RHI - Customized solutions by a globally operating refractories specialist. 18 th MEIS, 8-10 Dec. 2014, Dubai

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1 RHI - Customized solutions by a globally operating refractories specialist Mr Erwin Jankovits / RHI AG Dr Karim Badr / RHI AG Vice President, CIS & Near/Middle East & Africa Sales Manager Near /Middle East 18 th MEIS, 8-10 Dec. 2014, Dubai

2 Content RHI and Refractory Business Model - General description RHI - Business model: RHI responsibility packages on global base - One further step to customers final goal TCO Refractories Practical Examples of TCO Refractories approach - EAF Hot Repair, Gunning Robot, the so called Terminator - EAF Functional Products, i.e. Tapholes, DPP

3 RHI history today In 1881 Carl Spaeter discovered a magnesite deposit in Veitsch (Austria) and founded Veitscher Magnesitwerke Actien-Gesellschaft in Veitsch-Radex In 1908 Emil Winter acquired the mining rights for a magnesite deposit at Millstätter Alpe (Austria) and founded the Austro-American Magnesite Company (later Radex Austria). In 1834 Friedrich Ferdinand Didier founded the factory Chamottefabrik F. Didier in Podejuch near Stettin, then Prussia. Didier thus became one of the first producers of refractory bricks in Germany. Founded in 1919 by Attilio Franchi : Acquisition STOPINC 1993: Merger Veitsch-Radex AG, today Veitsch-Radex GmbH & Co OG is a 100% subsidiary of RHI AG 1993: Acquisition REFEL 1989: Acquisition 1995 RHI acquired a NARCO majority holding in Didier-Werke AG 1993 RHI acquired a majority holding of Dolomite Franchi. Since 1998: RHI AG, previously Radex-Heraklith Industriebeteiligungs AG 1999: Takeover of GIT/Harbison-Walker 2006: Heraklith sold 2010: 100% acquisition of Didier-Werke AG 2001: Deconsolidation of GIT/Harbison-Walker, NARCO 2007: Integration Monofrax 2012: 100% acquisition of Stopinc AG/CH 2013: Acquisition of 69.6% stake in ORL/IN 2011: Acquisition ZAO Podolsk/RU Premier Periclase Ltd./IRL SMA AS/NOR

4 RHI at one glance Sales Production Headquarters Technology centre Mines and raw material production Production site under construction Key facts Focus on production, sale and installation of high-grade refractory products 33 production sites and more than 70 sales and service sites, roughly 8,100 employees Global partner for over 10,000 customers in more than 180 countries Technology leadership with close to market R&D facilities and tailor-made products Selected key customers Steel Cement Glass Nonferrous 5

5 Strategic asset: Mining and Raw Materials Porsgrunn/NOR (Magnesia) Drogheda/IRL (Magnesia) Hochfilzen/AT (Magnesite) Breitenau/AT (Magnesite) Marone/IT (Dolomite) Radenthein/AT (Magnesite) Eskisehir/TR (Magnesite) Dashiqiao/CN (Magnesite) 6

6 Straight sales CPT cost per mt liquid steel CB/FMS Contract Business/Full Material Service FLS Full Line Service Business models: Responsibilities RHI/Steel plant Production Packaging RHI Transport Warehousing Refractory management Reporting Installation (Lining) Machinery Break-out of Refractory steel plant Depositioning/ Recycling 7

7 One further step to steel plants final goal : TCO Approach : Total Cost of Ownership Refractories 10

8 Refractory Life Cycle Costs Steelmaking operational Costs One further step to customers final goal : TCO Total Cost of Ownership Refractories 400% TCO REF. cost structure RHI cost guarantee Benefit out of TCO model 300% 200% 194% yield productivity quality energy manpower 327% 327% Metal yield losses Slag management Productivity losses: -relining -availability - reliability 33% 69% 92% 184% Steelmaking operational cost 165% 33% Steelmaking operational cost 100% 133% REF purchase freight / logistics manpower storage demolition/lining waste/recycling claims REF life cycle cost REF purchase 33% 100% 143% Total REF cost 129% Total REF cost 11

9 TCO- projects. example.. TCO improvement potentials TCO-improvements for the steel plant Proposals specific ref. Costs process optimization from RHI experience in other plants increase productivity impact to improve steel quality process/ operation safety improv. reduce energy consumption <0,1 MEuro/year (without soft fact SF*) 0,1-1,0 >1,0 MEuro/year MEuro/year EAF Purging Plugs (DPP bottom purging) x Advanced gunning technology (Terminator) x x Laser measurement Unit x x Tap Hole technology, HTJ machine and +CFDoptimized Tap Holes) Balanced Lining with special refractories for high-wear areas Pre-Assembled Refractory Solutions (e.g. Slag Door Block) x x x x Oxycarbide Technology for EAF delta roof x Top Performance Hearth Lining Concepts x x

