) 20 mm will be stacked separately for re-cycle to thecrushing plant. Product material (+3 to 20mm) will be stored in stock piles byconveyor. This will be suitable for sending to the stock house of DRI kilns throughhopper & conveyor system.

Washing water will carry Fines of size (-) 3 mm along with fine Alumina and Silicaparticles and will be collected in a tank in the form of slurry. Sump pumps willcontinuously transfer the slurry to Hydro clones which will separate the solids asbottom discharge. Bottom discharge will pass through vibrating de watering screenand fines between size (+) 0.075 to (-)3mm will be stacked using conveyor inseparate heap for disposal.

4.22




Overflow from Hydro clones will carry fine particles of size below 75 microns and willbe fed to a radial slurry thickener after addition of flocculants. Clarified water will bestored in a tank and used back in the spray system minimizing the waterrequirement. Thick slurry from bottom of thickener will be led to a tailing pond whereafter settling the residue will be disposed off for land fill as this is non hazardousmud.

Water separated during de-watering will be fed back to system at all stages with zerodischarge from the unit.

Iron ore crushing facility will have a capacity to process 201,000 T/ year of input ironore. Fines separated will be about 27,000 T/year out of which 95% can be used insinter plant and only 5% will be reject collected in tailing pond.

Flow diagram for the crushing, screening & beneficiation is enclosed as Annexure –4.9

4.7 PROCESS DESCRIPTION FOR SLAG CRUSHING

SMS Slag will be dumped in slag pits and cooled by reject water from the plant. Theslag is in form of lumps and contains some metal content which need to be separatedbefore disposal of slag.

Slag from slag pits will be fed to the ground hoppers using pay loaders and dumptrucks. Vibratory feeders will transfer the material to the conveyor which will feed thesame to system of Jaw Crusher and cone crushers to reduce the size.

After each stage of crushing magnetic separators will segregate metal from the slagwhich will be stored separately.

Non magnetic part of slag will be stored in stock piles through conveyors for disposalto Cement Plants.

Flow diagram for the slag crushing and screening is enclosed as Annexure – 4.10

5.1




C H A P T E R – 05

UTILITIES AND AUXILIARY SERVICES

This chapter describes the requirement of various Utilities & Auxiliary Services for theplant and proposal to meet these requirements.

5.1 WATER SUPPLY SYSTEM

Water is required for two purposes viz:

i) Industrial Use

ii) General Services and Drinking

5.1.1 Industrial Water (Refer Annexure – 5.1)

Existing Requirement

Water is required in sponge iron plant in the following areas -

For cooling sponge iron in the rotary cooler

For equipment cooling

Sponge iron is discharged to cooler from rotary kiln through closed

discharge chute at temperature approx. 10000c. Cooling is done by

spraying water on the rotating cooler and water is collected in a trough.

This hot water is sent to the cooling towers for cooling and recycled to the

coolers.

Industrial Make-up Water to take care of evaporation losses is required for theexisting production facilities of Sponge Iron Plant. Annual requirement of water is90,000 m3. Daily requirement at present is 260 m3 including drinking, sanitation, etc.For dust suppression, blow down water from cooling tower is used.

5.2




Additional Requirement

The Make-up water requirement for the additional production facilities of 15 MWPower Plant, 72,000 TPA Steel Melt Shop and 67,500 TPA Rolling Mill, Iron OreCrushing & Beneficiation Plant and Slag Crushing Unit proposed to be installed isestimated as follows:

a) Power Plant

The Power Plant shall require make-up water for the following purposes:

i) De-mineralized water as make-up for steam cycle make-up tocompensate for Boiler drum blow-down and that lost in steam leakages.

The estimated requirement is 3% of the steam power cycle circulation ofapproximately 70 m3/hr. This amounts to 2.1 m3/hr or 50 m3/day.

ii) Clear Make-up Water is required for cooling in Lubricating & Control Oilheat exchanger and CACW Cooler of 15 MW alternator and condensercooling of turbine. The make-up water requirement is to compensate forevaporation and drift loss in Cooling Towers and system blow down.

iii) Rejected water from DM Plant and cooling tower blow down water willbe collected in tank and will be used for non critical applications of thesteel plant

b) Steel Melt Shop

Cooling water requirement for Steel Melt Shop is presented in Table 5.1 below.As the cooling systems are recirculation type, only make-up water is needed tobe added.

Table 5.1

5.3




S.No.

Item of Equipment Circulation(cu.m/hr)

Pressure(kg/cm2)

Quality ofWater

Make-upWater

(cu.m/hr)

1.0 Induction Furnaces – 2 Nos.

1.1 Cooling of Induction Coil 270 6.0 Soft clear 2.7 @ 1%

1.2 Closed circuit cooling ofCapacitor & Power (Primary)

-- -- Demineralized 20 litres/day

1.3 Cooling of Capacitor & Power(Secondary)

200 6.0 Soft clear 2.0@ 1%

2.0 Continuous Casting Machine– 1 No.

2.1 Mould & Hyd. Power PackCooling

320 7.0 Soft clear 3.2 @ 1%

2.2 Spray & Open Machine Cooling 120 8.0 Scaled Water [email protected]%

Total for SMS 10.3

Total Make up Water Average Cu m/day 197

The blow down from cooling towers is proposed to be added to contact watersystem in order to conserve water without affecting the water qualityrequirements of the system.

Water flow diagram for Steel Melting Shop is given in Annexure – 5.2.+++++

c) Rolling Mill

Industrial Water system is proposed to be a self contained re-circulatingsystem in which the loss of water through evaporation, spillage etc. is made upby addition of make-up water.Two (2) separate re-circulating systems are proposed as follows:

5.4




i) Direct cooling water system for Rolling Mill and TMT Line. This systemserves the requirement of water mainly for cooling of mill rolls, guidesand rollers of Loopers between stands. It also meets the cooling waterrequirement for general scale Flushing.

ii) Indirect cooling water system for heat exchangers of of variouslubrication and hydraulic systems in the mill, Air Compressors and theirassociated after-coolers and Refrigeration Driers, heat exchangers of DCMotors and Ventilation system for the Electrical Control Rooms.

The flow requirement of industrial re-circulating water systems and theaverage temperature rise is summarized in Table-5.2 below:

Table 5.2

S.No.

