Circular Pelletizing Technology

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Metal Bulletin s World DRI and Pellet Congress 29 th 30 th, Abu Dhabi Circular Pelletizing Technology A smart combination Christoph Aichinger, Siemens VAI We didn t invent Pelletizing. We just made it better...

Trends in Iron Ore Mining Page 2 Jan 13

Why Pelletizing? Global Decrease of Lump and Sinter Feed Ores This tendency makes the utilitsation of fine and ultra fine ores more and more important in next decades, for which pelletizing is the only industrial scale proven process. Good Bed Permeability and Reducilbility Due to the spherical shapes and the high porosity of the pellets a high bed permeability and a high reducibility of pellets is achieved, which is leading to less energy consumption in the downstream processes. Uniform chemical analysis By beneficiating of ultrafines a very constant quality is achieved leading to constant operation conditions. Easy handling and transportation By induration an excellent strength of pellets for further handling and processing is achieved. Page 3

From Ore to Iron Process Routes in Ironmaking Ore with high iron content Ore with low iron content Screening Beneficiation Lump ore Fines Concentrate Sintering Pelletizing Page 4

A Long History in Pelletizing Business Page 5 Jan 13

Siemens VAI 40 years experience in straight grate pelletizing 1978 Mandovi Pellets India 1.8 Mt/a Limonite References 1969 Tubarao 1 Vale, Brazil 2.0 Mt/a Hematite 1978 SIDOR Venezuela 2 x 3.3 Mt/a Limonite 2001 Pelletizing Plant modernization studies 2011 First Circular Pelletizing Plant implemented in India 1973 Tubarao 2 Vale, Brazil 3.0 Mt/a Hematite 1981 Delta Steel Nigeria 1.5 mt/a Hematite 1976-2011 Primary focus on Sinter Plants 1970 1980 1990 2000 2005 2010 2015 1966 Siemens VAI enters pelletizing business (VOEST-Alpine) 1977 License Agreement with LURGI (today Outotec) 2004 LURGI Pelletizing License terminated 2010 Acquisition of Circular Pelletizing Technology Milestones Page 6

Circular Pelletizing Technology A smart combination Page 7 Mar Jan 13 12

The Challenge of making iron ore pellets Typical Flow Sheet of a Pelletizing Plant Page 8

Straight Grate Pelletizing Technology Induration Process Page 9

Siemens VAI Sintering Technology Mechanical design of a circular dip rail cooler Page 10

A SMART combination Straight grate induration process + Siemens VAI combines the wellproven travelling grate process with the simple and robust mechanical design of a circular dip rail cooler. The result is the revolutionary. = Mechanical system of SVAI circular dip rail cooler Page 11

The Induration Process in Circular Arrangement Induration Zones: 1 2 3 4 5 6 7 Up-draft drying Down-draft drying Preheating Firing After-firing First cooling Second cooling Page 12

Characteristics and Design Criteria CPT is based on proven straight grate induration process Design Criteria Simple and robust design of equipment and gas flow Circular design and small footprint of induration furnace with efficient and optimized equipment utilization Location of Circular Pelletizing Plant not necessarily at mine site, but also at steel works or direct reduction plants Induration furnaces for capacities between 0.6 and 3.0 mt/a considered Production of high quality Blast Furnace and Direct Reduction Grade pellets as well as Manganese pellets CPT combines proven process with reliable mechanical system Page 13

Temperature and Processing Zones Page 14

Technical Challenges during Engineering Development of Indurating Machine By careful design of the pallet cars and the drive system combined with a detailed stress analysis of the complete system a reliable and easy maintainable indurating machine could be realized. Page 15

Induration Furnace - Cross Section - Firing Zone Page 16

Technical Challenges during Engineering Development of Process Gas Flow By simulating the process gas flows inside the indurating hood the optimum arrangement and specific power of the burners could be defined. Page 17

Circular Pelletizing Technology Layout, Plant Features Page 18 Mar Jan 13 12

(CPT) Standard Plant Layout CPT 1.2M 1 6 3 2 7 4 5 8 1 Raw material dosing & balling 3 Induration furnace 5 Product storage pile 7 Coal gasification plant 2 Mixing station 4 Product classification 6 Process gas cleaning 8 Additive storage & grinding Page 19

Impressions Page 20

Impressions Page 21

Impressions Page 22 May 2012 - Ironmaking Conference Ouro Preto, Brazil

Impressions Page 23 May 2012 - Ironmaking Conference Ouro Preto, Brazil

Impressions Page 24 May 2012 - Ironmaking Conference Ouro Preto, Brazil

Top View of a CPT 1.2M in a Steelworks 4 1 2 3 8 7 6 5 1 Iron ore grinding 3 Green balling 5 Induration furnace 7 Product intermediate bin 2 Dosing & mixing 4 Additive storage & grinding 6 Product classification 8 Process gas cleaning Page 25

