DRI in Use How is it being Utilized? Different Plants, Different Solutions. APPALA NAIDU POODI DRI Plants Manager

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1 DRI in Use How is it being Utilized? Different Plants, Different Solutions APPALA NAIDU POODI DRI Plants Manager

2 Emirates Steel is wholly owned by SENAAT, the UAE s largest industrial conglomerate and a driving force for implementing the Abu Dhabi government s industrial diversification policy. Strategically located in the Industrial City of Abu Dhabi, in Musaffah, Emirates Steel is the only integrated steel plant in the UAE, utilizing the latest technology to produce high quality rebar, wire rod and heavy sections. Established in 1998, Emirates Steel grew in a relatively short period of time from a simple re-roller of imported steel billets to a complex integrated manufacturing plant. In 2012, the Company achieved a capacity of 3.5 million MTPA, following two expansions and an investment of AED 10 billion(us$ 2.72 billion).

3 Emirates Steel Emirates Steel the largest integrated steel complex in UAE

4 Emirates Steel Phase Phase Phase Phase Phase 1 Expansion launched in 2006 and completed in 2009 Direct Reduction Plant / Steel Melt Shop / Two Rolling Mills Phase 2A Expansion launched in June 2008 and completed in 2011 Direct Reduction Plant / Steel Melt Shop Phase 2B Expansion launched in November 2009 and completed in Heavy Section Mill

5 Products Emirates Steel Direct Reduction Plant 3.4 Million TPA ENERGIRON Technology Pneumatic Transfer of Hot 500 C Steel Making Plant 3.15 Million TPA EAF and LF of 150 Mt per heat Continuous Caster: 6 strands Production Sizes: 130 mm and 150 mm square billets Wire Rod Mill 0.48 Million TPA Production Sizes: - Plain mm - Deformed 8-16 mm Bar Mills 1.72 Million TPA Production Sizes: 8-40 mm HEAVY SECTIONS - 1 Million TPA Beams, Sheet Pile, Channels and Angles

6 DRI Plant Emirates Steel The Largest Operating DRI Plant using ENERGIRON Technology echnology. Flexibility to Produce HOT/COLD 200TPH First Plant of Danieli and Tenova HYL Energiron Alliance HYTEMP Pneumatic Transport System. First HYL Reactor with Flow Feeders

7 Flexibility Product flexibility: Flexibility to produce Hot & Cold DRI. Raw Material flexibility: Flexibility to use different combination of pellets & lump ore Raw Materials Used GIIC, Bahrain Vale (DR/BF Grade), Brazil Vale, Oman Samarco, Brazil LKAB, Sweden IOC, Canada Kumba Lump, South Africa

8 Salient Features of the DRI Plant: 1.6 Million TPA Reformer Supplier : Selas-Linde, Germany Capacity : 1,25,000 NM3/H No. of tubes : 252 ( 42 X 6 rows) Catalyst : 40 m3 ( Nickel based) PT Compressor Supplier : Aerzen, Germany Compressor Capacity : NCMH Discharge Pressure : 8.25 bar abs Gas temperature : 550 C Compressor Speed : 4194 rpm Reactor Diameter 5700 mm Height mm. Reactor Volume m3 Process Gas Compressor Compressor Supplier : Siemens, Germany Compressor Capacity : NCMH Compressor Speed : 8481 rpm Turbine Speed : rpm CO2 Removal System System Supplier : Wittemann (USA) Solvent : MDEA (Methyl Di Ethanol Amine) Solution Supplier : BASF Germany Absorber Inlet/Outlet Gas CO2 (%) : 9.125/2.00 CO2 off gas : NM3/Hr

9 Jetty Operations JETTY Jetty receiving station 2,9 km belt conveyors 1,400 mm width with 2,000TPH Conveying Capacity One stacker unit covering double sided stockyard with 500,000 tons storage capacity

