PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing...

78
PRE-FEASIBILITY REPORT FOR PROPOSED EXPANSION OF INTEGRATED STEEL PLANT AT Jamuria, Dist Burdwan, West Bengal SEPTEMBER 2018

Transcript of PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing...

Page 1: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

PRE-FEASIBILITY REPORT

FOR PROPOSED EXPANSION

OF

INTEGRATED STEEL PLANT

AT

Jamuria, Dist Burdwan, West Bengal

SEPTEMBER 2018

Page 2: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 2

Pre-feasibility Report

DISCLAIMER

This Pre-Feasibility Report (hereinafter referred to as “PFR” or “The Report”)

contains proprietary and confidential information of M/s Shyam Sel & Power

Limited (hereinafter referred to as “SSPL” or “The Company”). This Report is

prepared by the Company on the basis of internal available information and

information provided by the technical team for the purpose of obtaining

Environmental Clearance from Central Government, Ministry of Environment,

Forests & Climate Change (MoEF&CC).

The information contained in this PFR is selective and contains information to the

extent required for obtaining EC from MoEF&CC.

This Report is furnished on strictly confidential basis. Neither this Report, nor the

information contained herein, may be reproduced or be passed to any person or

used for any purpose other than as stated above.

By accepting a copy of this Report, the recipient accepts the terms of this disclaimer,

which forms an integral part of this Report.

Page 3: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 3

Pre-feasibility Report

TABLE OF CONTENTS

1 EXECUTIVE SUMMARY .................................................................................... 4

2 INTRODUCTION OF THE PROJECT ............................................................... 12

3 PROJECT DESCRIPTION ................................................................................ 18

4 SITE ANALYSIS ............................................................................................... 61

5 PLANNING BRIEF ............................................................................................ 66

6 PROPOSED INFRASTRUCTURE .................................................................... 68

7 REHABILIATION AND RESETTLEMENT PLAN ............................................. 75

8 PROJECT SCHEDULE & COST ESTIMATES ................................................ 76

9 ANALYSIS OF PROPOSAL ............................................................................. 78

Page 4: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 4

Pre-feasibility Report

1 Executive Summary

i) Name of the Company M/s. SHYAM SEL & POWER LIMITED

CIN: U27109WB1991PLC052962

PAN: AAECS9421J

ii) Rating “A+” (stable) for Long Term facilities and “A1+”

for short term facilities by CARE dated

27.02.2018

iii) Registered Office S.S. Chambers, 5, C.R. Avenue,

Kolkata - 700 072.

iv) Factory 1. Jamuria, Dist Burdwan, West Bengal

2. Ranigunj, Dist-Burdwan West Bengal

v) Date of Incorporation 5th September, 1991

vi) Constitution Public Limited Company (closely held)

vii) Directors Details

Name Designation

Mr. Brij Bhushan Agarwal Managing Director

Mr. Sanjay Kumar Agarwal Director

Mr. Bajrang Lal Agarwal Whole Time Director

Mr. V.K Nageswara Rao Majji Director

Ms. Kiran Vimal Agarwal Director

Mr. Yudhvir Singh Jain Addl Director

Mr. Ajay Choudhury Addl Director

Mr. Bikram Munka Addl Director

Mr. Sanjeev Kr. Sachan Addl Director

viii) Activity Manufacturing of iron and steel products

Page 5: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

PROJECT SCENARIO

SN Unit Facility

EC CTO Balance Item Expected Date of Completion Proposed Item for which TOR

required Ultimate EC Required

As per EC Amendment

dated 19th June 2018

As per EC

from SEIAA,

WB

As per CTO of Central EC

As per CTO of

State EC

As per Central EC

As per State

EC Date

Capacity Likely to

be Complet

ed

Not Likely to

be Complet

ed (To be

Surrendered)

Old Completed

New Project Existing New Total

1 Sinter Sinter Plant

0.4 MTPA - - - - - - -

0.4 MTPA -

0.85 MTPA -

0.85 MTPA 0.85 MTPA

2 Pellet

Pellet Plant 1

0.60 MTPA

- 0.48 MTPA - - - - - - 0.48 MTPA

Capacity enhancement from existing 0.48 MTPA to

0.6 MTPA (through

modification)

0.48 MTPA

0.12 MTPA

1.8 MTPA

Pellet Plant 2

- 0.12 MTPA - - - - - - 0.12 MTPA

Replacement of existing 0.12

MTPA by 0.6 MTPA

0.12 MTPA

0.48 MTPA

Pellet Plant 3

- - -

- - - - - 0.6 MTPA - 0.6 MTPA

3 Blast Furnace

Blast Furnace

1x450M3 -

- - - - - -

1x450 M3

-

1x450 M3

-

1x450 M3

1x450 M3

(0.6 MTPA Hot Metal /

Pig Iron)

4 DRI Sponge Iron Division

2X100 TPD +

3x300 TPD

2X90 TPD

2X100 TPD +

2X300 TPD

2X90 TPA

1x300 TPD

- 19.3.2019 1X300 TPD

- 2x100 TPD 3X300TPD 2X90TPD

4x350 TPD

2x100 TPD

3x300 TPD

2x90 TPD (0.4248 MTPA)

4x350 TPD (0.462 MTPA)

2x100 TPD 3x300 TPD 2x90 TPD

4x350 TPD

(0.89 MTPA Sponge Iron)

Page 6: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 6

Pre-feasibility Report

PROJECT SCENARIO (CONTD..)

SN Unit Facility

EC CTO Balance Item Expected Date Of Completion Proposed Item for which

TOR required Ultimate EC Required

As per EC Amendment

dated 19th June 2018

As per EC

from SEIAA,

WB

As per CTO of Central EC

As per CTO of

State EC

As per Central EC

As per State

EC Date

Capacity Likely to

be Complet

ed

Not Likely to

be Complet

ed (To be

Surrendered)

Old Completed

New Project Existing New Total

5 Ferro Alloys

Ferro Alloy Plant

0.1 MTPA 0.019 MTPA

0.03792 MTPA - 0.06208 MTPA

0.019 MTPA

19.03.2019 0.06208 MTPA

0.019 MTPA

0.1 MTPA - 0.1 MTPA - 0.1 MTPA

6 SMS

Induction Furnace

4X18T 6X18 T 2X18 T 2X15 T

+ 4X5 T

2X18 T 3X18T 19.03.2019 5X18 T 4 T

2X18 T + 2X15 T + 4X5 T + 5X18 T

5X18 T +

8X8 T

2X18 T + 2X15 T + 4X5 T + 5X18 T (0.6066 MTPA)

5X18 T +

8X8 T (0.5082 MTPA)

12X18 T + 2X15

+ 4X5 T + 8X8 T

(1.11 MTPA)

Electric Arc furnace

1 x 45 T - - - - - - -

1 x 45 T -

1 x 45 T -

1 x 45 T (0.4 MTPA)

1 x 45 T (0.4 MTPA)

Page 7: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 7

Pre-feasibility Report

PROJECT SCENARIO (CONTD..)

SN Unit Facility

EC CTO Balance Item Expected Date Of Completion Proposed Item for which TOR

required Ultimate EC Required

As per EC Amendment

dated 19th June 2018

As per EC

from SEIAA,

WB

As per CTO of Central EC

As per CTO of

State EC

As per Central EC

As per State

EC Date

Capacity Likely to

be Complet

ed

Not Likely to

be Complet

ed (To be

Surrendered)

Old Completed

New Project Existing New Total

7 Rolling MILL

Long Products Mill - 1

0.3 MTPA -

0.048 MTPA

- - - - - - 0.048 MTPA

Capacity

enhancement from

Existing 0.48 MTPA

to 0.15 MTPA

(through

modification)

0.048 MTPA

0.102 MTPA

1.0 MTPA

Long Product Mill - 2

0.055008 MTPA

- - - - - -

0.055008 MTPA

Capacity

enhancement from

Existing 0.055008

MTPA to 0.15

MTPA

(through

modification)

0.055008 MTPA

0.094992 MTPA

Long Product Mill - 3

- - 0.196992

MTPA - 19.03.2019

0.196992 MTPA

- 0.196992

MTPA

Capacity

enhancement from

Existing 0.196992

MTPA to 0.2 MTPA

0.196992 MTPA

0.003008 MTPA

Long Product Mill - 4

- - - - - - - - - -

0.3 MTPA

0.3 MTPA

Long Product Mill - 5

- - - - - - - - - -

0.2 MTPA

0.2 MTPA

8 Coke Oven

Coke Oven Plant

0.25 MTPA - - - - - - -

0.25 MTPA

- 0.3 MTPA

- 0.3 MTPA

0.3 MTPA

9

Ductile Iron

Ductile Iron

0.1 MTPA - - - - - - -

0.1 MTPA -

0.1 MTPA -

0.1 MTPA 0.1

MTPA

Page 8: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 8

Pre-feasibility Report

PROJECT SCENARIO (CONTD..)

SN Unit Facility

EC CTO Balance Item Expected Date Of Completion Proposed Item for which

TOR required Ultimate EC Required

As per EC Amendment

dated 19th June 2018

As per EC

from SEIAA,

WB

As per CTO of Central EC

As per CTO of

State EC

As per Central EC

As per State

EC Date

Capacity Likely to

be Complet

ed

Not Likely to

be Complet

ed (To be

Surrendered)

Old Completed

New Project Existing New Total

10 ERW Tubes Plant

ERW Tubes

0.1 MTPA - - - - - - - 0.1

MTPA - - - - -

11 CPP CPP (WHRB + CFBC)

250 MW ( 1X18MW -

WHRB 1X43MW -

CFBC 1X30MW -

WHRB 4x30 MW -

CFBC 1X39MW -

CFBC)

- 1X18 MW WHRB

+ 1X43 MW CFBC

-

1X30 MW - WHRB

4X30 MW - CFBC

1x39MW - CFBC

- 19-03-2019

30 MW (WHRB)

CFBC- 159 MW

18 MW WHRB 43 MW

CFBC 30 MW WHRB

45 MW (WHRB )

18 MW WHRB 43MW CFBC

30 MW WHRB

45 MW (WHRB)

93MW - WHRB

43MW – CFBC

(136 MW)

12 Cement Grinding Unit

Cement - - - - - - - - - - 1.2MTPA - 1.2MTPA 1.2MTPA

13 Producer Gas Plant

Producer Gas

- - - - - - - - - - 36000

Nm3/Hour -

36000 Nm3/Hour

36000 Nm3/Hour

Page 9: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

From the above table, effective units for which new Terms of Reference (TOR)

will be required is as under:

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

1 Sinter Sinter Plant - 0.85 MTPA 0.85 MTPA

(Sinter)

2 Pellet Plant

Pellet Plant 1 0.48 MTPA

Capacity enhancement from

existing 0.48 MTPA to 0.6

MTPA

(through modification) 1.8 MTPA

(Iron Ore

Pellets) Pellet Plant 2 0.12 MTPA Replacement of existing 0.12

MTPA by 0.6 MTPA

Pellet Plant 3 - New 0.6 MTPA

3 Blast

Furnace Blast Furnace

-

1X450 M3

(0.6 MTPA)

0.6 MTPA

(Hot Metal /

Pig Iron)

4 DRI Plant Sponge Iron Plant

2x100 TPD

3x300TPD

2x90TPD

(0.4248 MTPA)

4x350TPD

(0.462 MTPA)

0.89 MTPA

(Sponge

Iron)

5 Ferro

Alloys Ferro Alloy Plant 0.1 MTPA -

0.1 MTPA

6 SMS

Induction Furnace

2x18 T

2x15 T

4x5 T

5x18 T

(0.6066 MTPA)

5x18 T

8x8 T

0.5 MTPA

(0.5082 MTPA)

12X18 T

2X15 T

4X5 T

8X8 T

(1.11 MTPA)

Electric Arc furnace -

1 x 45 T

(0.4 MTPA)

1 x 45 T

(0.4 MTPA)

Page 10: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 10

Pre-feasibility Report

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

7 Rolling

MILL

Long Products Mill

- 1

0.048

MTPA

Capacity enhancement from

Existing 0.48 MTPA to 0.15

MTPA

(through modification)

1 MTPA

(Long

Products)

Long Product Mill -

2 0.055008

MTPA

Capacity enhancement from

Existing 0.055008 MTPA to

0.15 MTPA

(through modification)

Long Product Mill -

3

0.196992

MTPA

Capacity enhancement from

Existing 0.196992 MTPA to

0.2 MTPA

Long Product Mill -

4 -

0.3

MTPA

Long Product Mill -

5 -

0.2

MTPA

8 Coke Oven Coke Oven Plant -

0.3 MTPA 0.3 MTPA

(Coke)

9 Ductile Iron

Pipe Plant DI Pipe

- 0.1 MTPA

0.1 MTPA

(DI Pipe)

10

Captive

Power

Plant

CPP (WHRB and

CFBC)

48 MW-WHRB,

43 MW-CFBC,

45 MW

(WHRB)

93 MW-

WHRB

43 MW-

CFBC

(136 MW

Electricity)

11

Cement

Grinding

Unit

Cement Grinding

Unit -

1.2 MTPA

1.2 MTPA

(Cement)

12 Producer

Gas Plant

Producer Gas

Plant -

36000

Nm3/Hour

36000

Nm3/Hour

Page 11: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 11

Pre-feasibility Report

Cost of the above project:

Rs in Crs

Sl. Cost of the Project Grand Total

1 Land 99.90

2 Cost of Civil Construction 383.80

3 Plant and Machinery 849.44

4 Miscellaneous Fixed Assets 112.55

Total Hard Cost (A) 1445.69

5 Preliminary & Preoperative expenses 53.83

6 Contingencies (5% of hard cost) 67.29

7 Margin Money for Working Capital 94.21

Total Soft Cost (B) 215.33

Grand Total Cost (A)+(B) 1661.02

Detailed Project Cost has been stated in “Project Schedule & Cost Estimates”

Page 12: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 12

Pre-feasibility Report

2 Introduction of the Project

2.1 IMPORTANCE OF THE PROJECT TO THE COUNTRY AND REGION:

TMT rod and bar products are normally used in constructional/structural work

due to its workability and Rolled products like angles and channels find

versatile use in industries and erection work. Ductile Iron (DI) Pipes’ good

mechanical properties, in addition to high durability and strength, make them

ideal for high-pressure applications. Ductile Iron Pipes are used extensively in

systems transporting potable water, industrial water, irrigation water and

pressure sewage. Cement is used in construction of house, bridges and

various infrastructure. Other products are backward integration to the end

consumer products.