10 Practical Examples RHI and Refractory Business Model - General description RHI - Business model: RHI responsibility packages on global base - One further step to customers final goal TCO Refractories Practical Examples of TCO Refractories approach to improve EAF operational figures 1) EAF Hot Repair, Gunning Robot, the so called Terminator 2) EAF EBT conical Tapholes 3) EAF Bottom stirring, DPP

11 1. The gunning robot, the so called Terminator As the world s leading refractory supplier RHI expands its technology leadership in developing maintenance solutions in the various aggregates, e.g. EAF TERMINATOR

12 1. The Terminator Models Terminator S The improved basic Model Terminator TS With full automatic temperature and Sample Lance Terminator XL With Laser Scanner and full automatic gunning process Terminator XLTS 16

13 1. TERMINATOR 17

14 1.TERMINATOR detection of bricks performance With the daily laser scan you get a permanent overview of the furnace s condition and you avoid break throughs. 18

15 1. Optimized EAF maintanance stratregy using the terminator based on TCO Increase EAF availability via reducing gunning time Reduce specific refractory consumption in the EAF Reduce physical strain to the operating personnel Reduce manpower due to automation Low maintenance cost due to longer campaign life time More Production with less refractory costs 19

16 1. Teminator Case Study (150t EAF), DRI based 20

17 2. EAF EBT Tapholes We do have in our product portfolio functional products that adds value to the steel making process 21

18 2. EAF EBT Tapholes, Cylindrical versus Conical 22

19 2. EAF Tapholes, Cylindrical versus Conical 1. Turbulence is significantly reduced, i.e. more uniform stream and lower wear at inlet zone 2. Less repairs Higher furnace availability 3. Less vortex less slag carried over D eff. D eff. 23

20 2. EAF EBT Tapholes, Cylindrical versus Conical 1. Turbulence is significantly reduced, i.e. more uniform stream and lower wear at inlet zone 2. Less repairs Higher furnace availability 3. Less vortex less slag carried over 24

21 2. Tapholes Case Study 1, 120 to. EAF Target: more production time, higher availability 25

22 2. Taphole Case Study 2, 90 to. EAF Target: more production time, higher availability 26

23 3. EAF Bottom Stirring, DPP We do have in our product portfolio functional products that adds value to the steel making process 27

24 3. EAF Bottom Stirring, DPP Directional Porosity Plug, DPP 28

25 3. EAF Bottom Stirring, DPP 29

26 3. EAF Bottom Stirring, DPP Benefits overview More homogeneous melt, lower tapping temperature Better kinetics of C-O reactions, i.e. better slag foaminess and more iron yield (less FeO in slag) Lower specific electric energy (kwhr/t) as a result of lower required tapping temperature and better foamy slag Directional Porosity Plug, DPP 30

27 3. DPP Case Study, 60 t EAF 60 t EAF DPP without with difference Power on [min] 40,36 39,14 1,5 Tap to tap time [min] 62,64 60,34 2,3 Yield [%] 93,18 93,79 0,61 Energy [kwh/t] 476,6 468,0 8,7 Electrode. cons. [kg/t] 2,69 2,44 0,25 Carbon cons. [kg/heat] 218,03 193,78 24,2 31

28 2. EAF Bottom Stirring, DPP 32

29 Conclusion RHI goal is to introduce refractory and maintanance solutions based on various business models according to the steel maker priorities. RHI is capable to contribute in adding values in terms of refractory solutions for the sake of improving the production figures, enhancing plant availability, and reducing the total costs. 33

30 RHI AG, Erwin Jankovits / Karim Badr Wienerbergstraße 9, 1100 Vienna, Austria Tel: +43(0) Fax: +43(0) Important notice: These materials contain forward-looking statements based on the currently held beliefs and assumptions of the management of RHI AG ( RHI ), which are expressed in good faith and, in their opinion, reasonable. Theses statements may be identified by words such as expectation or target and similar expressions, or by their context. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of RHI to differ materially from the results, financial condition, performance or achievements express or implied by such forward-looking statements. Given these risks, uncertainties and other factors, recipients of this document are cautioned not to place undue reliance on these forward-looking statements. RHI disclaims any obligation to update these forward-looking statements to reflect future events or developments. All personal identifications are valid for both sexes.

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