10 DRI-Specific Consumption & Quality DRI CHEMICAL ANALYSIS CHEMICAL ANALYSIS RANGE % Iron (Fe total) Iron (Fe metallic) Metallization % Silicon Di Oxide (SiO2) Aluminium Oxide (Al2O3) Calcium Oxide (CaO ( CaO) Magnesium Oxide (MgO ( MgO) Carbon Sulphur (S) Phosphorus (P) DRP2-MARCH 2013 ACTUAL SPECIFIC CONSUMPTIONS PER TON OF DRI Production 154,312 Ton Natural Gas 2.62 GCal Oxygen 6.2 NCMH Electric Energy 40.7 KWH Cement 4.5 KG Make-up Water 1.10 M3

11 Future Projects CO2 Capture Looking at options for utilizing the CO2 gas generated. One option under consideration is providing the CO2 to Oil Producing Companies for in injecting it into the Oil fields to enhance oil recovery. CO2 ABSORPTION SYSTEM Capacity Enhancement Increase DRI production from 1.6 to 2.0 Million Tones PA and billets from 1.4 to 1.7 Million Tones PA for both Phases DRI PLANT

12 Total DRI Production 3.00 DRI Production Million Ton % % Million Ton PLANT WISE ANNUAL PRODUCTION IN TON YEAR DRP-1 DRP ,436,098 1,201, ,279, , ,104, ,918 - Best Monthly Production DRP1-155,245 Tons (May 2011 ) DRP2-154,312 Tons (March 2013 )

13 DRI Pneumatic Transport System Hytemp Bridge REACTOR PTS Surge Bin Inter phase bin DRI Cooler DRI Coo ler HOT DRI TO HYTEMP EAF Surge Bin EAF Surge Bin PPB PPB HOPPER COLD DRI HOT DRI EAF

14 Benefits of Using Hot DRI Hot DRI Brings the advantages of the thermal energy from the reduction furnace, Hot DRI charge to EAF improve economy and steel productivity. PNEUMATIC TRANSPORT PIPE Fully proven in over a years decade of operation. Flexible configuration and layout,simple operation & Totally enclosed from ore to liquid steel. Low maintenance of the HYTEMP transport system. VALVE IN PNEUMATIC TRANSPORT LINE

15 Steel Making Plant: 1.4 million TPA EAF Type ITEM Tapped steel MAIN DATA ELECTRIC ARC FURNACE AC, split shell, EBT system, conductive arm, DANARC module 150 tons Transformer size 130 MVA + 20% Tap-to-Tap time EAF hourly productivity LF typology Ladle handling system Transformer size Number of strands 6 Radius Outfit section 46 min T/H LADLE FURNACE Fixed furnace support 1 ladle transfer car 24 MVA + 20% overload CCM Billet length 6, 12, 14 9/16 m double bending design 130 x 130 mm ; 150 x 150 mm

16 Use of Hot DRI in EAF DRI (HOT)+EAF combination is the smart technology that satisfies all requirements Following Points will clarify, why DRI based steel is smart way Availability unlike low residual scrap supply, which is limited, the supply of DRI can be increased according to the demand Associated carbon DRI has the added benefit, when compared to scrap, that it contains an associated energy value in the form of combined carbon which increases furnace efficiency Direct charging the use of hot DRI directly transported and charged to a furnace, can reduce energy consumption by as much as 16 to 20 % by making use of the energy value of the DRI at temperatures greater than 450 C

17 Benefits of DRI based Steel Making The price for DRI is basically open to negotiation with the producer, unlike scrap prices, which are routinely published by grade and market. Generally DRI be at a price equivalent to that of premium low residual scrap grades DRI plant construction is Less time consuming some time less than two years, as compared with 5 to 7 years for a blast furnace/bof facility. Several DR plants have been constructed in less than 3 years and have reached design production rate within 30 days after start up. More environmentally friendly avoids problems of hazardous contaminants such as lead or cadmium in EAF dusts. Blending abilities of DRI with scrap allow cheaper, low quality scrap grades to be used