All the products proposed to be manufactured have high market demand. Iron

& Steel is a basic commodity for all industrial activity and its consumption

marks industrial prosperity. The Iron & steel industry has tremendous forward

and backward linkages in terms of material flow, income and employment

generation. Iron & Steel is a core industry and thus its demand is strongly

linked to the overall economic activity of the nation. Given the inherent long-

term potential of the Indian economy and its cyclical nature, the long-term

prospects of the steel industry are fairly comfortable. The demand and

production has been growing at a healthy rate for the last few years and the

forecast for the next decade and half is also very promising.

As reported by Indian Brand Equity Foundation, India’s finished steel

consumption grew at a CAGR of 5.69 percent during FY08-FY18 to reach

90.68 million tonnes (MT). India’s crude steel and finished steel production

increased to 102.34 MT and 104.98 MT in 2017-18, respectively. In 2017-18,

the country’s finished steel exports increased 17 per cent year-on-year to 9.62

MT, as compared to 8.24 MT in 2016-17. Exports and imports of finished steel

stood at 0.99 MT and 1.22 MT, during Apr-May 2018.

Similarly, for cement industry also, the housing and real estate sector is the

biggest demand driver of cement, accounting for about 65 percent of the total

consumption in India. The other major consumers of cement include public

infrastructure at 20 percent and industrial development at 15 per cent.

India’s total cement production capacity is nearly 455 million tonnes, as of

2017-18. Cement consumption is expected to grow by 4.5 per cent in FY19

Page 13: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 13

Pre-feasibility Report

supported by pick-up in the housing segment and higher infrastructure

spending. The industry is currently producing 280 MT for meetings its domestic

demand and 5 MT for exports requirement.

2.2 DEMAND SUPPLY GAP:

On a conservative estimate, the steel demand in India is expected to touch

around 150 MTPA by 2020. Steel supply is, however, expected to reach only

around 145 MTPA by same time.

World Steel Association has projected Indian steel demand to grow by 5.7% in

2017 while globally steel demand has been projected to grow by 0.5% in 2017

The National Steel Policy 2017 has been formulated keeping in mind the rapid

developments in the domestic steel industry (both on the supply and demand

sides) as well as the stable growth of the Indian economy. The National Steel

Policy 2017 aims to achieve 300 million tonne of steel-making capacity which

will require an additional investment of Rs 10 lakh crore by 2030-31 setting a

target of 160 kilograms per capita steel consumption by 2030. In comparison,

per capita finished steel consumption in 2015 is placed at 208 kg for world, 489

kg for China and only 61 kg for India.

As a facilitator, the Government monitors the steel market conditions and

adopts fiscal and other policy measures based on its assessment. In view of

rising imports, the Government had earlier raised import duty on most steel

items twice, each time by 2.5% and imposed a gamut of measures including

anti-dumping and safeguard duties on a host of applicable iron and steel items.

The liberalization of industrial policy and other initiatives taken by the

Government have given a definite impetus for entry, participation and growth of

the private sector in the steel industry. This had led to expansion, forward

integration, diversification and modernization of existing units.

The Cabinet also cleared another policy which will mandate giving preference

to iron and steel products that are manufactured in India for all government

tenders. At least 15 percent value has to be added to the notified steel product

in India to qualify as domestic steel.

There is a distinct relation between steel consumption and the GDP growth rate

world over. In India, GDP is expected to remain a figure of above 7% in Current

and Next Financial Years while it is expected to touch thereafter Double Digit

Page 14: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 14

Pre-feasibility Report

Figures of 11-12%. This will be possible with National Focus on Large

Infrastructure Development with huge Investment and India is bound to witness

sustained growth in the steel requirement in the years to come. India will

emerge as the Second Largest Producer of Crude Steel in near future.

It is foreseen that there will be sufficient demand in local/Indian Market of Steel,

TMT Bars and Rods and cement for constructional needs, Silico Manganese

for Steel Making and others.

M/s SSPL has drawn up a growth plan with the objective of increasing its

market share in Indian steel industry. Keeping all these in mind, the Company

has planned expansion, forward integration and diversification of the existing

facilities in an effective environment friendly way.

2.3 IMPORT VS. INDIGENOUS PRODUCTION:

On liberalization of the Indian steel sector with effect from 24.05.1992, iron and

steel industry was included in the list of High priority industries for automatic

approval for foreign equity investment up to 51%. This limit has since been

increased to 100%. The import regime for iron and steel has undergone major

liberalization moving gradually from a controlled import by way of import

licensing, foreign exchange release, canalization and high import tariffs to total

freeing of iron and steel imports from licensing, canalization and lowering of

import duty levels. Export of iron and steel items has also been freely allowed.

Import duty on capital goods was reduced from 55% to 25%. Duties on raw

materials for steel production were reduced. These measures reduced the

capital costs and production costs of steel plants.

Imports:

• Iron & steel are freely importable as per the extant policy.

• Data on import of total finished steel (alloy + non alloy) is given below for

last five years:

Page 15: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 15

Pre-feasibility Report

Exports:

• Iron & steel are freely exportable.

• Data on export of total finished steel (alloy + non alloy) is given below for

last five years:

2.4 EXPORT POSSIBILITY:

Above figures are indicative of constant increase of steel export from India and

likely to increase further in coming years. The New Industrial policy opened up

the Indian iron and steel industry for private investment by (a) removing it from

the list of industries reserved for public sector and (b) exempting it from

compulsory licensing. Imports of foreign technology as well as foreign direct

investment are now freely permitted up to certain limits under an automatic

route. Ministry of Steel plays the role of a facilitator, providing broad directions

and assistance to new and existing steel plants, in the liberalized scenario.

The Company is already exporting to various countries such as:

• Korea

• Indonesia

• Japan

• Luxembourg

• China

• Nepal

2.5 DOMESTIC/ EXPORT MARKET:

Shyam group has a wide network of Stockiest & Distributors in the country

supported by Branch Offices in major cities. With the confidence gained by

serving discerning domestic customers, the group has embarked into large

scale exports of steel and ferroalloys to sophisticated markets in Europe like

Italy, The Netherlands, Poland etc as well as in Taiwan, Thailand and other

Page 16: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 16

Pre-feasibility Report

South-East Asian countries. Quality and commitment have been the key

performing factors in establishing in the global market.

Recognizing the performance in the global markets; Engineering Export

Promotional Council of India bestowed various awards in recognition of export

performance.

A full-fledged office has been set up in Harare, Zimbabwe, besides

representatives working in Thailand and the Middle East for business

development and identifying prospects of natural resources.

Major customers are as under:

Domestic Customers Overseas Customers

Ferro

Jindal Stainless Limited Posco (Korea)

JSW Limited Posco (Indonesia)

Jindal steel and Power Limited Mitsuy (Japan)

Steel Authority Of India Lux Alloy (Luxembourg)

Tsingshan Group (China)

Pellet Toyota Toshoe (Japan)

H.K. Enterprises Jagdamba Steel (Nepal)

Singhal Enterprises Pvt. Ltd. Jagdamba Enterprises (Nepal)

Goenka Steels (Nepal)

Sponge Iron Laxmi Steels (Nepal)

Bhagyalaxmi Rolling Mill Pvt . Ltd. Panchkanya Steels (Nepal)

Shakti Traders

Jindal Steel & Power Limited

Billet

Gajkeshri Steels

Sudha Steels

K.L.Steels

Structurals

The Dhamra Port Company Limited

Steel Authority Of India

Page 17: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 17

Pre-feasibility Report

2.6 EMPLOYMENT GENERATION (DIRECT AND INDIRECT) DUE TO THE

PROJECT:

The project will create the direct employment of 2000 People during the

construction phase and around 7000 People will be involved during operational

period. Skilled and unskilled people on daily average will be employed. SSPL

will give preference to the local peoples during construction and operation

phase of the project depending upon the skill, job requirement and capability.

Several others around 500 indirect employment opportunities will be created in

the surrounding areas by transport, business, vehicle derivers and attendants,

workshops, grocery and retail, medical etc.

Page 18: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 18

Pre-feasibility Report

3 Project Description

3.1 Type of Project including interlinked and interdependent projects, if any:

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

1 Sinter Sinter Plant - 0.85 MTPA 0.85 MTPA

(Sinter)

2 Pellet Plant

Pellet Plant 1 0.48 MTPA

Capacity enhancement from

existing 0.48 MTPA to 0.6

MTPA

(through modification) 1.8 MTPA

(Iron Ore

Pellets) Pellet Plant 2 0.12 MTPA Replacement of existing 0.12

MTPA by 0.6 MTPA

Pellet Plant 3 - New 0.6 MTPA

3 Blast

Furnace Blast Furnace

-

1X450 M3

(0.6 MTPA)

0.6 MTPA

(Hot Metal /

Pig Iron)

4 DRI Plant Sponge Iron Plant

2x100 TPD

3x300TPD

2x90TPD

(0.4248 MTPA)

4x350TPD

(0.462 MTPA)

0.89 MTPA

(Sponge

Iron)

5 Ferro

Alloys Ferro Alloy Plant 0.1 MTPA -

0.1 MTPA

6 SMS

Induction Furnace

2x18 T

2x15 T

4x5 T

5x18 T

(0.6066 MTPA)

5x18 T

8x8 T

0.5 MTPA

(0.5082 MTPA)

12X18 T

2X15 T

4X5 T

8X8 T

(1.11 MTPA)

Electric Arc furnace -

1 x 45 T

(0.4 MTPA)

1 x 45 T

(0.4 MTPA)

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 19

Pre-feasibility Report

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

7 Rolling

MILL

Long Products Mill

- 1

0.048

MTPA

Capacity enhancement from

Existing 0.48 MTPA to 0.15

MTPA

(through modification)

1 MTPA

(Long

Products)

Long Product Mill -

2 0.055008

MTPA

Capacity enhancement from

Existing 0.055008 MTPA to

0.15 MTPA

(through modification)

Long Product Mill -

3

0.196992

MTPA

Capacity enhancement from

Existing 0.196992 MTPA to

0.2 MTPA

Long Product Mill -

4 -

0.3

MTPA

Long Product Mill -

5 -

0.2

MTPA

8 Coke Oven Coke Oven Plant -

0.3 MTPA 0.3 MTPA

(Coke)

9 Ductile Iron

Pipe Plant DI Pipe

- 0.1 MTPA

0.1 MTPA

(DI Pipe)

10

Captive

Power

Plant

CPP (WHRB and

CFBC)

48 MW-WHRB,

43 MW-CFBC,

45 MW

(WHRB)

93 MW-

WHRB

43 MW-

CFBC

(136 MW

Electricity)

11

Cement

Grinding

Unit

Cement Grinding

Unit -

1.2 MTPA

1.2 MTPA

(Cement)

12 Producer

Gas Plant

Producer Gas

Plant -

36000

Nm3/Hour

36000

Nm3/Hour

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 20

Pre-feasibility Report

3.2 Location (map showing general location, specific location and project

boundary & project site layout) with coordinates.

The existing Steel Plant of M/s SSPL is situated at village Dhasna, P.O. Bahadurpur,

P.S. Jamuria, District Burdwan of West Bengal. Its geo-graphical coordinates are

Latitude 23°41'37.04"N and Longitude 87°7'13.55"E with Mean Sea Level 350 feet or

106.68 meters.