Item of Equipment Circulation(cu.m/hr)

Pressure(kg/cm2)

Quality ofWater

Make-upWater

(cu.m/hr)

1.0 Direct Cooling Water System

1.1 - Cooling Purpose 150 6.0 Scaled Water

- Scale Flushing 60

1.2 - TMT Line 250 --

Total for Direct Cooling 460 7.0

2 Indirect Cooling WaterSystem

150 6.0 Soft clear 1.5

Total for Rolling Mill Maximum 8.5

Total Make up Waterconsidering utilizationof blow down

Average Cu m/day 111

The blow down of Indirect Water System is proposed to be added to contact watersystem in order to conserve water without affecting the water quality requirements ofthe system.

5.5




Water Flow Diagram for Rolling Mill is given in Annexure – 5.3.

d) Iron Ore Crushing & Beneficiation Plant

Water is used for washing of iron ore in beneficiation plant. Water is sprayedon the screens to remove gangue material adhering to the crushed ore lumps.Water is collected and pumped to hydro cyclones for gravity separation ofsolids.

Overflow from Hydro cyclones will be fed to a radial slurry thickener afteraddition of flocculants. Clarified water will be stored in a tank and used back inthe spray system minimizing the water requirement. Thick slurry from bottomof thickener will be led to a tailing pond where after settling the residue will bedisposed off for land fill as this is non hazardous mud.

Make up required for the system will be met from blow down tank of coolingtowers of Industrial water system eliminating need of fresh water.

e) Slag Crushing Unit

SMS slag will be cooled by spraying reject water. Slag crushing plant will usedry process without use of any water.

5.6




Total Make-Up Water Requirement of Industrial Water .

Break-up of water consumption:

Industrial – 2313m3/dayDomestic & Sanitation – 22 m3/dayWater management & Other Needs – Met by blow down & recycled water

The total Make-up Water requirement is estimated as follows:

Daily Requirement

Existing for Sponge Iron Plant : 247 M3

15 MW Power Plant : 1758 M3

Steel Melt Shop 197 M3

Rolling Mill : 111 M3

Drinking, Sanitation & losses : 22 M3

________2335M3

5.1.2 DM Water

Total requirement of DM Water for Power plant is 50 m3/day. Input water required toproduce DM water will be about 70 m3/day. This is included in total water for powerplant.

5.1.3 Water for General Services & Drinking

The requirement of water for drinking & sanitation is estimated at about 22 m3/day.For other miscellaneous usage like slag cooling, dust suppression, service watergardening, etc. water collected in blow down tank will be used.

5.7




5.1.4 Use of Recycled/ Waste Water

Approximately 20% of make- up water in closed circuits is rejected as blow down tomaintain the quality parameters. This water is collected in blow down pits and usedfor following purposes:

Slag Quenching

Iron Ore beneficiation Dust separation

HorticultureSaving in requirement of fresh water is more than 450 m3/day. There is no Dischargefrom the plant

5.1.5 Source of Make-up Water

Present requirement is met by bore wells. MCCPL is in process of getting sanction fordrawing water from river Damodar for the project.

The total requirement of 2335 m3 per day is proposed to be met from RiverDamodar located 2.0 KM away from the Plant.

Proposed Scheme for Make-up Water Supply System

The proposed scheme for make-up water supply is shown in Annexure-5.1. Thesystem shall comprise:

- Intake Well at River.

- 1 working + 1 standby motorized centrifugal pump each of 100 m3/hr capacityat 70 m head.

- Cross country supply line from river pumps to in-plant raw water storagereservoir.

5.8




- Underground Water Storage Reservoir

- Raw Water Treatment Plant with Clarifier.

- DM Water Plant

- Drinking Water Treatment Plant.

- Pumps & Interconnecting Piping & Valves.

5.9




5.2 COMPRESSED AIR SYSTEM (Refer Annexure – 5.4)

5.2.1 Existing Sponge Iron Plant

Compressed air is required for bag filter cleaning, general services and operation ofpneumatic systems. Total requirement is about 500 Nm3/h.

Three (3) compressors of capacity 5.2 m3/min (300 Nm3/h) have been installed tosupply the air to the 3 x 100 TPD Kilns.

5.2.2 Power Plant

Compressed Air in the Power Plant is required for general service and forinstrumentation controls. Following facilities are proposed to meet the requirement.

1 working + 1 standby screw compressor each capable of delivering 300 m3/hr FADat 7.0 bar pressure. It shall be complete with:

- Two (2) Nos. Refrigerant Air Driers.

- One (1) No. Desiccant Regenerative heatless drier for instrumentation air.

- One (1) No. 3 m3 capacity air receiver for Service Air.

- One (1) No. 1 m3 capacity air receiver for instrumentation air.

- Interconnecting piping & valves.

5.2.3 Steel Melt shop

Compressed Air is required for operation of the pneumatic cylinders, pneumatic tools,general cleaning purposes and bag filter for fume extraction system.

A cumulative maximum demand of compressed air required for bag filter cleaning offume extraction system, operation of the pneumatic system and general cleaningsystem is estimated at 400 Nm3/hr.

5.10




5.2.4 Rolling MillCompressed air at 6-bar pressure is required in the mill for the following equipment:

a) Pneumatic Cylinders at:

- Inter-stand Loopers- Bar Diverters at Shears;- Pinch Rolls; and- Cold Shear Gauge Stopper & Gag Roll

b) Cooling of Field Mounted Devices like Photo-Cells, Hot Metal Detectors etc.c) TMT Line Air Strippingd) Misc. use in pneumatic tools in roll shopse) General cleaning purposes.

5.2.5 Iron Ore Crushing & Beneficiation Plant & Slag Crushing

Compressed air is mainly required for bag filters and service needs.

5.2.6 Common Compressor Station :

Total Requirement of compressed air is as follows :

1. Steel Melting Shop : 400 Nm3/h2. Rolling Mill : 400 Nm3/h3. Crushing plants : 250 Nm3/h

The requirement is proposed to be met by installing the common compressor stationfor SMS and Rolling Mill & Crushing Plants.a) Three (3) No. Working and one (1) no. Standby 350 Cum/h FAD Screw Type Air

Compressor capable of delivering compressed air at 7.0 bar pressure. It shallbe complete with accessories.

b) Three Refrigerant Dryers.