18 Benefits of using DRI in EAF Material free of residual elements: DRI is free of residual elements, so higher quality steel grades can be produced. Higher volumetric weight : with a volumetric weight varying from 10 to 100% higher than of different types of steel scrap, DRI allows a denser charge into the furnace, avoiding at least one scrap recharge. In the case of basket feeding, and assuming 25% DRI in the metallic charge, this helps avoid radiation heat losses and reduces the tap-totap time. Material with less undesirable elements: Sulfur and phosphorus content are very low, allowing shorter refining time in EAF DRI can be continuously charged: Continuous charging reduces the melting and refining time, eliminates scrap recharge into the furnace and allows a faster tap-to-tap time. DRI systems are simpler and easier to operate and maintain. Uniform chemical analysis: This avoids product quality deviations and provides predictability to the steel making process.

19 Benefits of using DRI in EAF Less flicker: The granular uniformity of DRI yields a more uniform power, reducing flicker to less than half of that experienced during scrap melding. Power uniformity also avoids electrical interruptions and discontinuities presented during scrap melding, giving an advantage power of about 5% higher. Easier foamy slag generation: DRI carbon enters in contact with free or combined oxygen, it generates CO in the slag-bath interphase. The CO goes through the slag producing the foamy effect making more efficient the energy transfer to liquid steel and protecting the furnace walls. This effect to achieving during continuous feeding of DRI since CO is generated through the continuous feeding period Better bath stirring : The generated CO content in liquid steel and allowing better heat transfer efficiency due to the generation of foamy slag. Lower Nitrogen content : ~ 20 ppm or lower of N2 for more DRI.

20 Hot DRI Transport Tenova HYL started HOT DRI Pneumatic Transport System in the year of This system is called HYTEMP to fulfill the logistical requirement of Hot DRI. HYTEMP System delivers Hot DRI to the Melt Shop. The System connects the Reactor discharge to the melt shop via a pneumatic transport pipe which delivers hot DRI to the EAF. The system operates by using a transport gas (inert gas) to carry the hot DRI through a pneumatic pipe to a surge bin above the electric furnace. The transport gas is removed from the circuit and recycled back to the DR plant and the hot DRI is charged to the surge bin for continuous feeding to the EAF.

21 Benefits of Using Hytemp & Hot DRI With lower energy consumption and 20% increase in productivity. Delivery of hot (500 C) high carbon DRI to the EAF significantly reducing power requirements for melting, thus lowering tap-to-tap time UOM Cold DRI Hot DRI Saving ($/t of billet) Reduction Electricity Usage Kwh/t Reduction in Power On Time Min/Heat Total saving on 1.4 Million ton USD 12,000,000 WORKINGS Unit Cold DRI Hot DRI Difference Tap to Tap time Min Total Time Min No of Heats No (5) Fixed Cost Saving $/t Higher Production Tons 1,174,737 1,395, ,263 Margin $/t 50 Total Savings USD 11,013,000

22 SMP Best Performance Operation Date 6 th March 2013 No of Heats - EAF 36 Plant Yield 88.78% Hot DRI weight Cold DRI weight Total DRI Feed Hot DRI Temperature AVG Tap to Tap Time AVG Power On Time EAF kwh Specific Con O2 Specific Con Total Billet Production Productivity 4792 ton 1221 ton 6013 ton 475'C min min kwh/ ton 31.93Nm3/ton 5338 Ton Ton/Hr

23 Power On time Benefits 70 AVG POWER ON -TIME Time in Min 0 100%HDRI 77%HDRI+23%SCRAP 76%CDRI+23%SCRAP 100%COLD 25 0

24 Tap to Tap time Benefits AVG TAP TO TAP TIME Time in Min %HDRI 77%HDRI+23%SCRAP 76%CDRI+23%SCRAP 100%COLD 0

25 Power Consumption Benefits 600 AVG POWER ON-TIME spe.con kwh/ton 0 100%HDRI 77%HDRI+23%SCRAP 76%CDRI+23%SCRAP 100%COLD 0

26 DRI Plant fit into steel mill layout Direct Reduction Plant (DRP) Steel Melting Plant (SMP) Compact optimized Real view of DRP & SMP Emirates Steel

27 HYTEMP system layout

28 Thank You

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