Coal Gasification for Pelletizing Direct Up-draft Gasification Technology Up draft - Process Advantages of this Direct Coal Gasification Technology: Solid Fuel Several small and independent units enable high flexibility in operation Producer Gas Product Gas Drying Pyrolysis Efficiency of energy output is very high as tar is not removed Pure Coal Reduction Oxidation Stable operation of this type of gasifiers results in high plant availability Air Ash Page 26 March 13 Coal Gasifiation for Pelletizing

Dual Fuel Burner Principle Scheme Indigenous Coal Flare Primary Air Air Coal Gasif. Ash Fuels can be mixed in every ratio. HFO Page 27

Plant Layout CPT 2.5M + Midrex 1.7 Mtpa DRI Plant CPT Plant Combinations: By the production of DR-grade pellets the next generation module size of CPT plants is the ideal basis for a MIDREX 1.7 Mtpa DRI plant. The new module can also be combined with a 1.5 Mtpa COREX plant for the production of hot metal. The complete combined plant solutions can be offered by Siemens VAI. Page 28

Siemens Hybrid Flotation addresses the challenges by differing from conventional technologies Why Hybrid Flotation? First stage (upper section): Pneumatic principle with 3-phase-ejectors; especially capable to recover fines and achieve high enrichment factors The circular movement in the upper section together with the conical intersection between upper and lower section leads to a centrifugal effect Feed Pulp Ejector Air Second stage (lower section): Column principle with bigger gas bubbles; catch coarse particles not attached in first stage at lower enrichment factors, but increasing total recovery significantly Air Aerator Concentrate Adjustability of the lower aerators ensures best possible positioning for optimization of bubble-particle contact Short retention times lead to a quick discharge of the froth product No stirring device means no energy required for it and no wear at an agitator system because it s two principles in one machine! Tailings Page 29 Flotation by Siemens I DT LD MN Copyright Siemens AG 2010. All rights reserved.

Advanced Level 2 Automation System Optimized Process Control for Pellet Production Main Aspects Fully integrated system comprising all elements of CPT Stable and standardized (shift independent) operation Process insight through visualization and reporting May 2012 - Ironmaking Conference Ouro Preto, Brazil Page 30 Main Benefits Improved Quality and Capacity Safe operation Reduced Energy Consumption Increased Plant Availability Transparent and regular management reporting

CPT in Figures Page 31 Jan 13

Production Figures Productivity 0.6 3.0 Mtpa Product Size < 5 mm < 5% Product Size > 16 mm < 3% CCS (Cold Crushing Strength) Av. 2,500 N/Pe TI (Tumble Index) > 6.3 mm > 92% Reducibility (ISO 7215) > 70% Swelling Index < 15% Page 32

Consumption Figures Electr. energy requirement Heat energy requirement Water requirement Compressed air Bentonite Coke Limestone Refractories < 40 kwh / t pe < 250 Mcal / t pe < 0.2 m³ / t pe < 25 m³ / t pe < 7 kg / t pe < 11 kg / t pe < 11 kg / t pe < 0.1 kg / t pe Page 33

Environmental Figures Dust in waste gas (mg dry / Nm³) < 50 Work zone dust content (mg dry / Nm³) < 5 Noise level (db(a)) < 85 (at 1 m from source) Page 34

Advantages of CPT Page 35 Jan 13

Advantages of CPT Benefits of CPT Compact plant layout, low building profile, short process air ducts, completely standardized equipment Lowest weight of equipment and structural steel compared to straight grate and rotary kiln pelletizing plants of similar capacity Low overall CAPEX, specific investment costs comparable with large pellet plants Modular CPT concept for larger pellet capacities allows the flexibility of producing different pellet qualities and quantities specificlly to the market and customer requirements Integrated combination with MIDREX DRI or COREX plant! Page 36

Advantages of CPT Benefits of CPT Page 37 Flexibility in plant location: at mine or in steel plant site due to low space requirement Iron Ore Beneficiation Plant as integrated component of a CPT plant based on Siemens Hybrid Flotation Cell for DR grade pellet production Low OPEX due to the compact layout (e.g. short process ducts) Flexibility to use various energy source for firing process (e.g. indigenous coal via direct gasification) Environmental compatibility: lowest emissions, 100% recycling of by-products, processing of in-plant waste materials Fully automated process control and plant operation based on Siemens VAI Level 2 Automation System

Small is beautiful! CPT It is round It is compact It is very cost efficient Christoph Aichinger, Siemens VAI

Thank you for your attention! Contact: Christoph Aichinger Vice President Head of Agglomeration +43 664 615 3004 Siemens VAI Metals Technologies GmbH Turmstr. 44, P.O. Box 4, A 4031 Linz - Austria Tel: +43 (0) 70 6592-74495 Fax: +43(0) 70 6980-5772 E-mail: christoph.aichinger@siemens.com Page 39 Jan 13 www.siemens-vai.com