Engineered Solutions for Electric Steelmakers

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1 Engineered Solutions for Electric Steelmakers All information included in this presentation, including copyright and trademarks, is expressly reserved and no part of these materials may be reproduced or distributed outside of the customer s organization in any form without Harsco s prior written consent.

2 Harsco s Core Ideology Our Core Purpose To build teams that win with integrity anywhere in the world Our Core Values 1. Uncompromising integrity and ethical business practices 2. People the A Team 3. Continuous improvement 4. Value creation discipline 1

3 Harsco Corporation Harsco Metals is part of Harsco Corporation (NYSE listed: HSC) Harsco is a global provider of industrial services and engineered products Market leading positions in each of its chosen segments: Infrastructure, Metals, Minerals, and Rail Annual sales of more than $3bn covering 400 locations in over 50 countries 2

4 Harsco s Partnership with the Steelmaker We believe Integrity is absolute Shared knowledge is our greatest asset Working together builds success Human life is priceless In always keeping our promises 3

5 Safety Principles All occupational injuries & illnesses are preventable Safety is everyone s responsibility Working safely is a condition of employment Managers & supervisors are responsible for training all employees to work safely All operating exposures can be reasonably safeguarded Preventing injuries & accidents contributes to business success 4

6 Environmental Management We employ qualified Environmental professionals in our major operations and work to ISO Environmental Management Systems covering: Airborne pollution control Storage of hazardous materials Spill prevention and clean up Waste management Fuel and energy conservation We are committed to certification of all our remaining operations worldwide by the end of

7 Continuous Improvement The Group Best Practice manual defines Harsco Metals standard operating practices across the globe. Sites are measured and monitored on compliance. The manual draws on best operating practice generated from Harsco s 100-year global operating experience. Database contents cover Safety, Asset Management, Operating Guidelines and Service Quality. Continuously reviewed and updated in line with latest operating experience. 1) Unique knowledge-sharing mechanism that operates across the global Harsco team 2) Providing the highest quality service that delivers the lowest Total Cost of Ownership 6

8 Today s Steelmaking Challenges Minimise Minimise Raw Raw Material Material Costs Costs Optimise Optimise Logistical Logistical Efficiency Efficiency Maintain Maintain Metal Metal Product Product Quality Quality Achieving Achieving Environmental Environmental Sustainability Sustainability 7

9 Helping steelmakers to optimise logistical efficiency and productivity Scrap Management Scrap processing Product handling Transportation Meltshop services Packaging 8

10 Scrap Management Optimise scrap reception, storage, menus and delivery to the furnace. Handling of scrap arriving by road, rail and barge Radioactivity Control, Quality Control Collection and transport of internally arising scrap Reception, storage and real time scrap inventory control Load scrap baskets according to menus received electronically from the meltshop Transport baskets to the furnace on specialist vehicles 9

11 ScrapMaster Overview Three integrated operating modules for cost-effective management of the entire scrap supply chain, with full segregation and traceability Incoming scrap Scrap Handling Scrap Chute loading ScrapMaster Management information reporting puts you in control 10

12 ScrapMaster Value In Use Tangible cost savings and value enhancement Meltshop productivity Metal purity Secondary metallurgy 11

13 Scrap Optimisation ScrapMaster now integrates functionality from BOSS (Blending Optimisation Software Suite) Under license from Management Science Associates, Inc. World leading optimisation program Yield-based cost calculation Actual scrap cost per tonne of steel Value of the scrap inventory on a real-time basis Minimises scrap charge cost, grade by grade Based on specific grade production data entered by the steelmaker planned tonnage, scrap composition, prices, availability and inventory

14 Scrap Processing We process revert or external scrap according to your specific needs and prepare scrap for internal re-use. External or internal Scrap processing/upgrading Baling Shearing Shredding Drop-balling Mobile Lancing operation High volume cutting 13

15 Scrap Baling Case Study: Domestic Scrap Baling Annual Volume of Scrap Processed: 51k tonnes/year Baler Cycle Time: Cutting Force: 2 minutes per batch, each batch is 0.7 tonnes 2000 PSI Average Density of Baled Scrap Up to 2.2 tons/m3 14

16 Scrap Shredding Shredder, Argentina 17,000 tonnes per month - Unloading of incoming scrap - Sorting of unshreddable material (cylinders, gas tanks, etc) - Scrap feeding to the Shredder Machine - Transport to Basket preparation Yard for disposal 15

17 High-Productivity Scrap Breaking Latest drop-balling crane technology: Dual hoist system (25 % improvement in tonnage per hour in trials) Camera-guided targeting of the ball. 16