5.11




c) Air receivers at compressor station, bag houses of SMS, TMT area, Bag housesof crusher units.

d) Interconnecting piping & valves.

5.3 L.D.O. STORAGE & SUPPLY SYSTEM FOR POWER PLANT

L.D.O. is proposed to be used for initial heating of the Boiler and ladle & tundishheating in SMS. The system shall have the following equipment:

- A 20 KL Storage Tank with accessories and mountings.

- 1 working + 1 standby Pump each of 5 m3/hr @ 60 m head for circulating theoil in the starting burner ring main.

- Inter-connecting Piping & Valves.

5.4 FIRE PROTECTION SYSTEM

We have envisaged portable fire extinguishers. Adequate number of wall / columnmounted type portable fire extinguishers will be provided in various areas of the plantincluding the control room, administration building, stores pump house, etc. Theseportable fire extinguishers are basically of carbon dioxide and dry powder type.

5.5 ROLL SHOP IN ROLLING MILL

It is proposed to install a Roll Shop to meet the requirement of the new mill. Rollshop shall have equipment required for servicing of Rolling Mill equipment.

5.6 QUALITY CONTROL LABORATORY

The Quality Control Laboratory shall be equipped to serve the requirements of testingto control the quality of billets and for the quality control of finished products. Testcertificates shall be needed to be supplied to the customers.

6.1




C H A P T E R – 06

ELECTRIC POWER REQUIREMENT,SUPPLY & DISTRIBUTION SYSTEM

6.0 GENERAL

This chapter describes the source of electric power supply, estimated powerrequirement and the cost of electric power. The proposed power distribution systemis also described.

6.1 SOURCE OF ELECTRIC POWER

The plant at present receives power from 33 KV Supply Line with a sanctioneddemand of 950 KVA from JVBNL (Jharkhand State Electricity Board) for its SpongeIron Plant.It is now proposed to install a Captive Power Plant of 15 MW to produce electricitymore economically by utilizing waste heat of gases from four Sponge Iron Kilns andalso utilizing the solid waste produced as Char in the making of Sponge Iron, alongwith cheap low quality coal. The aim is to reduce the cost of electricity and improvethe viability of the plant.Power will be generated at 11 kV and will be stepped up to 11 kV withinterconnection to the existing panel and provision for receiving power from grid orfeed power back to the grid when surplus.

6.2 COST OF ELECTRIC POWER

The cost of existing power supply from State Grids is Rs.5.50 per KWH. Theestimated cost of production of electric power from the Captive Power Plant isRs.2.24 per KWH.

6.2




6.3 ANNUAL POWER REQUIREMENT

Average hourly power requirement of various units is as follows :

Sl. Production Unit Hourly PowerNo. Requirement

MW

1. Sponge Iron Plant 1.0

2. Steel Melt Shop 11.0

3. Rolling Mill 1.3

4. Crushing Plants 0.2

5. Power plant internal requirement 1.5

Total 15.0

Power available from Captive Power Plant( 90% loading)

15.0

Supply of Power from Grid Nil

The annual power requirement is estimated as follows:

Sl. Production Unit Annual Specific Annual PowerNo. Production Power Consumption

Consumption KWH

1. Sponge Iron Plant 90,000 t 100 KWh/t 9,000,000

2. Steel Melt Shop 72,000 t 900 KWh/t 64,800,000

3. 15 MW Captive PowerPlant

106,920,000KWH

10% 10,692,000

4. Rolling Mill 67,500 120 KWh/t 8,100,000

5. Iron Ore Crushing &Beneficiation

201,000 2.6 KWh/t 520,000

6.3




6. Slag Crushing Plant 12,000 2.6 KWh/t 31,200

Total 93,143,200

Power available fromCaptive Power Plant

106,920,000

Balance Electric Poweravailable for Grid feed

13,776,800

6.4 PLANT POWER DISTRIBUTION SCHEME (Refer Annexure – 6.1)

The proposed design and layout of plant’s power distribution system takes intoconsideration the following important aspects:

a) Retaining of existing power supply connections from JBVNL (JSEB) andsynchronization of captive 15 MW Power Plant the Grid. It will ensure morereliable power supply to the plant as well as surplus power export to the grid.

b) Simplicity of main power distribution system consistent with safety ofoperations, equipment and personnel.

c) Possibility of future extensions without the necessity of introducing majorchanges in the proposed layout.

d) Maximum stability of operations under normal conditions as well as undersystem disturbance conditions.

e) Standardization of equipment rating as far as possible to reduce inventory ofspares.

Drawing No. Annexure – 6.1 shows the Single Line Power Distribution Scheme forthe proposed system which is briefly described below:

6.4




The 11 KV supply from 15 MW Generator of CPP shall be fed to a 18/20 MVAtransformer to step-up the voltage of 33 KV to match the supply voltage ofJBVNL/JSEB Grid. A nine (09) panel 33 KV Switch Board installed in the CPP electricalroom shall receive the power and distribute the same to the various areas of theplant. The nine (09) panel switch board shall comprise:

- An Incomer with 1250 A VCB.

- One outgoing feeder to 6.9 MVA 12 T Induction Furnace Trafo # 1

- One outgoing feeder to 6.9 MVA 12 T Induction Furnace Trafo # 2

- One outgoing feeder to SMS, CCM & Auxiliaries

- One Spare Feeder

- One outgoing feeder for Rolling Mill.

- One outgoing feeder for CPP Auxiliary Loads 33/0.415 KV 2000 KVATransformer.

- One outgoing feeder for emergency supply to Sponge Iron Plant.

- One outgoing feeder for P.F. Improvement Equipment.

- All outgoing feeders shall have 1250 VCBs.

A 33 KV, five (5) Panel Switch Board is proposed to be installed in the Rolling Mill. Itshall comprise:

- One (1) No. Incomer.

- Two (2) Nos. outgoing feeder for supply to 2500 KVA, 33/0.415 KV Transformerserving the 1120 KW Roughing Mill Motor and Auxiliary Load of Cranes, WaterSystem, Compressors, Workshop etc.

- One (1) No. outgoing feeder for supplying to a 6000 KVA, 33/0.69/0.69 KV

6.5




Rectifier Transformers serving the D.C. Drives of Intermediate & Finishing Mill.