The project site already has proper road linkage for transport of materials and

equipment. Raniganj Railway Station is about 10.0 km from the project site.

The NH-2 road is passing about 6.0 km away in the South direction and the nearest

distance of NH-60 in the SE direction is about 2.6 km with respect to the project site.

The nearest Airport is Netaji Subhas Chandra Bose International (NSCBI) Airport,

Kolkata, which is about 178 km from the project site. Kolkata city is located at a

distance of about 178 km from the project site. Distance from Howrah Railway station

to the project site is about 175 km. Kolkata Port is around 175 km away and Haldia

Port is 209 km away from the Project Site.

The nearest distance of Damodar River in the South-western side is about 11.0 km

and Ajoy river is about 7.0 km in North-eastern side w.r.t the project site. Important

Towns like Raniganj Town is about 9.0 km in South direction, Asansol Town is about

14.0 km in West direction, Durgapur Town is about 29.0 km in South-east direction.

Jharkhand State Boarder is about 30.0 km in West direction from the project site.

The location map of the project site is presented in Figure- 1A.

The Plant Layout is presented in Figure-1B.

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 21

Pre-feasibility Report

Project Site: Village: Dhasna, P.O: Bahadurpur, P.S. - Jamuria, District – Burdwan, West Bengal. Site Co-ordinate: Latitude 23°41'37.04"N Longitude 87°7'13.55"E (Mean Sea Level 350 feet)

FIGURE-1A

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 22

Pre-feasibility Report

FIGURE 1B : PLANT LAYOUT

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 23

Pre-feasibility Report

3.3 Details of alternate sites considered and the basis of selecting the

proposed site, particularly the environmental considerations gone into

should be highlighted.

The proposed addition is on the existing land at Jamuria in Burdwan district of

West Bengal. The company already has sufficient land ad-measuring 649 acres

of land at the proposed location. It is only 35 kms from Durgapur city, giving

access to all modern amenities and offers us a significant competitive edge

through this strategic location. This belt has a supply of manpower and also key

raw materials, such as Dolomite, Quartzite, Ferro alloys and additives, thereby

reducing transportation and procurement costs.

The company also have its own private railway siding of 1.44 Kms, which

reduces the logistics cost.

The plant is closely connected with railways and highway roads. The unit is

located about 8 kms from Grand Trunk Road which provides easy and good

transport connectivity. The unit’s power requirements, other than captive power

plant, will be fulfilled by Damodar Valley Corporation (DVC) from 12 MVA line

from Icra substation located at a distance of about 2.5 km from the plant. The

plant’s water requirement is met from bore well. Further, the company also has

permission to draw water from nearby Ajay River which is approximately 8 Kms

from the site. The site is well connected with all type of transportation.

Locational Advantages

The proposed project is coming up on existing site of the Company. Site

selection for setting up of proposed project is governed by: (i) Proximity to

sources of raw material for production i.e. Jamuria being a centre for raw coal,

(ii) Reasonable proximity to end users i.e. Asansol, Ranigunge, Durgapur and

(iii) Availability of necessary infrastructure like Railway, Roadways, Power,

Manpower and Water.

• Requisite skilled and unskilled labour force is available in the nearby area (in and around area of Burdwan, Asansol & Durgapur).

• Proximity to the main raw materials required in the project as Jamuria is itself a heart of coal mining. Proximity to the source of the principal raw material will result in significant reduction in transport costs.

• It may be mentioned that Burdwan, Asansol and Durgapur has emerged as one of the fast growing region for iron & steel products.

Page 24: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 24

Pre-feasibility Report

• Company also has its manufacturing facilities in Raniganj which is only 10 Kms from Jamuria site.

3.4 Size or magnitude of operations.

M/s SSPL is planning to set up proposed units in the existing plant premises as

mentioned below,

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

1 Sinter Sinter Plant - 0.85 MTPA 0.85 MTPA

(Sinter)

2 Pellet Plant

Pellet Plant 1 0.48 MTPA

Capacity enhancement from

existing 0.48 MTPA to 0.6

MTPA

(through modification) 1.8 MTPA

(Iron Ore

Pellets) Pellet Plant 2 0.12 MTPA Replacement of existing 0.12

MTPA by 0.6 MTPA

Pellet Plant 3 - New 0.6 MTPA

3 Blast

Furnace Blast Furnace

-

1X450 M3

(0.6 MTPA)

0.6 MTPA

(Hot Metal /

Pig Iron)

4 DRI Plant Sponge Iron Plant

2x100 TPD

3x300TPD

2x90TPD

(0.4248 MTPA)

4x350TPD

(0.462 MTPA)

0.89 MTPA

(Sponge

Iron)

5 Ferro

Alloys Ferro Alloy Plant 0.1 MTPA -

0.1 MTPA

6 SMS

Induction Furnace

2x18 T

2x15 T

4x5 T

5x18 T

(0.6066 MTPA)

5x18 T

8x8 T

0.5 MTPA

(0.5082 MTPA)

12X18 T

2X15 T

4X5 T

8X8 T

(1.11 MTPA)

Electric Arc furnace -

1 x 45 T

(0.4 MTPA)

1 x 45 T

(0.4 MTPA)

Page 25: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 25

Pre-feasibility Report

Sl.

No. Division Plant Name

Proposed Item for which TOR required

Old Completed New Project Ultimate EC

Required

7 Rolling

MILL

Long Products Mill

- 1

0.048

MTPA

Capacity enhancement from

Existing 0.48 MTPA to 0.15

MTPA

(through modification)

1 MTPA

(Long

Products)

Long Product Mill -

2 0.055008

MTPA

Capacity enhancement from

Existing 0.055008 MTPA to

0.15 MTPA

(through modification)

Long Product Mill -

3

0.196992

MTPA

Capacity enhancement from

Existing 0.196992 MTPA to

0.2 MTPA

Long Product Mill -

4 -

0.3

MTPA

Long Product Mill -

5 -

0.2

MTPA

8 Coke Oven Coke Oven Plant -

0.3 MTPA 0.3 MTPA

(Coke)

9 Ductile Iron

Pipe Plant DI Pipe

- 0.1 MTPA

0.1 MTPA

(DI Pipe)

10

Captive

Power

Plant

CPP (WHRB and

CFBC)

48 MW-WHRB,

43 MW-CFBC,

45 MW

(WHRB)

93 MW-

WHRB

43 MW-

CFBC

(136 MW

Electricity)

11

Cement

Grinding

Unit

Cement Grinding

Unit -

1.2 MTPA

1.2 MTPA

(Cement)

12 Producer

Gas Plant

Producer Gas

Plant -

36000

Nm3/Hour

36000

Nm3/Hour

Page 26: PRE-FEASIBILITY REPORT FOR PROPOSED …...SHYAM SEL & POWER LTD. Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna, Jamuria, P.O. Bahadurpur, District Burdwan,

SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

3.5 Project description with process details (a schematic diagram/ flow chart

showing the project layout, components of the project etc.)

The detail manufacturing process of all the proposed project is as under:

3.5.1 MINI BLAST FURNACE

The blast furnace complex will comprise of 1x450 m3 mini blast furnaces along

with its auxiliaries to produce hot metal / Pig iron. The blast furnace is

envisaged to operate with sinter, iron ore lump, coke, coal dust and fluxes. The

liquid slag will be granulated at slag granulation unit. The BF top gas will be

cleaned in dust catcher and gas cleaning system, and distributed to the stoves,

runner drying and other furnaces.

a. Stock house and charging system:

The transportation of raw material from storage yard to the stock house will be

done by belt conveyors. The raw material transported from storage yard will be

distributed into the respective bunkers through shuttle conveyors envisaged at

the top of the stock house bunkers. All materials, stored in different weigh

hoppers will be charged sequentially into collecting conveyors which will

discharge material into common charging conveyor which in turn will feed the

material to the blast furnace top charging equipment.

b. Blast furnace proper:

The blast furnace shall be of structural steel construction of free standing

design and provided with four-post tower structure. The furnace shall be

provided with under hearth water cooling system in close circuit.

c. Hot blast stoves:

The hot blast stoves will be designed for a blast temperature of 1250° C with

an operating level of 1200°C. The 3-stoves combination with cyclic operation is

considered appropriate for start up and operation. Combustion air and

combustion gas will be pre-heated by a heat recovery system using the waste

gas from the stoves.

d. Cast house:

The blast furnace will be provided with two cast houses with two tap holes in

each cast house. The cast houses will be connected to each other.

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

Figure – 2.0 : Process Flow Diagram of Mini Blast Furnace

3.5.2 SINTER PLANT

The sinter plant complex will consist of sinter machine along with

associated services facilities. The plant capacity has been selected as 0.85

MTPA for charging sinter in blast furnace. The sinter plant complex will

consist of the following units,

1. Storage and proportioning unit

2. Combined mixing and balling unit

3. Sintering and cooling unit

4. Waste gas unit

5. Main exhaust fan unit

6. Cold sinter screening unit

7. Plant dedusting unit

The above units will be interconnected by conveyor galleries and junction

houses for conveying raw fix, finished sinter, and sinter return fines. All the

iron bearing materials (iron ore fines, flue dust), 100% BF return fines, 80%

of total requirement of limestone, 80% of total requirement of dolomite, 80%

of total requirement of coke breeze are blended in the base blending yard.

Blended mix and corrective additions of limestone (20% of total

requirement), dolomite (20% of total requirement) and coke breeze (20% of

total requirement) are received from the raw material blending yard to the

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

sinter plant proportioning building. Burnt lime will be carried by lime tanker

and fed to lime bin by pneumatic lime transportation system. A brief

description of major facilities proposed for the sinter plant complex is given

below.

Proportioning unit: Suitable capacity of storage and proportioning bins

has been envisaged for the sinter plant. The bunkers for blended mix and

return fines will have single outlet while bunkers for corrective additions of

crushed limestone, crushed dolomite and crushed coke breeze will have twin

outlets. All the bins will be suitably lined except return fines bin, which will be

self lined. The blended mix, corrective additions and in-plant returns will be

fed to the common collecting conveyor by electronic belt weigh feeders,

whereas, lime will be fed to common collecting belt conveyor by loss in

weigh feeder. Proportioned material from belt weigh feeders below

respective proportioning bins shall be transported to a combined mixing and

nodulizing drum by a common belt conveyor.

Combined mixing and nodulizing unit: Material from belt weigh

feeders below respective proportioning bins will be transported to a

combined mixing and nodulizing drum by a belt conveyor where the various

raw materials will be moistened and mixed in drum mixer. Lime from lime

bins will be discharged onto common collecting conveyor through lime

dosing equipment. A fixed quantity of water of about 60% of requirement

will be added in the mixing part and the rest variable quantity will be added

in the nodulizing part depending on requirement. The raw mix discharged

from mixing and nodulizing drum will be transported to sinter plant main

building by a belt conveyor.

Sinter plant main building: The sinter plant main building will mainly

consist of hearth layer and raw mix feeding units, ignition furnace, sinter

machine, hot sinter breaker. The sintering machine will comprise charging

and discharging sprockets, drive unit, spring loaded pallet cars with high

chrome cast steel grate bars, rails, curved guides at charging and

discharge ends, grate bar cleaning device, automatic lubrication system,

provision for thermal expansion, wind boxes, wind main with dust hoppers

and double cone dust valves, machine Spillage hoppers, sinter machine

support structures. The hearth layer (15 - 25 mm) will be spread onto the

sintering machine first, followed by sinter mix. The height of the sinter mix

bed onto the machine will be 650 mm including 50 mm protective

hearth layer height. The hearth layer is provided for the following reasons:

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

• Prevent plugging of the passage between grate bars

• Prevent the scaling and overheating of the grate bars

• Prevent the adhesion of fused sinter to grate bars

• Ensure uniform gas distribution through the sinter mix bed

The ignition furnace with post heat hood and pre-heating (before ignition

furnace) will be installed just after the sinter mix drum feeder. The ignition

furnace will have suitably located energy efficient type gas firing burner

designed for 2000 kcal/Nm3 of mixed gas. Gas mixing station and gas

boosting station will be located outside sinter plant battery limit

approximately 250 to 350 deg C hot air for the combustion is supplied from

waste heat recovery system of sinter cooler. Multicyclone will be provided

at inlet of combustion air fan to supply clean hot air from discharge of cooler.

The hot air for combustion will have control by having intake in cold air.

The ignition temperature will be 1200 – 1300oC RC Lot burners will be

provided for start up and safety. Hot air from waste heat recovery system

of sinter cooler will also be used for preheating of raw material before

ignition furnace and post heat hood after ignition furnace. The recovered

waste heat from cooler will be utilized for ignition, post ignition and

preheating of raw-mix. For suction of air through sinter mix bed on the

sintering machine two numbers of exhausters will be provided.