18 High-Volume Scrap Cutting Multi-torch FerroCut system delivers high productivity when cutting Thick & heavy scrap - Cuts material up to 1.6metres thick Tundish & Heavily contaminated skulls Totally enclosed cutting bed and gas cleaning ensures environmental compliance 17

19 Liquid Steel Transport Transport of liquid steel ladles from furnace to caster Ladle transport in specialist tailored vehicles Up to 400 tonne capacity, seven axle, elevating pallet carriers Infra-red camera monitors the ladle shell temperature to prevent breakouts 18

20 Essential maintenance - Meltshop Comprehensive 24/7 service throughout meltshop Ladle and vessel lip cleaning Tundish removal and transport 19

21 Semi-finished Product Handling Optimise inventory value with on-site marking and tracking of semi-finished products. Barcode or RFID tag marking Item location tracking through RFID or Differential GPS 20

22 Semi-finished Product Handling Controlled cooling and handling of billets and blooms - Controlled cooling: customised cooling hoods for slow cooling option - Specially adapted wide span multi-fork lift truck for controlled product handling 21

23 Finished Product Logistics Transport and supply chain management solutions for finished products Tracking and identification of finished products to ensure traceability Stockyard management Internal transport service to road, rail or sea dispatch points 22

24 Helping steelmakers to optimise product quality Slitting and cutting 23

25 Cutting & Slitting Specialist machines designed to cut slab & plate to millimetre tolerances Fully automated twin axis cutting assemblies Specialist oxy fuel torches to minimise cut width and yield loss Multi-torch independently controlled machines Full on-board measurement systems 24

26 Product Quality Solutions In-line bar sorting and repair facility Visual inspection to identify and fix surface defects e.g. splits, folds, poor cuts or outside required lengths Real time processing Machine sits over the advancing cooling table at the exit to the rolling mill. Non-conforming bars are identified, removed, repaired and re-injected back into the production flow 25

27 Helping steelmakers to optimise the economic value of recycled by-products Slag handling/metal recovery Slag recycling Dust & sludge metal recovery and recycling 26

28 Metal Recovery Recycling recovered residual metallics to save on high-cost raw materials Separation and recovery of metallics from slag and debris Crushing and screening of de-metalised slag Upgrading of recovered metallics =>Coolant and degasser scrap production 27

29 Steelmaking Scrap Value Area Material Fe Content % Size (mm) Requirement Price ($/tonne) EAF Steel scrap tonne lumps Size to allow compact charging. Free of deleterious materials 275 Ladle Ladle coolant scrap Low residuals, free flowing 420 Degassing Degasser coolant scrap Very low residuals, small size, free flowing

30 Slag Recycling Transport Processing Metal Recovery Slag Product Development Slag resold to third parties 29

31 Slag Recycling Steel slag is re-used in many commercial applications International centres of excellence in UK, Netherlands, NZ & USA Full testing facilities for supporting slag approval with government agencies Slag products successfully applied to - Road surfacing - Non-structural concrete - Cement manufacturing - Agriculture - Railway ballast - Construction fill - Ground stabilisation 30

32 Harsco s solutions recycle by-products back into process, saving on raw materials Raw Materials Iron Ore Scrap Carbon Lime/Doly Alloys By-products Sludge Millscale Slag Dust Fines 31

33 By-Products Value in Use: Electric Steelmaking Example Annual tonnage: 750,000 Carbofer RecoFlux Performix Usage Data By Products Consumed (Tonnes) Product Returned to Furnace (Tonnes) Addition Rate (Tonnes per heat) Addition Rate (KGs/Tonne of Steel) 15,750 15,000 2,813 12,857 15,000 5, Customer Savings ($) Raw Materials Savings Landfill Savings CO2 Emissions Savings Third Party Sales Customer s Total Annual Savings 773, ,406 2,643,750 2,452, , ,000 4, , ,286,688 1,370,906 2,643,750 32

34 Carbofer is a patented slag foaming agent Oily millscale and bag house dust are recovered, processed and re-injected into the furnace as a slag foaming agent 1) Proven increases in Fe yield (from dust & millscale) 2) Replaces carbon injection 3) Eliminates EAF dust disposal costs 4) Enrichment of Zn level in EAF dust allows marketing 33

35 Consulting & Project Management Services We have developed a project management model which covers all phases of the project life cycle and delivers predictable outcomes. We deliver: Project evaluation Equipment selection procurement Project implementation Facilities commissioning and start up Personnel training Operations support - Disciplined procedures and experienced project managers ensure best results - Backed up by Group Best Practice sharing across the globe 34