- One (1) Feeder has been kept as spare.

Power from various transformers shall be further distributed through a set of LT PDBs& MCCs installed in CPP Electrical Room and Rolling Mill Electrical Rooms.

6.5 HARMONIC FILTERS AND POWER FACTOR COMPENSATION EQUIPMENT

Electricity supply authority generally stipulate minimum average plant power factor as0.85 lagging. The plant will have to pay penalty if the same is not maintained.Furthermore, operation of thyristor drives for rolling mill will generate harmonicswhich will adversely affect other consumers. Most Electricity Boards imposerestrictions on such harmonics generation. It is therefore, proposed to provideharmonics filter equipment at 33 kV supply system. This will also take care of thepower factor improvement. Some capacitors will also be added on 415 V area loadcentre Bus Bar to improve power factor to above 0.85.

6.6 CABLES

Power distribution networks within the plant are proposed to be through cables. Forhigh voltage circuits (i.e. 33 kV supply), cross linked polyethylene insulated (XLPE),PVC sheathed, armoured, aluminium conductor cables will be adopted.

LT Power cables will be 1.1kV Grade heavy duty XLPE/PVC insulated PVC sheathedarmoured, multicore Aluminium conductor as per the requirement.

Control Cables will also be 1.1 KV grade, heavy duty, PVC insulated and PVCsheathed, armoured / unarmoured type but with multicore copper conductors.Special cables will be provided for specific application.

6.6




6.7 PLANT EARTHING SYSTEM / EQUIPMENT EARTHING

The plant shall have an efficient earth system consisting of required number of earthstations using pipe electrode as per IS:3043-1987.

The main plant ring earth strip shall be of GI strip and all connection to the stripshould be buried to a depth of at least 500 mm below the plant ground level.

All connections and joints on the earthing system / equipment shall be brazed orwelded where necessary in an approved manner. Disconnecting link shall beprovided at each earth pit so as to facilitate individual measurement of each earth pitelectrode resistance.

The total resistance of the earthing system should not exceed 0.2 ohm.

All non-current carrying metallic parts of the various electrical equipment andapparatus will be effectively earthed in compliance with the Electricity Rules and inaccordance with codes of practices recommended by BIS.

A special Electronic Earthing shall be provided for PLC’s, Remote I/O’s, Control Desketc.

6.8 PLANT LIGHTING SYSTEM

The illumination levels proposed to be provided in various shops will be asrecommended by BIS and the practices followed in modern steel plants. Forspecialisation work in certain areas higher illuminating levels will be provided byadditional lighting.

It is proposed to adopt high bay lighting fittings with mercury / sodium / Halogenlamps for plant units having high mounting heights. For all low bay areas, cellars /basements, control rooms etc., suitable type of fittings with fluorescent / ML

6.7




(blended) lamps are proposed. Fluorescent/CFL type luminaries will be provided inoffices and administrative areas.

The plant roads are proposed to be illuminated using road lighting fittings withenergy efficient sodium vapour lamps. For yard lighting, flood lights with sodiumvapour lamps mounted on towers / poles are proposed.

The lighting power supply will be taken at 415 V, 3-phase, 4-wire from the shop 415V load-centre sub-stations and distributed over main lighting distribution boards withswitch-fuse units and sub-distribution boards with miniature circuit-breakers.Features such as bay light control, centralized block switching etc. will be adopted forease of control and to minimize wasteful illumination and for energy saving.Emergency lighting system will be planned for ensuring minimum lighting for humansafety during power outages.

7.1




C H A P T E R – 07

MATERIALS MANAGEMENT

07.0 GENERAL

In an integrated Steel Plant large quantities of materials are required to be handledas a part of its operations. Materials can be categorized as under:

1. Raw Materials2. Intermediate Products3. Supplies & Consumables4. Marketable Products5. Waste Products for Disposal

Proposed facilities for handling and management of materials are described below:

07.1 RAW MATERIALS

Quantity of Raw Materials, their source is indicated in Table No. 7.1. Iron Ore andCoal which comprise major raw materials are received by road and stored in openstorage yards within the plant. Crushing, screening & beneficiation facilities areproposed to prepare the material received from mines to make suitable for feeding into production units. Some quantities of material which can not be used within theplant are segregated and disposed off as described in para:

7.2




Table 07.1Requirement of Raw Materials

Sl.No.

Item RequirementTonnes /year

Source ofmaterial

Remarks

1 Existing 3x100 TPDDRI Kilns

1.1 Iron Ore 171,000 Frombeneficiationplant

1.9 T/T

1.2 Coal 144,000 e-auction 1.6 T/T

1.3 Dolomite 2,300 Purchased

2 Power Plant

2.1 Coal 45,000 e-auction

2.2 Char 22,000 Available fromDRI Kilns

3 Steel Melt Shop

3.1 Sponge Iron 90,000 From Own DRIPlant

3.2 Purchased Scrap/ PigIron

14,500 Purchased

3.3 Revert Scrap 3,000 In – plantgeneration

4 Iron Ore Crushing &Beneficiation Plant

201,000 Purchased

7.3




07.2 INTERMEDIATE PRODUCTS

In the integrated Steel Plant, products from units are used as input material for thesubsequent production units. List of such intermediate products and their usage is asfollows:

1. Sponge Iron (DRI) produced in DRI Plant is the main input material forproduction of Steel Billets in the Steel Melt Shop (SMS).

2. Steel Billets produced in SMS are the input material for Rolling Mill forproduction of TMT Rebars.

3. Dolo Char produced in DRI Kilns as waste material will be used as fuel in theboiler of Power Plant.

4. Scrap generated in Rolling Mill is recycled for melting in the SMS.

5. Oil recovered from scale water of Rolling Mills is used for lubrication of chaindrives.

Suitable automatic/ manual handling facilities will be provided for movement ofmaterial from one unit to the other.

07.3 SUPPLIES AND CONSUMABLES

In addition to the Raw Materials, production units also require supplies andconsumables for regular operation and maintenance requirements. Quantitiesrequired are small and most of the materials will received by road transport insuitable packing and stored in designated areas to be provided in the plant premises.List of major supplies and consumables required is as follows:

Refractories & Insulation material

7.4




Lubricating oils & Greases

Chemicals for water treatment and dosing

Fluxes, Ferro alloys, Aluminum wire and other additives

Mill Rolls and knives for shears

Safety equipment, tools & tackles and other general hardware required formaintenance.