Circular sinter cooler will be used to cool the sinter to less than 100 deg C

after it is discharged from hot sinter breaker at approximately 800 deg C up

to (-) 150 mm size, so that it can be transported through conventional

conveyor system. Forced draught fans will be provided to cool the sinter in

sinter cooler. Deep bed dip rail circular cooler of adequate capacity will be

provided to match the sinter machine production with all the associated

facilities like cooler fans, heat recovery system etc. Retention time for the

coolers will be of approx. 60 minutes.

Cooling of sinter is achieved by up-drafting ambient air through the bed of

hot sinter to be cooled. The sinter after being cooled in the sinter cooler

is transported to the screening house. In the screening house, sinter

screening will be carried out in single deck screens arranged vertically in

series. The screen house in sinter plant is a separate building in which all

the vibrating screens will be located. These screens are arranged one

above the other in order to facilitate successive screening of the gross

sinter.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

The process flow of sinter plant is shown in Figure - 3.0.

Figure – 3.0 : Process flow of sinter plant

3.5.3 DRI PLANT

The direct reduction iron plant will be of conventional Rotary Kiln technology.

The rated capacity of the kilns will be 4x350 TPD to produce sponge iron.

The plant will be suitably designed for conveyor transportation as well as

storing system for both iron oxide feed, DRI product as well as by product

like product fines. The utilities system design will include distribution network

for utilities like nitrogen, oxygen, water, electric power, etc.

The process converts lump iron ore into highly metallised, passivated iron

product. The product is in the form of pellets/lumps and contains a variable

and controlled percentage of carbon. This is an ideal feed material for quality

steel making. The presence of Fe3C assures that the product is passivated

i.e. non-pyrophoric even without briquetting and allows easy, safe handling

and transport.

When the temperature reaches a value of about 500-600 deg C, the

hematite (Fe2O3), in presence of CO, changes to magnetite (Fe3O4).

When the burden reaches the lower zone of the furnace and comes in

contact with hotter and richer gas, the magnetite is reduced to wurstite

(FeO). The reduction of wurstite to metallic iron is the slowest stage of

the whole reduction process. It requires high temperatures and gas with

high reduction potential and these conditions are reached in the reducing

gas injection zone. The overall reduction process is represented by the

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Pre-feasibility Report

following reactions:

Fe2O3 + 3CO 2Fe + 3CO2

Oxide material handling:

The iron oxide material i.e. lump iron ore (sized) will be collected and

conveyed for screening in the oxide screening station and then sent to oxide

day bins for storage.

The iron ore will be directly sent to the oxide storage bins. Two bins will be

earmarked for pellet storage while one bin will store the iron ore lump. About

two shifts storage capacity has been planned.

Figure – 4.0 : Process flow of DRI Plant

Power Generation from DRI Plant: (30 MW Generations)

Waste gases generated from DRI (Sponge Iron) plant contain carbon

monoxide and other volatile matter which after combusted releases

significant heat. This heat contains significant calorific value (GCV of

mixed fuel - about 2300 kcal/Nm3). This heat will be used to produce steam

through Waste Heat Recovery Boilers. The high pressure steam will be

used to run turbines and generate 30 MW electricity.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

3.5.4 Pellet Plant (1.8 MTPA)

In the existing project, there are two pellet plants with 0.48 MTPA & 0.12

MTPA capacity. M/s SSPL has decided to enhance the capacity of one of

the existing pellet plants i.e. the 1st plant capacity enhancement from 0.48

MTPA to 0.6 MTPA. Second Pellet Plant of 0.12 MTPA capacity will be

replaced by 0.6 MTPA capacity pellet plant. In addition, one new pellet plant

of 0.6 MTPA capacity is proposed. The details of the overall scenario with

respect to the pellet plant configuration are mentioned below,

Division Plant Name

Old Completed New Project Ultimate EC

Required

Pellet Plant

Pellet Plant 1 0.48 MTPA

Capacity enhancement from

existing 0.48 MTPA to 0.6 MTPA

(through modification) 1.8 MTPA

(Iron Ore

Pellets) Pellet Plant 2 0.12 MTPA Replacement of existing 0.12

MTPA by 0.6 MTPA

Pellet Plant 3 - New 0.6 MTPA

In pellet plant, the concentrated iron ore fines will be mixed with

limestone, coke breeze and bentonite and grounded in a Grinding

Unit. The grounded material is transported pneumatically to mixer.

The mixed material is conveyed to balling disc for making green balls,

where water is added. The green balls are called pellets, which are

screened to 9 -16 mm size in a double deck roller screen. Oversize and

undersize material are returned to mixed material bins for reuse. The

pellets are fed by conveyor to the travelling grate of indurating furnace for

heat hardening. Mixed gas (blast furnace / coke oven gas) or producer gas

is used as fuel to achieve temperature of 1300oC. Producer gas plant is also

considered to supply the gaseous fuel requirement of pellet plant. Heat

provides recrystallisation, bonding and imparts strength to the pellets.

The indurated pellets are air-cooled using a fan. The cooled pellets are

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taken to stockpile by belt conveyors after separation of hearth and side

layers in the hearth layer separation bin. The hearth and side layers are

reused in the furnace.

Slurry receiving and filtration: The iron ore will be received by pipe line

in slurry form in slurry receiving tanks and filtered in high efficient

pressure filters. The iron ore is dewatered (called concentrate). The

filtrate is clarified and reused in the pellet making.

Mixing: The iron ore concentrate is mixed with additives like coke fines,

limestone powder, and bentonite in high intensity mixer and with required

quantity of water for ideal moisture for next stage of process called balling.

Balling: The homogeneous feed is fed to balling discs. Green balls are

formed in an inclined pan of 7.5 m diameter, driven by variable frequency

drives.

Indurations: The green balls are converted to pellets by fired in the

indurating furnace. In this process, the wet pellets are dried, preheated,

indurated, and cooled on a continuous moving grate without intermediate

transfers. The indurating burners will be fired with coal gas. The process

air introduced for pellet cooling will be circulated from the cooling zone

of the grate in a multipass manner to the other process zones. The heat

transferred to the air in the cooling zone will be transferred to the zones

for drying and preheating of the green pellets. The indurating furnace

divided in to five zones. The zones are up draft drying, down draft drying,

preheating, firing, cooling zones. The indurating temperature is around 1300

deg C.

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Product Handling: Pellet is discharged from end of the machine and

screened to remove materials that are recycled to the hearth layer. The

pellets are stored in sheds.

Figure- 5.0 : Schematic Process Flow of Pellet Plant

3.5.5 INDUCTION FURNACE

It is also proposed to install 5x18 T + 8x8 T numbers of Induction furnaces.

The plant will produce steel in the form of billets, TMT Bars and Strips &

Structural products through IF-CCM-RM route. Steel making will be done

using induction furnaces. A brief description of the processes is dealt in

subsequent paragraphs and the process flow sheet is given below.

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Steel Making by Induction Furnace

The greatest advantage of the Induction Furnace is its low capital cost

compared with other types of Melting Units. Its installation is relatively easier

and its operation simpler. Among other advantages, there is very little heat

loss from the furnace as the bath is constantly covered and there is practically

no loss during its operation. The molten metal in an Induction Furnace is

circulated automatically by electromagnetic action so that when alloy additions

are made, a homogeneous product is ensured in minimum time. The time

between tap and charge, the charging time, power delays etc. are items of

utmost importance is meeting the objective of maximum output in tones/hours

at a low operational cost. The disadvantage of the induction furnace is that the

melting process requires usually selected scrap because major refining is not

possible.

The process for manufacturing steel may be broadly divided into the following

stages:

i) Melting the charge mixed of steel & Iron scrap

ii) Ladle teeming practice for Casting (OR)

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iii) Direct teeming practice for billet Casting unladdable teeming machine

The furnace is switched on, current starts flowing at a high rate and a

comparatively low voltage through the induction coils of the furnace,

producing an induced magnetic field inside the central space of the coils

where the crucible is located. The induced magnetic fluxes thus generated out

through the packed charge in the crucible, which is placed centrally inside the

induction coil.

As the magnetic fluxes generated out through the scraps and complete the

circuit, they generate and induce eddy current in the scrap. This induced eddy

current, as it flows through the highly resistive bath of scrap, generates

tremendous heat and melting starts. It is thus apparent that the melting rate

depends primarily on two things (1) the density of magnetic fluxes and (2)

compactness of the charge. The charge mixed arrangement has already been

described. The magnetic fluxes can be controlled by varying input of power to

the furnace, especially the current and frequency.

In a medium frequency furnace, the frequency range normally varies between

150-10K cycles/second. This heat is developed mainly in the outer rim of the

metal in the charge but is carried quickly to the center by conduction. Soon a

pool of molten metal forms in the bottom causing the charging to sink. At this

point any remaining charge mixed is added gradually. The eddy current,

which is generated in the charge, has other uses. It imparts a molten effect on

the liquid steel, which is thereby stirred and mixed and heated more

homogeneously. This stirring effect is inversely proportional to the frequency

of the furnace and so that furnace frequency is selected in accordance with

the purpose for which the furnace will be utilized.

The melting continues will all the charge is melted and the bath develops a

convex surface. However, as the convex surface is not favorable to slag

treatment, the power input is then naturally decreased to flatten the convexity

and to reduce the circulation rate when refining under a reducing slag. The

reduced flow of the liquid metal accelerates the purification reactions by

constantly bringing new metal into close contact with the slag. Before the

actual reduction of steel is done, the liquid steel which might contain some

trapped oxygen is first treated with some suitable deoxidizer. When no

purification is attempted, the chief metallurgical advantages of the process

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attributable to the stirring action are uniformity of the product, control over the

super heat temperature and the opportunity afforded by the conditions of the

melt to control de-oxidation through proper addition.

As soon as the charge has melted clear and de-oxidising ions have ceased,

any objectionable slag is skimmed off, and the necessary alloying elements

are added. When these additives have melted and diffused through the bath

of the power input may be increased to bring the temperature of metal up to

the point most desirable for pouring. The current is then turned off and the

furnace is tilted for pouring into a ladle. As soon as pouring has ceased, any

slag adhering to the wall of the crucible is crapped out and the furnace is

readied for charging again.

As the furnace is equipped with a higher cover over the crucible very little

oxidation occurs during melting. Such a cover also serves to prevent cooling

by radiation from the surface heat loss and protecting the metal is

unnecessary, though slags are used in special cases. Another advantage of

the induction furnace is that there is hardly any melting loss compared with

the arc furnace.

CONTINUOUS CASTING MACHINE

The molten steel from the IF is cast in a continuous casting machine to

produce billets. In some processes, the cast shape is torch cut to length and

transported hot to the hot rolling mill for further processing. Other steel mills

have reheat furnaces. Steel billets are allowed to cool, and then be reheated

in a furnace prior to rolling the billets into bars or other shapes.

The process is continuous because liquid steel is continuously poured into a

‘bottomless’ mould at the same rate as a continuous steel casting is extracted.

1) Before casting begins a dummy bar is used to close the bottom of the

mould.

2) A ladle of molten steel is lifted above the casting machine and a hole in the

bottom of the ladle is opened, allowing the liquid steel to pour into the

mould to form the required shape.

3) As the steel’s outer surface solidifies in the mould, the dummy bar is

slowly withdrawn through the machine, pulling the steel with it.

4) Water sprays along the machine to cool/ solidify the steel.

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5) At the end of the machine, the steel is cut to the required length by gas

torches.

3.5.6 ELECTRIC ARC FURNACE

It is also proposed to install 1x45 T number of Electric furnace.

In furnace of this type, the electric energy is used to form an electric arc which

heats the metal by radiant heat evolved. This can be further sub-divided as:

• Direct Arc Furnace: Electric arcs are formed between the electrodes and

metal being heated, which is thus a component of the electric circuit and is

heated by radiation from the arcs. They are used in steel making.

• Submerged Arc Furnace: The arcs burn under a cover of solid charge

which surrounds the electrodes. These are mostly used for ore smelting

operations, in particular for making Ferro-alloys.

An EAF is a furnace that heats charged material by means of an electric arc.

They range in size from small units of approximately one tonne capacity (used

in foundries for producing cast iron products) up to about 400 tonne units used

for secondary steelmaking. Arc furnaces used in research laboratories and by

dentists may have a capacity of only a few dozen grams. EAF temperatures

can be up to 1,800oC.

The furnace has a steel shell in the form of a tapered cylinder with a spherical

bottom. The shell has a refractory lining inside. The reaction chamber of the

furnace is covered from above by a removable roof made of refractory bricks

held by a roof ring. The furnace has a main charging door and a tap hole with

tapping spout. It is fed with a three phase alternating current and has three

electrodes fastened in electrode clamps which are connected by means of a

Figure- 6.0 :

A Modern EAF Schematic Diagram

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sleeve with a movable electrode stand. Current is supplied via water cooled

flexible cables and water cooled copper tubes. The furnace rests upon two

support sectors which can roll on the furnace stand to tilt the furnace towards

the main door and towards the tap hole for tapping, the tilting motion being

affected by a rack mechanism.

The furnace is charged from the top by means of a pan. To open the reaction

chamber for charging, the furnace roof which is suspended from chains is

raised up to the gantry. The latter together with the roof and electrodes, can be

swung towards the tapping spout. A rotating mechanism is provided to rotate

the furnace shell through an angle of 40 degrees in both directions from the

normal position. The furnace also has an electromagnetic stirring device for

intermixing of molten metal.

Although electricity provides most of the energy for EAF steelmaking,

supplemental heating from oxy-fuel and oxygen injection is used. The major

advantage of EAF steelmaking is that it does not require molten iron supply. By

eliminating the need for blast furnaces and associated plant processes like

coke oven batteries, EAF technology has facilitated the proliferation of mini-

mills, which can operate economically at a smaller scale than larger integrated

steelmaking. EAF steelmaking can use a wide range of scrap types, as well as

DRI and molten iron (up to 70%). This recycling saves virgin raw materials and

the energy required for converting them. The EAF operates as a batch melting

process, producing heats of molten steel with tap-to- tap times for modern

furnaces of less than 60 minutes.

Arc furnace process

Steel in arc furnace may be refined with or without oxidation. Oxidation may be

dispensed where the metal ingredients of the charge are close to the desired

steel grade in analysis. In such case, a reducing slag is used both in melting

and refining (single refining or single slag practice). Usually, this process is

used to smelt alloy wastes to alloy steel. In working with oxidation, the charge

is melted and refined under an oxidizing slag or ‘black slag’ (the slag is called

‘black’ due to the colour it is given by the iron oxide), removing phosphorous

and/or carbon almost completely; then the ‘black slag’ is removed and a

reducing or ‘white slag’ containing lime, fluorspar, silica, carbon and/or

ferrosilicon made up, giving a very high degree of desulphurization and good

de-oxidation. Additions of the required ferroalloys are made during this stage,

or sometimes to the ladle.

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The principal processes in the oxidizing period are

i) Removal of phosphorous

ii) Oxidation of silicon and manganese

iii) Removal of sulphur

iv) Removal of nitrogen and hydrogen,

v) Removal of non-metallic inclusions,

vi) Heating of the metal,

vii) Reboil and

viii) Carbonization of metal.

A modern development in arc furnace practice is the use of an oxygen lance

for injecting high pressure oxygen into the bath, during the oxidation period.

This removes carbon more rapidly than by ore alone. Lancing does not need

an arc for heating. The use of oxygen lance has special advantage in the

manufacture of stainless steel. If oxygen is blown into the metal, exothermic

reactions prevail in the bath, the metal is heated up quickly, and it is possible

to switch off the current as soon as the carbon begins to burn intensively.

The aims of the reducing period during the melt in a basic EAF are:

i) De-oxidation of the metal

ii) Removal of sulphur,

iii) Adjustment of the steel composition to specifications,

iv) Control of the bath temperature, and

v) Preparation of well oxidized free running highly basic slag, which can be

used for off-furnace treatment of the metal in the ladle.

The reducing period can be shortened considerably if the metal is treated with

argon or synthetic slag or deoxidized in the ladle.

a) Important Segments:

A. Electrodes:

An important characteristic of an EAF heat is the consumption of electrodes

per tonne of steel produced. The types of electrodes used are carbon and

graphite electrodes. The graphite electrodes are much superior to carbon

electrodes as they have a 4 to 5 time greater electrical connectivity, which

allows high current densities to be employed and lowers electrical losses.

Graphite electrodes begin to oxidize at higher temperatures, can be easily

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machined, and their consumption per tonne of steel is only one half that of

carbon electrodes. Graphite electrode consumption varies between 6 to 9

kg/ton, and that of carbon electrodes between 15 to 18 kg or more. Due to this

reason, even with its high cost, graphite electrodes are popular. It has been

observed that the consumption of electrodes increases initially with increasing

capacity of furnace and then start decreasing beyond capacity of 40 tonne. At

capacities more than 100 t, the electrode consumption comes around 5

kilogram per tonne (kg/T) for properly designed furnaces.

The factors that determine consumption of electrodes are as follows:

• Oxidation of surface of electrodes in the furnace by oxygen in the sucked

in air

• Mechanical losses owing to fracture of electrodes

• Atomization by electric arc

• Dissolution in the slag during bath boil

The consumption of electrodes depends on furnace capacities, method and

conditions of a heat, and also on the effective sealing of the electrode ports

and the furnace doors. Approximately, two third of the total consumption of

electrodes result from their oxidation due to poorly sealed furnace or a long

operation with the furnace door left open. The main rules of proper

maintenance of electrodes during operation are as follows:

Electrodes must be kept in dry place; if moisture is present in the

electrodes, longitudinal or transverse cracks can form during rapid

heating of the furnace, resulting in breakage.

The leakage of furnace gases through the gaps in the roof at the

electrodes must be eliminated; this will lower the heating of the electrodes

and their oxidation by atmospheric oxygen.

Electrode sections should be screwed tightly together.

The electrode holes in the roof should be positioned accurately;

electrodes should move freely without touching the sealing rings and roof

lining; if an electrode is subjected to lateral pressure during lowering, it

may break.

The diameter of electrodes should correspond to the current supplied; if

the current density is excessively high, electrodes will be heated and

oxidized vigorously; if the electrode diameter is excessively large, energy

consumption will be above normal.

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B. Electric Power / Oxygen

The performance of EAFs is assessed in terms of daily output in tons per 1000

KVA of power. Daily output is a function of nominal furnace capacity, working

conditions, and the process adopted. On average, it is 3-14 tonnes per 1000

KVA. Energy consumption is likewise governed by the three above factors and

amounts to 500 – 700 KWh per tone for carbon steel up to 1000 KWh per

tonne of alloy steel if only scrap is charged.

With increasing addition of liquid steel and HBI, considerable reduction in

specific power consumption has been recorded with increase of specific

oxygen consumption.

With 30% hot metal, power consumption was around 400 KWh/t liquid steel

and oxygen consumption around 28 Nm3/t liquid steel. With 40% hot metal,

this is around 300 KWh/t liquid steel and around 35 Nm3/t liquid steel. The

remarkable difference in power consumption of approximately 100 KWh/t

between 30% and 40% hot metal is not significant because with 30% hot

metal, it is necessary to first charge the scrap, then melt down the scrap for

approx. 9 min. to get space in the furnace for the hot metal. The furnace is

then switched off, the roof opened and the hot metal can be charged. This

operation causes additional losses compared to step 2 to 4 with 40% – 50%

hot metal input where the hot metal is poured to the scrap prior to power on

after the end of charging, the furnace is switched on and operated without

interruption until the end of the heat.

For 50% hot metal charging, specific power consumption values to

approximately 250 KWh/t of liquid steel and oxygen consumption of

approximately 40 Nm3/t hot metal can be achieved with silicon content of hot

metal of 0.8%. Thus with higher hot metal charging rates into the EAF,

consumption of electric energy and electrodes can be reduced.

b) Process Description

The steel melting shop has been designed to produce liquid steel and cast

the same in continuous casting machine to form billets, blooms and ingots

of various specifications. Electric Arc Furnaces (1 x 45 ton) has been

proposed in the steel melting shop for production of alloy steel and low

carbon steel.

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The hot metal produced in blast furnace will be taken to desulphurization

plant. The desulphurised metal is taken in the transfer ladle by injection of a

mixture of Calcined lime, calcium carbide (55%) and magnesium (97%)

through a refractory coated immersed lance. Nitrogen is used a carrier gas.

De-slagging and fume extraction facility has been considered. The

desulphurised metal is taken for steel making in Steel Melting Shop

comprising Electric Arc Furnace technology. The EAF will be AC Arc type,

bottom tapping, water cooled side walls, roof side graphite electrode,

foamy slag formation, continuous charging of hot DRI through roof,

mechanized charging of lime, ferroalloy and scrap through roof and coke /

coal powder by injection into furnace. Heating, deoxidation, alloying and

homogenization of chemical composition takes place in the Laddle

Refining Furnace. Overhead bins are provided for storing lime, deoxidizers

and ferroalloys.

The metallic charge to the Electric Arc Furnace (EAF) is desulphurised hot

metal and sponge iron in defined ratios. DRI comes directly from the DR

Plant by conveyors. The hot metal comes from the blast furnace by ladle

carried by a car, which is driven by a loco. The ladles are lifted from the car

by EOT crane and kept aside in an area earmarked for them. Lime and

Ferroalloys are stored in a silo and filled by bucket elevator. A belt conveyor

carries them to day bins. A gallery between the EAF and LF bays is

provided for Lime and Ferro-Alloy day bins. Ferro-alloys are filled in the

day bins with a bucket lifted by a hoist in the gallery itself. These bins feed

the ladle at EAF and LRF.

Hot metal is charged into the EAF with the help of EOT crane. The roof is

swung open and scrap is charged. The cycle starts with the charging of

Scrap on the hot heel of the EAF, after this the hot metal is charged from

top (slag door side). Arcing starts and melts part of the scrap and clears it

from the door. Intensive oxygen blowing starts and lasts for about 15-17

minutes for reducing carbon. Oxygen lancing is done through the slag door

with manual door lances. DRI is continuously fed from the time the lancing

starts. After the oxygen lancing is over arcing starts. This lasts for 25-30

minutes. During this period phosphorus is reduced and slag is over run from

slag door. Towards the end of the arcing, oxygen lancing is done again

along with lime dosing for maintaining foaming slag and final

dephosphorisation. The tap-to-tap time for fettling, slag-off,

superheating, etc. is around 65 minutes. Samples are taken during the heat

for measurement of C, P and N percentages followed by corrective action.

Slag is poured into the slag pots on a car and taken out. Slag

generation is around 5% of the total charge.

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The liquid metal is tapped into ladle at about 1620oC and ferroalloys are

charged into the ladle during tapping and then taken to Laddle Refining

Furnace. Desulphurisation, chemistry correction, partial degassing and

temperature control activities are done in the LRF. The process lasts for

about 30-40 minutes. Purging for stirring is done throughout the process,

through porous plug from the bottom. After refining, the Laddle is lifted by

the EOT crane and transported to the Continuous Casting Machine (CCM)

where it is placed on the turret. The turret rotates by 180o. The Laddle

pouring hole is automatically positioned over the tundish. The slide gate is

opened hydraulically and

the pouring starts into the tundish. From the tundish liquid steel flow to

moulds which shapes and forms the slabs. The hot slab goes through a

water spray chamber and comes to a straightening cum withdrawal

machine which is a set of hydraulically pressed rollers. The slab is cut to

required sizes and comes to a run out roller table. In case of slab caster,

the slabs are cut by oxy-propane torch cutting machine and the cut slabs

are transported through run out roller table to cross transfer and fed to plate

mill and hot strip mill.

Figure – 7.0 - Process flow of Electric Arc Furnace

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3.5.7 ROLLING MILL

The company is planned to set up Rolling Mill for Long products as a finished

product. The proposed capacity of Rolling Mill is as follows,

Division Plant Name

Old Completed New Project Final Rolling

Mill Capacity

Rolling MILL

Long Products Mill -

1

0.048

MTPA

Capacity enhancement from

Existing 0.48 MTPA to 0.15

MTPA

(through modification)

1 MTPA

(Long

Products)

Long Product Mill - 2 0.055008

MTPA

Capacity enhancement from

Existing 0.055008 MTPA to 0.15

MTPA

(through modification)

Long Product Mill - 3 0.196992

MTPA

Capacity enhancement from

Existing 0.196992 MTPA to 0.2

MTPA

Long Product Mill - 4 -

0.3

MTPA

Long Product Mill - 5 -

0.2

MTPA

Rolling mill consists of set of equipment together will produce the said

quantity. Rolling mill will primarily comprise of one tunnel type temperature

equalizing-cum-holding furnace with roughing and finishing strand, one

pendulum type bar and cobble shear, one high pressure de-scaling station,

run out roller table equipped with turnover cooling bed along with auxiliary

facilities and roll shop equipment.

Operating parameters

The net operating hours of the mill are affected by various factors

considering integrated direct linked operation with furnaces, ladle furnace

and bloom caster unit, such as relining of furnaces, breakdown and

mismatching of operational requirements between the units. Considering the

effect of the external factors enumerated above and the operation and

maintenance requirements of the mill itself, the net annual operating hours of

the mill will be about 7200.

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Product weighing station

A product weighing station will be included to provide weight output to

computer tracking and logging systems and print out a tag for attachment to

the finished coil.

Product marking machine

A marking machine will be provided to print bar data on outer wrap of the

coil. The machine will comprise of the frame, print head, ink system, etc. The

signals for marking data will be fed through PC and received through PLC /

microprocessor system.