07.4 MARKETABLE PRODUCT

Final products which will be available for sales are:

1. 67,500 T/year of TMT – Rebars2. 16,500 T/year of DRI

Provision has been made in the Rolling Mill layout for storage and dispatch of theproducts by Trailers for road transport. Facilities include cranes and other equipmentfor handling, stacking, bundling and loading on to the trailers.

7.5




07.5 WASTE PRODUCTS FOR DISPOSAL

Quantity of Waste Materials and proposed mode of disposal is indicated in Table-7.2.

Table 7.2Generation of Waste Materials

Sl.No.

Item GenerationT/yr (TPA)

Mode of Disposal

1 Iron Ore Fines frombeneficiation plant

28,200 To be sold for sinter/ pellet makingto other steel units.

2 Coal Fines 27000 Used in AFBC Boiler of Power Plant

3 Ash from Power Plant 18,000 The ash shall be collected in ashsilo and disposed off suitably toCement Plants and Brick MakingPlants.

4 Slag from IFs 11,500 This is non hazardous solid waste.Slag will be crushed and aftermetal recovery, balance mixedwith ash for brick making

5 Mill Scale 1,000

6 Waste Lubricating Oils To be collected in drums and usedfor lubrication of chain drives.

7 Other Material like Cottonwastes, replacement partsof rubber and metal parts,and hardware usedrefractories

To be collected on a daily basisthrough a Contractor, who takessuch waste outside the plant forfurther recycling.

8 Residual rejects from IronOre beneficiation plant

1,800 Land fill in tailing pond.

7.6




07.6 RESOURCE OPTIMISATION

Measures proposed for optimization and recycling of resources is as follows:

Char produced in DRI Kilns has a residual heat value and will be used inPower Plant for steam generation.

Waste Heat for DRI Kilns will be used for production of steam in Waste HeatRecovery steam generators in Power Plant to minimize the requirement ofcoal.

Scrap generated in Rolling Mill will be recycled to SMS for melting in InductionFurnaces.

Iron Ore and coal fines, mill scale and fly ash will be sold to outside agencieswho will recycle these materials for production of useful products.

Total quantity of water drawn from natural resources will be used in plant withzero discharge of waste water. Cooling requirements are met by use of re-circulating water systems.

- Blow down water from cooling towers will be used as make up for directcontact circuits.

- Blow down water from boilers and reject water from water treatmentplants will be collected and used for slag cooling and dust suppressionafter neutralization/ treatment.

8.1




C H A P T E R – 08

ENVIRONMENTALPOLLUTION CONTROL MEASURES

8.0 GENERAL

8.1 The type of Pollution which effects the environment emanating from the proposedaddition of Captive Power Plant and Rolling Mill can be classified as:

a) Air Pollution

b) Liquid Pollutants

c) Solid Waste; and

d) Noise Pollution

This chapter describes the proposed measures to mitigate and control the pollutionfor the subject project.

The modern equipment selected for the project take into consideration the pollutionmitigation and control measures right at the design stage and in-built the same in theplant design.

8.2 CONTROL METHODS FOR AIR POLLUTION

Air pollutants may be classified broadly in particulate matter and gases. Dust, fly ashetc. are the particulate matters and Sulphur dioxide, Carbon Monoxide & Nitric Oxidesare the gaseous pollutants.

8.2




8.2.1 Existing Sponge Iron Plant

Electrostatic Precipitators with on line monitoring system have been provided toreduce the outlet dust concentration of DRI Kiln flue gases below 50 mg/Nm3 so as tomeet the pollution control norms. Total two sets of ESPs are provided, one for KilnNo. 1 and second for Kiln No. 2 & 3.

Dust is also generated in material handling systems at discharge and transfer points.Aspiration hoods and ducting is provided to collect the emissions using ID fan andfumes are passed through bag filters to trap the dust. Air released in to atmospherethrough stack is below 50 mg/Nm3

Location of Bag Hoses in Sponge Iron Plant No.Stock House 1Cooler Discharge-1 1Cooler Discharge- 2 1Coal Crusher 1Raw Material House - 1 1Raw Material House - 2 1Total 6

Sprinkler systems are provided to spray water to prevent dust emissions duringmovement of vehicles in on roads and open dust prone areas.

8.2.2 Power Plant

In the Power Plant, the equipment and process design takes care of the air pollutionas follows:

a) Suspended Particulate Matter

Electrostatic Precipitator is envisaged to reduce the outlet dust concentration inexhaust flue gases from boiler chimney below 50 mg/Nm3 so as to meet thepollution control norms.Dust generated in coal handling system will be sucked through hoods and

8.3




ducting and collected in bag filters.

b) Sulphur Di-oxide

The bed material of AFBC Boiler shall capture sulphur to a great extent in thebed itself. The chimney height is arrived at as per Pollution Control Boardnorms based on the sulphur content of fuel.

c) Nitric Oxide

In FBC Boiler, the bed temperature would be in the range of 850-9000C. Thislower temperature is not conducive enough for nitrogen to form NO2.

d) Carbon Monoxide

Complete combustion takes place in the bed itself. Hence, formation of CarbonMonoxide is not traced in the flue gases.

8.2.3 Steel Melt Shop

Steel melting through IF generate dust laden fumes. Dust laden gases from theInduction furnace are collected through a suction hood and mixed with dust laden airsucked from all possible generation points in the shop floor and material handlingsystems. Collection hoods, ducting with control dampers will be provided to extractfumes from various locations using Induced draft fans. cooled and cleaned through abag filter to reduce the dust content within the allowable limits before discharge in toatmosphere through chimney stack.

8.2.4 Rolling Mill

No Billet Reheating Furnace is envisaged in the project. The rolling mill be linked tothe Continuous Billet Casting so as to carry out DIRECT ROLLING of hot billetswithout any reheating. Hence there shall be no production of air pollutants.