Roll grinding and bearing inspection facilities

The roll grinding and bearing inspection facilities will be installed in a

separate roll shop which will be located adjacent to the main mill bay.

Shop layout

The proposed mill equipment and other associated facilities will be housed in

multibay building consisting one bay for tunnel furnace and two parallel bays

for mill and roll grinding and bearing inspection facilities. The main

equipment of the mill and storage area will be located in a bay of 30 m width

having about 300 m length. This bay will be served by EOT cranes. The

motor room for the mills will be located in a bay of 21 m width and 63 m

length, and will be served by one 45 t capacity EOT crane. All technological

basements like oil cellars, hydraulic pump accumulator stations, strip cooling

pump house, etc. will be located in the mill bay. The water circulation system

including scale pit will be located outside the main mill building.

TMT Process

By adopting thermo mechanically treatment process higher strength of TMT

bars is obtained. In this process, steel bars get intensive cooling immediately

after rolling. When the temperature is suddenly reduced to make surface

layer hard, the internal core is hot at the same time. Due to further cooling in

atmosphere and heat from the core, the tempering takes place. This process

is expected to improve properties such as yield strength, ductility and

toughness of TMT bars. With above properties, TMT steel is highly

economical and safe for use. TMT steel bars are more corrosion resistant

than Tor steel.

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3.5.8 COKE OVEN PLANT

The coke oven complex will have one module producing 3,00,000 TPA

coke.

In this process, the coal to be charged in oven is first converted into a cake

through stamping process and then charged into oven. The oven will be

provided with self-adjusting suction pressure controller for individual oven as

well as a changer controller at chimney base in order to control thermal

regime of Coke Oven Battery. The major facilities envisaged are as under:

• Coal Preparation and Proportioning Plant

• Coke Oven Battery Proper

• Coke Screening Plant

• Gas Cleaning Heat Recovery System and Power Plant

• Auxiliary production facilities like maintenance shop, laboratory,

warehouse etc.

Coal Preparation& Proportioning Plant

The prime objective of a coal preparation plant is to feed consistent quality of

coal to coke oven batteries for production of required quality of BF coke. A

separate coal yard will be provided near the Coke oven battery. Coal will be

received through rail wagons, self-discharging trucks & tipper system.

The unloading and loading system is designed to capacity of 100t/h, while the

blending, crushing and feeding system is designed to capacity of 100t/h.

The cleaned coal shall be fed into the coal hopper. Appropriate number of

coal blending hoppers shall be provided based on the coking coal types, and

electronic belt scale shall be provide below the coal blending hopper for

measuring the coal blending proportion. The coal blending hoppers shall be

welded with steel, and electrical vibrator shall be provided on the outer wall to

ensure no sticking or blocking.

Two back-impact plate hammer crushers shall be selected for crushing of raw

material coal. Permanent magnetic iron remover shall be provided before raw

materials enter the crusher.

The coal preparation plant is mainly composed of cleaned coal yard, coal

receiving and blending hopper, crusher room and cleaned coal belt corridor,

for purpose of stripping, loading, coal blending, crushing and other tasks so

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that blended coal of required grain size shall be delivered to the coal tower of

the coke oven.

The coal preparation plant shall be continuously operated to 330 Days every

year and production personnel shall be allocated to three-shift operations

The major facilities envisaged are as under:

• Supply of coals

3-4 grades of coal Imported and indigenous will be blended to make charge

mix. In actual practice, coal supply will depend upon actual over all receipt

patterns and accordingly blend composition is to be adjusted keeping in view

the qualitative parameters of BF coke required.

This would also require laboratory tests for establishing the most optimum

coal blend.

Brief Description of Coke oven Plant

Coke quenching system consists of Coke quenching pump house, quenching

tower, coke dust trap device, Coke fines sedimentation pond, clean water

pond, coke fines dewatering system. A coke fines bucket crane is placed over

the sedimentation pond to periodically remove the coke fines from the pond.

The coke fines removed from the pond is used in sinter plant and Ferro alloy

plant.

The coke is mainly quenched by the water entering at the bottom of the coke

box of the quenching car as well as by the rising vapor. By flooding the coke

box from the bottom, the coke is quickly cooled down creating steam which

catapults the coke high up into the shaft. As the coke falls down the small

loose breeze coke particles are separating from the lumps, which has a

stabilizing effect to the coke. Furthermore, the quick cooling down of the coke

reducing the development of unwanted gas emissions.

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Figure – 8.0 - Process flow of Coke Oven Plant

The Coke quenching tower is made of a reinforced concrete structure to

accommodate the second set of emission control facilities and vapor spray

system. The two stages of baffle plates fastened on supporting structures of

wood are separating the dust from the quenching vapor. The baffle plates are

arranged louver-like in a roof type pattern. The baffles of the lower stage are

made of stainless steel, the baffles of the upper stage are of special plastic

material. Further, two stages of vapor spraying system arranged below each

stage of baffle plates. The piping is made of stainless steel and contains

nozzles to spray the water on the rising vapours. By the water spray nozzles,

located below the dust catching louvers, the rising vapours are cooled and

dust particles are washed down. The water for spraying of the vapours is

extracted from the clean water pond of the quench water treatment plant. Dust

particles not washed down by spraying are largely removed by the baffle

plates installed above. Further, the arrangement of the louvers is designed to

ensure an equal distribution of the vapours over the full section of the quench

tower stack. By this system, the required limitation of dust in the quenching

vapor is achieved.

Buttress Wall

Reinforced concrete buttress walls shall be provided on both ends of the coke

oven to bear thrust from individual parts of the coke oven.

Electrostatic Precipitator (ESP) will be installed in Coke Oven after Waste

Heat Recovery Boiler. The outlet of ESP shall be vented to atmosphere

through a stack.

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Power From Coke Oven Plant: (15 MW Generations)

Waste gases generated from coke ovens contain carbon monoxide and

other volatile matter which after combusted releases significant heat.

This heat contains significant calorific value (GCV of mixed fuel - about

2300 kcal/Nm3). This heat will be used to produce steam through Waste

Heat Recovery Boilers. The high pressure steam will be used to run

turbines and generate 15 MW electricity.

3.5.9 DUCTILE IRON PIPE PLANT (0.1 MTPA)

M/s SSPL is planning to install 0.1 MTPA Ductile Irons Pipes Plant. The

Manufacturing Process consists of the following processes steps,

1. Molten Hot Metal preparation and Chemistry correction

2. Magnesium treatment

3. Centrifugal Casting

4. Core Making

5. Mold Maintenance

6. Heat Treatment by Annealing Furnace

7. Zinc Coating

8. Hydraulic Pressure Testing

9. Cement Mortar Lining

10. Bitumen Coating

11. Finishing

A ductile iron pipe is produced with centrifugal casting method. The molten

ductile iron is poured into a rapidly spinning water-cooled mould and

centrifugal force results in an even spread of iron around the circumference.

Molten Hot Metal Preparation: In Blast Furnace Hot Metal, Carbon

percentage (%) is usually 4.2% to 4.3%. But in DIP, Carbon percentage is

3.6%. Therefore Steel Scrap with 0.3% Carbon is to be added by about 12%

to 15% of BF Hot Metal.

Magnesium Treatment: During this process, molten Hot metal treated with

Ferro Alloys, like Silico-Manganese, Magnesium, carbon etc. and melted with

1460-1520°C of temperature. The George Fischer Converter process has

been carried out in the crucibles at about 1500°C by tundish treatment and it

was performed by means of 2,1% of Fe-Si-Mg. Next, molten iron will be

poured to the cast process.

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Centrifugal Casting: Centrifugal casting requires water cooling metallic and

centrifugal casting machine that works automatically. Types of the machine

are divided as the pipe dimension (DN). Here For example, there are machine

for DN80-300mm, machine for DN350-700mm or machine for DN700-

1000mm.

During the process, the treated liquid iron is poured into spinning mould

through a runner. The hot metal starts solidification in the water cooled mould

and is extracted as complete pipe. When the molten iron enters the mould

spinning, it needs water high speed spin through the long through for the

water cooling system. During this process, the solidification process will be

started. Finally, the extractor will extract the pipe after it solidified completely.

Core Making: Core making equipment consists of manual machine and

automatic machine known as core-making jets. Silicon sand, solidifying agent

and resin will be mixed and rolled. Then it’s moved to the hopper of the core-

making jets machine with a conveyor. Core making process will be started by

jetting that material into core box. When it’s solidified completely core will be

made and tested. Next, core will be conveyed to casting process.

Mould Maintenance: To remove the rust in the internal surface of a mould, it

will be grounded with sand wheel before it’s dotted with penning head to

increase its crack resistance. If cracks found on the mould surface, it will be

removed by turning the mould and welding the turning area. Next grinding and

penning will accomplish the maintenance.

Annealing/ Heat Treatment : The process consists of heating section, heat

holding section, slow cooling section and fast cooling section. Ductile iron pipe

will be entered to this 52 meters long machine and rolled on it. Certainly its

temperature will be controlled.

Zinc Coating: Arc melted Zinc/ Zinc-alloy is sprayed on the outer surface of

pipe.

EN 545/598 mandates a minimum zinc content of 130 g/m2 (with local minima

of 110 g/m2 at 99.99% purity), and a minimum average finishing layer

thickness of 20 µm .

Finishing and Hydrostatic Testing: Pipe dimension will be checked here

and it’s important to remove the fins on the internal surface. A Hydrostatic

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pressure testing will be done in 10 seconds with proper pressure as per the

following chart

Hydraulic pressure for hydrostatic testing

Nominal Diameter (mm) Hydraulic Pressure (Mpa):

80=50mpa=300, 200=50mpa =600, 700=50mpa =1000, 1100=50mpa =2000

Cement Lining: Pipe will be rolled with low speed and it will be sprayed with

material. This material includes cement, sand, and water. Pipe will be rolled

with high speed to move excessive water and deposit cement. Nature cure

will be given to cement lining. Grinder will smooth its surface

Bitumen Coating: As zinc coating, bitumen will be sprayed to pipe. But it will

be done to internal and external surface. Bitumen will reduce the corrosion on

the external surface.

Finishing: This process includes marking (trade mark), painting if it’s required

and packing. It will pack with thick wood and bundled with steel belt.

Ductile Iron Metallurgy: Ductile Iron is an iron with elementary alloy such as

carbon, Si, Mn and Mg. Commonly, the carbon content on its structure is 3 %

or more. Ductile iron is one of the most important engineering materials, in

view of its excellent cast-ability, significantly better mechanical properties and

low cost. Simply, it’s similarly to steel in strength, toughness, ductility and

hardness.

3.5.10 PRODUCER GAS PLANT

In the proposed project a 36,000 Nm3/hr capacity producer gas plant will be

installed. Producer gas is fuel gas that is manufactured from material such

as coal, as opposed to natural gas. In the United Kingdom, producer gas,

also called suction gas, specifically means a fuel gas made

from coke, anthracite or other carbonaceous material. Air is passed over

the red-hot carbonaceous fuel and carbon monoxide is produced. The

reaction is exothermic and proceeds as follows:

2C + O2 + 3.73 N2 → 2CO+ 3.73 N2

The nitrogen in the air remains unchanged and dilutes the gas, giving it a very

low calorific value. The concentration of carbon monoxide in the "ideal"

producer gas was considered to be 34.7% carbon monoxide (carbonic oxide)

and 65.3% nitrogen. After "scrubbing", to remove tar, the gas may be used to

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power gas turbines (which are well-suited to fuels of low calorific value), spark

ignited engines (where 100% petrol fuel replacement is possible) or diesel

internal combustion engines (where 40% - 15% of the original diesel fuel is

still used to ignite the gas). During World War II in Britain, plants were built in

the form of trailers for towing behind commercial vehicles, especially buses, to

supply gas as a replacement for petrol (gasoline) fuel. A range of about 80

miles for every charge of anthracite was achieved.

3.5.11 CEMENT GRINDING UNIT

Portland Pozzolana Cement:

The Portland Pozzolana Cement is a kind of Blended Cement which is

produced by either inter-grinding of OPC clinker along with gypsum and

pozzolanic materials in certain proportions or grinding the OPC clinker, gypsum

and Pozzolanic materials separately and thoroughly blending them in certain

proportions.

Pozzolana is a natural or artificial material containing silica in a reactive form. It

may be further discussed as siliceous or siliceous and aluminous material

which in itself possesses little, or no cementitious properties but will, in finely

divided form and in the presence of moisture, chemically react with calcium

hydroxide at ordinary temperature to form compounds possessing cementitious

properties.

It is essential that pozzolana be in a finely divided state as it is only then that

silica can combine with calcium hydroxide (liberated by the hydrating Portland

cement) in the presence of water to form stable calcium silicates which have

cementitious properties. The pozzolanic materials commonly used are:

▪ Volcanic Ash

▪ Calcined Clay

▪ Fly Ash

▪ Silica Fumes

The Indian standards for Portland Pozzolana Cement have been issued in two

parts based on the type of pozzolanic materials to be used in manufacturing of

Portland Pozzolana Cement as given below:

▪ IS 1489 (Part 1) 1991, Portland Pozzolana Cement – specification (fly ash

based)

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▪ IS 1489 (Part 2) 1991, Portland Pozzolana Cement – specification

(Calcined clay based).