8.4




8.2.5 Iron Ore Crushing & Beneficiation Facility

Dust fumes generated during handling and processing of Iron Ore will be extractedthrough suction hoods connected to ID fan and bag house through ducts. Dust willbe collected in the bag house and discharge to atmosphere will contain less than 50mg/ Nm3 of fumes.

Where ever required water spray using waste water from blow down systems will beutilized for suppression of dust generation in material handling systems.

8.2.6 Slag Crushing Plant :

Dust generated in crusher areas and dry material transfer points will be suckedthrough local hoods and connected to common bag filter through ducts. Dust will betrapped in the bag filters for recycling with fines.

8.5




8.3 LIQUID POLLUTANTS

The Liquid Pollutants generated in the Power Plant, SMS and the Rolling Mill are:

8.3.1 Process Waste Water Generation comprising:

a) Effluents from Water Treatment Plant

The water drained from the water treatment plant is pumped to a neutralization pit.The neutralization pit will have acid resistant brick lining. Depending on the quality ofwater, either an alkaline medium or acidic medium will be pumped to the pit toneutralize the water.

b) Boiler Blow Down

In order to maintain the quality of boiler feed water, two types of blow down arecarried out in the boiler. One is continuous blow down and the other is intermittentblow down. The blow down water will be at a temperature of 1000C. This water shallbe taken to the common drain pit where it will get cooled naturally. The estimatedflow is 2.4 m3/hr.

c) Scale Pit Water (Rolling Mill)

The oil and grease in the contaminated water is collected by an Oil Skimmer in theScaled Pit, and filled in oil barrels. It is disposed off to the companies engaged inreclamation of oils. The annual estimated quantity is about 10 KL.

The blow down water and neutralized waste shall be used for Slag Cooling in SMS,dust suppression in material handling and road sprinkling. There shall be zerodischarge from plant.

8.6




8.3.2 Sewage Waste Water

Sanitary waste from toilets estimated at 10 m3/day shall be taken to individual septictanks followed by soaking pits. Natural treatment through bacterial action takesplace. Overflow from soak pits is used for gardening etc.

8.3.3 Storm Water Drainage :

Rain water will be collected in drains constructed around production facilities as wellas all roads. Rain water harvesting pits shall be provided at strategic locations forground water recharge. Excess water during heavy rains flowing through trunk drainsalong the roads will be discharged in to the natural drains of the area through silttraps pits to prevent washed silt from plant to enter the natural drains.

8.3.4 Rain Water Harvesting

Rainwater harvesting is normally practiced for recharging ground water levels andprovide water for human consumption, by collecting the rainwater from the roofs ofthe buildings and storm water drains into artificially constructed rainwater tanks.Rainwater harvesting measures at plant site shall be subjected to harvest rainwaterfrom the roof tops and storm water drains to recharge the ground water and also touse for the various activities at the project site to minimize fresh water consumptionand reduce the water requirement from other sources. A suitable rainwaterharvesting schemes will be worked out during the execution of the project

8.7




8.4 SOLID WASTE

Solid waste will be generated and facilities proposed for control are as given below:

Item Description Quantity TPY Facility for Control

Existing Sponge Iron Plant

Fine Iron Ore andCoal Dust

Screens, StockHouse, CoalInjection

3,400 Bag Filter, dust to beused in Sinter Plant

Ash After BurningChamber 1,250 ESP dust to be used in

Sinter Plant

Char, Char Fines& Dolochar Process 22,000 To be used in Power

Plant Boiler

Power Plant

Ash Boiler Furnace &ESP 35,000 For fly ash brick

making

Coal Fines Coal preparationunit 7,000

Mixed with ironbearing dusts forSinter Plant

Steel Melting Shop & Slag Crusher

Bag Filter Dust FES Bag Filters Bag Filter dust to beused in Sinter Plant

Slag InductionFurnaces 11,500

After crushing Mixedwith ash for brickmaking.

1,620 T metalrecovered for recycle.

Rolling Mill

Mill Scale Scale Pit 1,500 Iron bearing scale forsinter Plant

Miscellaneouswastes like Cottonwastes,replacement partsof rubber andmetal parts, andhardware used

Maintenance ofPlant units

To be collected on adaily basis through aContractor, who takessuch waste outside theplant for furtherrecycling.

8.8




refractories

Iron Ore Beneficiation Plant

Iron Ore fines Screens 28,200 Used in Sinter Plant/Pellet Plant

Tailing waste Thickenerbottom 1,800 Tailing pond, land fill

8.5 NOISE POLLUTION

The major source of noise pollution in the Power Plant is from the following:

- Rotating equipment like Fans, Feed Water Pumps, TG Set, Compressors.

- Boiler & Super heater safety valves.

- Start-up Vent etc.

In the Rolling Mill also the noise producing equipments are;

- Rotating machinery like mill motors, mill stands, water pumps, compressors.

- Metal cutting shears.

8.9




The Occupational Safety and Health Administration of USA (OSHA) have prescribednorms of Noise Level as given in Table-6.1 below:

TABLE-6.1

PERMISSIBLE EXPOSURE TIME FOROCCUPATIONAL NOISE LEVEL

Maximum duration per dayNorms (hours)

Sound LeveldBA

8 906 924 952 1001 105

1/2 1101/4 115

The rotating equipment will be provided with necessary arrangements to keep thesound level at 1.0 m away at a level of 85 to 90 dB.

The start-up vent, safety valve outlets will be provided with silencers to reduce thenoise level to acceptable limits.

The Hogging Ejector will be provided with silencer. The turbine will be covered withacoustic enclosure. The power house building will be constructed with sound proofwalls.

The SA Fan will be provided with silencer in suction line.

The proposed SMS and Rebar Mill shall generally produce noise level of up to about85 dba. Moreover, when the plant is running, most of the operating people shallnormally be working in Pulpits rooms and offices where noise levels shall get

8.10




considerably reduced. Measure like use of ear protecting plugs shall be taken forpeople who have to work occasionally very near the mill for checking / inspectionduring running of the mill. This is generally required in the vicinity of blowers,Compressors and bar handling area.

9.1


72,000 TPA Steel Melt Shop,67,500 TPA TMT Rebar RollingMill and Iron Ore Crushing & Beneficiation Facility


C H A P T E R – 09

PLANT LOCATION, LAYOUT& INFRASTRUCTURE

09.01 PLANT LOCATION

The MCCIPL Plant is located at Village Hehal, P.O. Barkakhana, Distt. Ramgarh in theState of Jharkhand. Salient features of the plant site are as follows:

Latitude : 2326’ N

Longitude : 85 36’ E

Nearest Railway Station : Barkakhana - 6 KM from site.

Nearest Airport : Ranchi – at a distance of 50 KMs.

Nearest Access Road : Ramgarh - Patratu Road, SH-2 at 0.5 kM

Nearest Highway : NH # 33 at a distance of 15 KM.

Forest Area / Wild Life Sanctuaries /National Parks / Archaeological /Historically Important Site

: None within 15 KM Radius

Source of Water : Damodar River located 2 KM away.

Total Land Area of Existing Plot : ≈ 32.629 Acre

Power Source : State Grid

Location Map is shown in Annexure – 9.1

Plant is located in land allocated to MCCPL. Land is fairly level and new proposedfacilities will be installed in vacant area within the plant land.

9.2




All the new units proposed to be set up as a part of expansion projects will be locatedwithin the area available for the existing Sponge Iron Plant.

Land-use – MCCPL plant:

The total project area is about 32.629 acres. The area will be used for constructionand development of Production lines, Warehouses & Stores, Utilities, R&D, QC,Administrative Blocks and Common facilities etc., apart from the above, internal roadsand green belt will be development as per the norms. About 10 acres (afterearmarking 1.0 acre for temporary ash store yard) will be developed as greenbelt.This greenbelt will serve as a buffer between the peripheries and the industry, thereby controlling the air emissions and noise levels.

9.2 PROPOSED GENERAL PLANT LAYOUT

Proposed Power Plant, Steel Melt Shop and Rolling Mill Layout is shown with theexisting DRI Plant in Annexure-4.3. Following aspects have been considered in thelayout shown in the drawing:

i) The proposed Power Plant, Steel Melt Shop, Rolling Mill as well as auxiliaryunits are located in a compact configuration.

ii) Waste Heat Recovery Steam Generators (WHRSG) for DRI Kilns are located inspace available between Kiln after burning chamber and ESP.

iii) Turbine-Generator building and AFBC Boiler are located close to existing kilnsto minimize steam piping.

iv) Configuration of AFBC Boiler and its fuel handling system ensures easymovement of mobile handling equipment as well as compact layout ofconveyors etc.

9.3




v) SMS and Rolling mill configuration permits Direct rolling of billets from theBillet Caster.

vi) Construction of the SMS and Rolling Mill shall not disrupt the operation ofexisting operating plants

vii) Utilities & Services are so located as to give rise to the minimum lengths ofpiping and cabling.

viii) Iron Ore crushing and beneficiation plant will be located near existing rawmaterial storage area and sized ore can be easily fed to the stock house of theDRI Kilns.

ix) Environmental aspects, pollution control and safety measures are accordeddue importance.

x) Utmost economy but at the same time maximum flexibility have been kept inview in locating various units for ease in material movement within the plantas well as in and out of the plant.

9.3 SITE ANALYSIS

Project is located within the existing plant premises where infrastructure is alreadyavailable.

Project does not require procurement of additional land. Therefore, there will be norequirement for Rehabilitation and Resettlement.

Sources of water and power are available within reasonable distances.

9.4




Linkages for transportation of Raw Materials are already established for the existingunits and same will be used for additional requirement of new units.

The region has large number of industry and fast developing social infrastructure witheasy availability of skilled manpower.

No alternative site analysis has been carried out as the proposed project is making acapacity augmentation of its products and proposes to install a new steel meltingshop, rolling mill along with a 15 MW mixed power plant constituting of WHRB, CoalChar Based and Coal based power generation inputs and iron ore crushing &beneficiation facilities.

10.1




C H A P T E R – 10

EMPLOYMENT GENERATION

10.0 GENERAL

The chapter covers the proposals for the deployment of manpower (resulting inDirect Employment Generation) for various operational and maintenance functions ofthe Sponge Iron Plant, Power Plant, SMS & Rolling Mill and auxiliary plant units. Themanpower has been determined on the basis that the Plant shall be operated for allthe seven (7) days in a week round the clock.

MCCIPL existing staff of administration covering the personnel, finance, sales &purchase functions is considered adequate to additionally look after the requirementsof the new facilities. The manpower addition in this division shall be only nominaland is not detailed herein.

10.1 DIRECTLY EMPLOYED MANPOWER

Requirement of directly employed manpower for the existing Sponge Iron Plant andnew facilities proposed is indicated in Tables 10.1. Total direct manpower works outto be491 covering all grades.

10.2 INDIRECT EMPLOYMENT GENERATION

In addition to directly manpower, additional manpower employed by Contractors willalso be required far carrying peripheral activities like labour for handling/ loading/unloading of materials, mobile machinery operators, cleaning and other upkeepfunctions, etc. In addition to above, due to increased economic activity, severalprivate service providers also get employment to support the industrial activity.

10.2




It is estimated that indirect employment generation is more than 5 to 6 times thedirect employment which is more than 1500 persons.

10.3




TABLE-10.1

SHIFT-WISE MANPOWER PROPOSED

Sl.No. Department

S h i f t s TotalA B C G+R

1. Existing Sponge Iron Plant

a. Managers, Supervisory Staff,Operation & Maintenance

30 30 25 10 95

2.Power Plant

a.

b.

c.

d.

Plant Head

Shift Incharge

Operation

Maintenance

1

6

6

1

6

6

1

6

6

1

1

7

6

1

4

25

2413 13 13 14 54

3.SMS – Induction Furnaces & CCM

a. Managers & Supervisory Staff 3 3 2 2 10

b.

c.

d.

Production & Operation Charge Preparation Induction Furnace Cont. Casting M/c Ladle Preparation

Maintenance (Mechanical, electrical &Instrumentation)

Quality Assurance

320106

10

3

320106

10

3

320106

10

3

01552

4

2

9753520

34

11

55 55 54 30 194

10.4




Sl.No. Department

S h i f t s TotalA B C G+R

4.Rolling Mill

a. Managers & Supervisory Staff 4 1 1 10 16

b.

c.

d.

e.