Fly ash is a waste product of Thermal power Plant which creates disposal

problems at Thermal power plant site. The yearly production of flyash in India is

about 70 million tonnes per annum. This would increase in future depending

upon the new coal based thermal power plants to be installed in the country.

The present utilisation of fly ash in production of blended cement in India is

meagre.

The fly ash particles are spherical and are generally of higher fineness than

cement so that the silica is readily available for reaction. As per IS 3812: 1981

the percentage of silica and alumina should be minimum 70% and maximum

loss on ignition 12%. Much superior quality fly ash is available from Indian

thermal power plants than specified in IS code.

The Portland Pozzolana Cement makes concrete more impermeable and

denser as compared to Ordinary Portland Cement. The long-term strength (90

days and above) of Pozzolana cement is better compared to OPC. The

pozzolanic material reacts with calcium hydroxide liberated by the hydrating

Portland Cement and forms cementitious compounds generally known as C-S-

H gel. The reaction can be given as under:

C3S + 6H ---------> C3S2H3 + 3 Ca(OH)2

2C2S + 4 H ------> C3S2H3 + Ca (OH)2

Ca(OH)2 + (SiO2 + Al2O3) ------> C3S2H3 + Other components

The flyash converts Ca(OH)2 in to useful cementitious compound (C3S2H3)

thereby increasing the properties of hardened concrete.

The Portland Pozzolana Cement produces less heat of hydration and offers

greater resistance to the attack of aggressive waters than normal Portland

Cement. Moreover it reduces the leaching of calcium hydroxide liberated during

the setting and hydration of cement.

The Portland Pozzolana Cement is ideally suited for construction such as

Hydraulic structures, Mass concreting works, Marine structures, Masonry

mortars and plastering Under aggressive conditions and in all other application

where OPC is used.

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Storage & Packing:

The ground cement is conveyed to cement silos for storage of different types of

cement from where it is extracted and packed in HDPE or PP bags by

electronic rotary packing machines and dispatched to consumers by road.

Mechanized loading system for loading of packed bags on trucks is envisaged.

Quality Control:

In addition to the equipment for standard tests for cements, such as the

determination of setting times, strengths, water requirement, etc. the following

equipment will be available for the control of the production of PPC.

X-ray fluorescence device For determining the chemical composition

Vibratory Disc Mill For production of tablet

Tablet-press For production of tablet

Laser granulometer

(online and offline)

For determining the particle characteristics

Blaine device For determining the specific surface

Ordinary Portland Cement:

The manufacturing process of Ordinary Portland cement is made primarily from

calcareous and argillaceous materials, such as limestone or chalk, and from

aluminium oxide, silica oxide, ferric oxide and magnesium oxide found as clay

or shale. Raw materials for the manufacture of Portland cement are found in

nearly all countries and cement plants operate all over the world.

The raw materials are first crushed to size less than 50 mm. The raw materials

are ground together in a raw mill. Accurately controlled proportions of each

material are delivered onto the belt by weigh feeders. The raw mix is formulated

to correct chemical composition.

Calcium and silicon combine together to form the strength producing

compounds such as tricalcium silicate and dicalcium silicate. Aluminium and

iron combine to form flux which acts as a solvent for silicate forming reaction.

The raw mix prepared must be frequently analyzed by X-ray fluorescence

analysis. This analysis is used to make adjustments to raw materials feed rate.

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The raw mixture prepared is heated in large rotary kiln up to about 1400-1450

°C. A series of chemical reaction occurs as the temperature rises. The peak

temperature is maintained so that the material does not contain sinter products.

Sintering is the process of melting the mass of the material. Too low sintering

results in insufficient sintering and incomplete chemical reaction and too high

temperature results in formation of molten mass, destruction of kiln lining and

wastage of fuel.

The resulting material formed in the kiln is the clinker having diameter of 10-20

mm in shape of balls. The clinker is allowed to cool and transported to ball and

tube mill where it is ground to a fine powder. During grinding 5% of gypsum is

added to prevent quick setting of cement.

3.6 Raw material required along with estimated quantity, like source,

marketing area of final products, mode of transportation of raw material

and finished products.

The major raw material, which will be handled, consists of Iron Ore, Coal,

dolomite, Limestone, Manganese Ore, Quartzite etc. The annual requirement of

major raw materials, which will be required for the proposed project is

presented in the material balance diagram as presented below. Raw materials

will be received at plant site by rail/road. All the trucks for raw material and

finished product transportation shall comply with the applicable environmental

norms.

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MATERIAL BALANCE DIAGRAM OF STEEL PLANT

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MATERIAL BALANCE DIAGRAM OF CAPTIVE POWER PLANT Marketing area of final products: Following are key customers of Shyam Group.

Domestic Customers Overseas Customers

✓ Jindal Stainless Limited

✓ Larsen & Toubro

✓ BHEL

✓ Adani

✓ JSW Steel Limited

✓ Tata Steel

✓ Steel Authority of India Ltd

✓ Posco (Korea)

✓ Posco (Indonesia)

✓ Mitsui & Co (Japan)

✓ Lux Alloy (Luxembourg)

✓ Tsingshan Group (China)

✓ Toyota Toshoe (Japan)

✓ Jagdamba Steel (Nepal)

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Domestic Customers Overseas Customers

✓ H.K. Enterprises

✓ Singhal Enterprises Pvt. Ltd.

✓ Bhagyalaxmi Rolling Mill Pvt . Ltd.

✓ Shakti Traders

✓ Gajkeshri Steels

✓ Sudha Steels

✓ K.L.Steels

✓ The Dhamra Port Company Limited

✓ Jagdamba Enterprises (Nepal)

✓ Goenka Group (Nepal)

✓ Laxmi Steels (Nepal)

✓ Panchkanya Steels (Nepal)

Mode of transportation of raw materials and finished products:

The Company has its own railway siding, which is being used for transportation

of Raw materials and finished goods.

The plant is also closely connected with highway. The unit is located about 8

kms from Grand Trunk Road which provides easy and good transport

connectivity.

3.7 Resource optimization/ recycling and reuse envisaged in the project, if

any.

In the proposed project waste heat from Sponge iron plant & Coke oven plant

will be used in WHR Boiler to generate steam & finally power of 45 MW which

will save equivalent quantity of natural resource like coal.

3.8 Availability of water and its source, energy/ power requirement and

source.

Daily water requirement for the Total Project will be around 12,500 m3/day

(Existing Units: 5092 m3/day, Units being Implemented: 1434 m3/day &

Proposed Units: 5867 m3/day) including Domestic Demand 107 m3/day, which

will be sourced from Ajay river / ADDA Supply.

The water Balance Diagram for the entire project is presented in Figure- 9.0.

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FIGURE – 9.0 : WATER BALANCE DIAGRAM

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4 Site Analysis

4.1 Connectivity.

The connectivity of the site to the key logistic/raw material/utility centres has

been tabulated below:

Connectivity Details

Rail The nearest railway station to the site is Ikrah Junction (1.7

Kms). Other railway stations in close proximity are Raniganj

Railway Station (15 Kms) and Asansol Railway Station (25

Kms).

The Company has its own 1.44 Kms railway siding between

Tapasi and the project of 1.44 Kms, which is being used for

transportation of Raw materials and finished goods.

Road The plant is also closely connected with highway. The unit is

located about 8 kms from Grand Trunk Road which provides

easy and good transport connectivity.

Airport The nearest airport is Kazi Nazrul Islam Airport, Durgapur

(26 Kms), Panagarh Airport (45 Kms) and Dhanbad Airport

(87 Kms).

Town/ Cities The nearest Town/ Cities to the site are:

Jamuria – 6 Kms

Raniganj – 13 Kms

Ballavpur – 15 Kms

Ratibati – 19 Kms

4.2 Land form, Land use and Land ownership.

All the units shall be accommodated within 262.64 Hectares (649 acres) of land

in the existing plant boundary. The required land is already in possession by

the Company.

As per existing land used pattern, land is generally flat and no major earth filling

is required for the proposed project.

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4.3 Topology (along with map)

The soil of the western part of Burdwan district is of rich alluvial variety and is

suitable for intensive cultivation of paddy, wheat, potatoes and other crops and

vegetables. The soil of the western part of the district is reddish and is not that

fertile. The district of Burdwan is extremely fortunate in being girdled by three

major rivers – the Hooghly on the east, the Ajay on the north and the Damodar

on the south. Apart from these three, there are myriads of minor rivers and

streams which criss-cross the district.

The aggregate forest area of the district is 21165 hectares and the forests are

mainly spread over the western part of the district. The forests mainly comprise

Sal and Kendu trees. The main forest products are timber and fuel. The forest

areas of the district are chiefly situated in the lateritic and red soil high lands.

4.4 Existing land use pattern (agriculture, non-agriculture, forest, water

bodies (including area under CRZ), shortest distance from the periphery

of the project to periphery of the forests, national park, wild life

sanctuary, eco sensitive areas, water bodies (distance from HFL of the

river), CRZ. In case of notified industrial area, a copy of the Gazette

notification should be given.

All the units shall be accommodated within 262.64 Hectares (649 acres) of land

in the existing plant boundary.

There is no national park, wildlife sanctuary/reserve forest exist within 10 km

radius of plant.

4.5 Existing Infrastructure

The proposed units would be placed within 262.64 Hectares (649 acres) of land

in the existing plant boundary. Most of the facilities are available for setting up

of the proposed steel plant such as Electricity, Water, Transportation of raw

materials and finished goods etc. skilled and unskilled workers are also easily

available within the industrial area.

The project site already has proper road linkage for transport of materials and

equipment. Raniganj Railway Station is about 10.0 km from the project site.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

The NH-2 road is passing about 6.0 km away in the South direction and the

nearest distance of NH-60 in the SE direction is about 2.6 km with respect to

the project site. The nearest Airport is Netaji Subhas Chandra Bose

International (NSCBI) Airport, Kolkata, which is about 178 km from the project

site. Kolkata city is located at a distance of about 178 km from the project site.

Distance from Howrah Railway station to the project site is about 1S75 km.

Kolkata Port is around 175 km away and Haldia Port is 209 km away from the

Project Site.

4.6 Soil classification

The soils of the area have been derived from ferruginous material and shales.

The area is a fairly broad band running from east to west, from the Ajoy river,

near Churuliathrough Raniganj coalfield, upto · Barakar, a tributary of river

Damodar. The area belongs to coal bearing Damodar series of Lower

Gondwana sediments of middle Precambrian. The soils of the crest are well

developed, with argillic horizon. But because of convex topography and

susceptibility to erosion, the soils have moderate depth. These are well drained

soils Taxonomically, these soils belong to soil family of fine, mixed,

hyperthermic Typic Haplustalfs. All these soils have subangular blocky

structure at the surface and angular blocky in the subsurface horizons.

Weathered parent material mixed with soil and iron concretions has been

observed at a depth of 74 cm. The area is occasionally cultivated. They are

mostly cultivated for crops like paddy and wheat. This soils are of Madhudanga

and Jamuria series. The western portion made up of hard rocks has a higher

elevation than the eastern portion which is covered by an alluvial blanket

Geologically too, the Gondwana strata has ageneral southern dip varying from

5° to 25n. Archean rocks have been exposed to form isolated hillock and

pediment in the extreme north west. They have a loamy and sandy loamy

cover. From the north western extreme the land slopes south eastwards first

with a moderate slope and then a gentle slope. The soil cover here varies from

clay loam to clay. Further east, and in the central portion of the study area is

the toe slope which has a soil cover varying between sandy clay loam to clay.

The alluvial blanket in the extreme east is made of soil varying between sandy

clay loam to clay loam. Soils in the area are mostly sandy loam with clay in

texture and hence contain large percentage of silt and sand and hence possess

medium water holding capacity. The soil in the immediate vicinity of the project

is loamy silt. Only in areas close to rivers, soils are sandy silt. Alluvial soils are

often very fertile.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

4.7 Climate data from secondary sources

The meteorological data described from the IMD Station located at Durgapur,

which is around 12 km. from the Project Site and deemed to be representative

of the study area. The station is observed to be well manned and equipped.

Temperature

At Durgapur, the overall mean dry bulb temperature for the past 13 years’

period (1971 – 1985) was recorded 26.3oC in day time and 28.1oC in night time

while the overall mean wet bulb temperature for the past 30 years’ period (1971

– 2000) was recorded 22.5oC in day time and 23.2oC in night time.