Mechanical Engineering (Mech. Maint.+ Roll Shop)

Electrical & Automation

Production

Quality Assurance

12

4

14

2

12

4

14

2

12

4

14

2

5

5

12

-

41

17

54

6

36 33 33 32 134

5. Iron Ore Crushing, Screening and Beneficiation Plant

a. Operation & Maintenance 5 5 - 4 14

Slag crushing included with SMS

11.1




C H A P T E R – 11

PROJECT COST ESTIMATES

The capital cost for the existing sponge iron plant and proposed facilities includingengineering, contingencies, margin money for working capital and interest duringconstruction is given in Table 11.1 below:

Table 11.1Capital Cost Estimates

Sl.No Item of Cost Cost ofExistingUnit Rs.(In Lacs)

Cost ofProposedUnit Rs.(In Lacs)

Total CostRs.(In Lacs)

1 Existing Sponge Iron Plant 3,576 3,576

2 Steel Melt Shop ( 2x12 T IF +CCM)

1,200 1,200

3 Power Plant 15 MW 5,700 5,700

4 Bar Mill 4,000 4,000

5 Iron Ore Crushing &Beneficiation Facility

400 400

6 Slag Crushing Facility 50 50

7 Utilities & Central Services 1,300 1,300

8 Engineering & ProjectManagement

500 500

9 Contingencies 630 630

PLANT COST WITHOUTIDC

13,780 13,780

11.2




10 Interest During Construction 870 870

11 Margin Money for workingCapital

900 900

TOTAL CAPITALREQUIREMENT

3,576 15,550 19,120

Rs. 155.5Crores

Rs. 191.2Crores

12.1




C H A P T E R – 12

PROJECT IMPLEMENTATIONAND

CONSTRUCTION SCHEDULE

12.0 GENERAL

The major activities involved in the implementation and construction of theprojects are described in this Chapter.

12.1 The Construction Schedule shown in the form of a Bar Chart in Annexure-12.1has been developed on the basis of the estimated quantum of Civil and StructuralWorks to be executed at site, expected delivery schedule of the variousequipment proposed to be installed and expected time period for the erection,testing and commissioning of equipment.

An initial period of three (3) months is planned for carrying out Basic Engineering,obtaining offers for major items of equipment, preparation of a Techno-EconomicFeasibility Report by the Consultants and approval of the same by MCCIPLmanagement to give Go-Ahead signal for the Project.

It is estimated that the procurement of equipment, engineering, construction ofsheds, buildings and equipment foundations, erection of equipment, piping andcabling work shall be completed in a period of 16 months from the day "goahead" signal is given. Another 2 months will be required for conducting the Coldand Hot Trials. There after the commercial production shall commence. Thus,overall 18 months shall be needed for completion of the project.

12.2




12.2 PROJECT PLANNING

During construction phase typical activities include clearing of vegetation, levelingof site, civil constructions, erection of structures and installation of equipment.Following aspects will be taken care during implementation of the project :

Existing land area is in industrial use hence there is no impact on land use.

Project is located in area with already available infrastructure. Proposed

project will result in increased activity due to migrant workers, worker camps,

induced development etc.

The construction activity will benefit the local population in a number of ways,

which include the increase in requirement of construction skilled, semi-skilled

and un-skilled workers, tertiary sector employment and provision of goods and

services for daily needs including transport.

The hazardous materials used during construction may include petrol, diesel,

welding gas and paints. These materials will be stored and handled carefully

under applicable safety guidelines.

The contractor shall be made to provide the following amenities to

construction work force:

o First Aid

o Potable Water

o Sanitary Facility

o Canteen

o Security

13.1




C H A P T E R – 13

PROJECT APPRAISALAND

RECOMMENDATIONS

The major aim of the project is to produce Value Added Products in place ofselling Sponge Iron to other downstream industry. By adding Steel Making facilityand Rolling Mill for production of finished steel products, the profitability of theplant will improve considerably.

For project of similar configuration, under present market scenario, the Pay Backperiod is in the range of 4.5 to 5 years and IRR is better than 17% henceconsidered financially viable and technically feasible.

Major advantage with the project is that no additional land is required for addingthe new facilities. By addition of Power Plant, which utilizes the energy beingwasted at present, will result in power generation at much lower cost than ratefor purchased power.

In view of the above it is highly recommended to implement the project byaddition of Power Plant, Steel Melting Shop, Rolling Mill, Iron Ore Crushing &Beneficiation facility and Slag Crushing facility in the same premises whereSponge Iron Plant has been installed.

13.2




The proposed project will have positive impacts on demography and socio-

economic developments which are listed below:

The plant acts as a force generator and has contributes to all round

development of the area.

Increase in employment opportunities leading to reduction in locals

migrating outside for employment.

Improvement in transport, communication, health and educational

services.

Increase in employment due to increased business, trade, commerce

and service sector.

Thus the overall impact on the socio economic environment of the

region is expected to be beneficial for the local population.

EXISTING3x100 TPD DRI KILNS

DRI 90,000

Iron Ore (L) 171,000

Coal 144,000

Waste G

ases

PROCESS & MATERIAL FLOW CHARTFOR MAA CHHINNMASTIKA CEMENT & ISPAT PRIVATE LTD.

2 x 12 TINDUCTION FURNACES73,500 Liquid Steel

Purchased Scrap, Pig Iron14,500

Revert Scrap 3,000

-6 to 20 mm

Iron OreCrushing,Screening &BeneficiationUnit

Char 22,000

Coal 45,000

18-27 TPH 35 - 45 TPH

WHR SteamGenerators3 x 9 TPH

AFBCBoiler

ANNEXURE 4.1

Iron Ore from Mines200,000

Fines 28,200

Rejects 1,800

Metal RecycleSlag – 11,500

Slag forDisposal

CCM

2 Strand6/11 mradius

KORUS ENGINEERING SOLUTIONS PVT. LTD. All Figures in TPY (Tons per year) on Dry Basis

Rebar Mill

REBARS67,500

72,000 Billets

18-27 TPH 35 - 45 TPH

SteamTurbine

Generator

MRSS

Power to &From Grid

To Plant

Direct Rolling

15 MW

SLAG CRUSHING

68,420 Billets

3,580 Billets

Billet Storage

Documents

MAA CHHINNMASTIKA CEMENT & ISPAT PVT. LTD