Relative Humidity

Humidity was fairly high through the major part of the year at Durgapur. In day

time the overall mean relatively humidity was 70% while in night time it was

66%. The mean relative humidity of Monsoon and Post monsoon seasons was

ranging between 68% - 84% in day time and 64% - 81% in night tine. The mean

relative humidity of summer and winter seasons was ranging between 53% -

67% in day time and 45% - 62% in night time. From these 13 years’ IMD data it

was found that the relative humidity was fairly very high in Monsoon season

(June, July, August, and September).

Rainfall and Rainy Days

The total annual mean rainfall received is about 1910.2 mm at Durgapur.

Rainfall was peaked during the month of July (mean monthly rainfall in July was

600.4 mm). The lowest rainfall was occurred during the month of January

(mean monthly rainfall in January was 7.7 mm). Total annual mean number of

rainy days was about 68.1 in Durgapur.

Cloud Cover

The mean monthly data revealed that the cloud cover in day time ranged

between 1.1 Oktas (at month of January) to 5.5 Oktas (at month of August) and

in time time it ranged between 1.0 Oktas (at month of January) to 5.5 Oktas (at

month of July and August). The overall annual mean cloud cover was found 2.7

Oktas in both day and night time.

Wind Speed and Direction

The annual mean wind speed is around 7.8 km/hr at Durgapur with the mean

monthly wind speed was ranged between 5.1 km/hr (during November) and

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SHYAM SEL &

POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 65

Pre-feasibility Report

10.1 km/hr (during May) at Durgapur. The predominant wind direction was

observed South-West, followed by North and South.

4.8 Social Infrastructure available.

All infrastructure facilities such as Education, Health facilities and other

Social facilities are adequate at Burdwan, Jamuria, Raniganj town which is

around 10 KM from the proposed project site. Entire area is enjoying the

modern facilities.

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POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

5 Planning Brief

5.1 Planning concept (type of industry, facilities, transportation etc), town

and country planning/ development authority classification.

During planning phase of the proposed project the following steps will be

carried out:

▪ Feasibility studies

▪ Technical appraisal and due diligence

▪ Project development planning, permitting and consenting

▪ Environmental audits and impact assessments

▪ Financial and thermal modelling, business planning

▪ Tariff studies, power purchase agreement

▪ Conceptual and pre-engineering design

▪ Implementation planning and cost estimating

▪ Special studies and risk assessment

The rail and road will be developed/ strengthened around the plant for

transportation of raw materials. This will also enhance the transportation

facilities of the area.

As the project is envisaged to employ direct & indirect employment during

construction and operation phase so the basic infrastructure facilities like

medical facilities, schools, playground, drinking facilities, bank, post offices etc.

will be developed and the same can also be used by nearby villages.

5.2 Population projection

The Burdwan district is dominated by rural population. Total workforce in

Burdwan is about 31.43% of total population. Looking at the occupational

pattern, it is observed that about of the main workers are associated with

agriculture and allied activities. The distribution of main workers in other

activities, viz. workers in household industries, construction, trade & commerce,

transport, communication & storage, mining & quarrying and other services are

observed to maintain low proportion although these activities varied widely

within in the district. Population density of this district as per the census data

2011 is 1376.53 per sq. km. High growth of population in urban population

growth areas is mainly attributed to the migration of people from rural to the

urban area in search of employment and other sources of income.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

5.3 Land use planning (breakup along with green belt etc).

All the units shall be accommodated within 262.64 Hectares (649 acres) of land

in the existing plant boundary. For unit wise land requirement please refer plant

layout map.

5.4 Assessment of Infrastructure Demand (Physical & Social)

Adequate physical and social facilities are available in this area as the

proposed plants will be implemented in the existing plant premises.

5.5 Amenities/ Facilities

SSPL will take the initiative to develop the roads of the villages to provide better

connectivity to the nearest National highways. Apart from this the following

amenities will be developed:

▪ Street Light and Avenue Trees

▪ Well Maintained park with Children’s Play area

▪ Educational Institutions

▪ Primary Health Centres / Hospital

▪ Healthy camps and free medical check-up should be encouraged for

local population.

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POWER LTD.

Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

Jamuria, P.O. Bahadurpur, District Burdwan, West Bengal PAGE - 68

Pre-feasibility Report

6 Proposed Infrastructure

6.1 Industrial Area

All the proposed units shall be accommodated within 263.05 Hectares (650

acres) of land in the existing plant boundary.

All facilities of the plant area will be laid out in close proximity to each other to

the extent practicable so as to minimize the extent of land required. The layout

is also facilitating the movement of men and materials between the various

units both during construction and subsequent operation and maintenance to

entire project.

The general layout plan of the plant is attached in Annexure – I.

6.2 Residential Area (Non Processing Area)

Residential colony will not be required because most of the workers will be

local who will have their residence in nearby areas. The Company has existing

guest house where qualified experts/people outsourced will get the

accommodation.

6.3 Green Belt

Extensive afforestation at plant will be undertaken which would not only act as

long space in the area but would also improve aesthetics. Local, fast growing

species will be used for Green Belt Development keeping in view the guidelines

and directions of MOEF&CC, Govt. of India and W.B.P.C.B as well C.P.C.B.

Approximately, 216 acres of land will be used for greenbelt development in the

project site.

6.4 Social Infrastructure

Shyam Group understands the role of CSR activity transforming the society at

large. As part of its initiatives under CSR, Shyam Group has continued with its

welfare activities for development in the fields of education, health, culture and

other welfare measures and to improve the general standard of living. It has

taken initiative by way of improvements to local physical infrastructure viz.

roads, water, medical facilities etc. A technical institute is under development in

the vicinity of the plant to impart training and technical knowhow to the local

population.

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Pre-feasibility Report

Full time Doctors have been appointed by the Shyam Group to undertake the

regular health checkups and to provide medical support / medicine in the

remotest villages of nearby Districts. Charitable Ambulance facility is provided

and owned by the organization, which has been utilized dedicatedly to the

people residing in the nearby villages of plant site.

Keeping in mind the infrastructure needs of the area SSPL’s key focus is on the

following areas

▪ Improving medical facilities in the village around the project area

▪ Improving awareness and providing sufficient training in hygiene ,

sanitation and proper diet

▪ Encouraging people to send children to school and also educate

themselves through adult literacy programs

▪ Improving education infrastructure by providing better teaching aid.

▪ Building skills among villagers as per skills requirements of the project

during constructing as well as during the operation time

▪ Encourage entrepreneurial spirit among people and supporting such

initiative by conducting training programmes to acquire and enhance skill

▪ Creating awareness about long term financial planning

6.5 Connectivity (Traffic and transportation road/ Rail/ Metro/ Water ways etc)

The connectivity of the site to the key logistic/raw material/utility centres has

been tabulated below:

Connectivity Details

Rail The nearest railway station to the site is Ikrah Junction (1.7

Kms). Other railway stations in close proximity are Raniganj

Railway Station (15 Kms) and Asansol Railway Station (25

Kms).

The Company has its own 1.44 Kms railway siding between

Tapasi and the project of 1.44 Kms, which is being used for

transportation of Raw materials and finished goods.

Road The plant is also closely connected with highway. The unit is

located about 8 kms from Grand Trunk Road which provides

easy and good transport connectivity.

Airport The nearest airport is Kazi Nazrul Islam Airport, Durgapur

(26 Kms), Panagarh Airport (45 Kms) and Dhanbad Airport

(87 Kms).

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Town/ Cities The nearest Town/ Cities to the site are:

Jamuria – 6 Kms

Raniganj – 13 Kms

Ballavpur – 15 Kms

Ratibati – 19 Kms

6.6 Drinking Water Management (Source & Supply of water)

In the proposed project around 107 m3/day of water is required for domestic

purpose which will be sourced from Ajay River / ADDA supply. The water shall

be filtered.

6.7 Sewerage System

Sewage from the various building in the plant will be routed through sewage

treatment plant (STP) and treated waste water will be used for green belt

development within the premises.

Sewage treatment plant (STP) based on SBR technology is proposed to be set-

up in the proposed project. A well-designed sewer network will collect

wastewater from different sections of the plant area. The sewer network will

convey the wastewater into the proposed STP.

STP Details

The proposed STP will be designed for treatment of raw sewage during

operation phase to maintain the desired quality of treated wastewater. The

expected characteristics of raw sewage are as follows:

Sr. No. Parameter Concentration

1. pH 6.5 – 8.5

2. Suspended solids 200 – 250 mg/l

3. BOD 250 – 300 mg/l

The expected characteristics of the treated sewage on adopting the scheme of

treatment are as follows:

Sr. No. Parameter Concentration

1. pH 6.5 – 8.0

2. BOD <5 mg/l

3. TSS <10 mg/l

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Proposed Expansion of Existing Integrated Steel Plant at Village Dhasna,

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Wastewater will be collected through a well-designed sewer network leading

to the proposed STP. The STP will be based on SBR Technology (Sequential

Batch Reactor) followed by tertiary treatment. Treated wastewater will be

used within the project site for greenery purpose.

SBR technology is a fill and draw activated sludge treatment technology.

The process is identical to the conventional activated sludge process. SBR is

a compact and time oriented system. The process is carried out sequentially

in the same tank.

SBR is an upgraded conversion of conventional activated sludge process and

is capable of removing nutrients from waste water besides very stable sludge

characteristics because of cyclic process.

SBR system performs operations based on time frame rather than space

since conventional activated sludge process requires more space. Housed in

a single unit the reactor can accomplish biological treatment and secondary

clarifications with a time controlled sequence thus achieving reasonably good

outlet parameters after secondary pretreatment and thus eliminating need of

multiple tanks or expensive membrane for treatment. This process achieves

high quality of treated water with low nutrients levels ready for recycling.

The chain will comprise of Fill, Aerate, Settle and Decant stages.

The core of plant is reactor with sewage feed and treated water outlet. This

reactor can be pre-engineered for different hydraulic and organic load

capacities, modular design and can be constructed in RCC/ pre-fab steel/

plastic and FRP tanks.

SBR is a unique feature of very stable sludge characteristic and enhanced

biological nutrient removal. The technology has advantages working on low

cost of maintenance, operation and initial cost still most suitable and effective

on the performances and meets all relevant standards and norms.

The Layout of the proposed STP is presented in Figure- 10.0.

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FIGURE – 10.0 : PROPOSED SEWAGE TREATMENT PLANT (STP)

6.8 Industrial Waste Water Management

The prevention and control of water pollution aim at conserving make-up

water by recycling the wastewater after treatment. The wastewater, likely to

be generated from the proposed plant is:

• Underflow from Raw Water Clariflocculator

• Backwash Waste from Filtration Plant

• Run-off water from Raw Material Storage Yards

• Cooling Tower & Boiler Blow-down

• Canteen Effluents

Sludge from Raw Water Clariflocculator and Backwash from Filtration Plant

will be led to a thickener for removing suspended solids. The overflow from

the thickener will be reused in the plant water system. The Sludge from the

thickener will be dried and dumped.

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Cooling Tower & Boiler Blow-down from various recirculation systems will be

cascaded for reuse in Ash Handling, gardening and dust suppression.

Efforts will be made to harvest rainwater in the plant. Run-off water from the

office areas, shop roofs will be collected and stored for future use.

The plant will be designed as a zero discharge plant as far as the process

effluents are concerned. The water will be recirculated through cooling and

treatment. No plant effluent will be discharged outside the plant premises. The

entire waste water will be recycled for various purposes inside the plant.

Domestic effluent from the various buildings / sheds of the plant will be

conveyed through separate drains to STP. The treated waste water from STP

will be used in Greenery purpose.

The lists of water pollution control systems envisaged are summarized below,

List of Water Pollution Control Systems

Source Pollutants Control System

Raw material handling

yard

Surface runoff

containing free

minerals too as

suspended Solids

Catch Pits (to recover

the minerals from

sedimentation and

reuse.)

Raw Water Treatment

Plant

Suspended Solids

along with Biomass

Clarifier, Thickener,

Sludge Pond.

Cooling Tower &

Boiler Blow down

Temperature,

Dissolved Solids,

Free Cl and TSS

Reused in the plant area.

Canteens, Toilets BOD, O & G,

TSS/TDS.

Septic Tank-Soak Pit

system

6.9 Solid Waste Management

➢ Blast Furnace Slag will be used in the proposed Cement Plant.

➢ The hot slag generated from Induction Furnaces and Electrical Arc

Furnaces will be transferred to slag yard after cooling and scrap

recovery. It will be used for road making / land filling purposes.

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➢ Dolochar from proposed DRI Kilns will be used in existing CFBC Boilers.

➢ Dust as collected from APC devices from Pellet Plant, Sinter Plant,

Cement Grinding Unit will be used in the respective unit.

➢ Tar from Producer gas plant will be sold to the buyers and have good

demand for construction of roads.

➢ Solid wastes from CCM (viz, scales) and rolling mill (end cuts and miss

rolls) will be used in Induction Furnaces.

6.10 Power requirement & supply/ source

Total power requirement of the entire project will be around 232 MW after total

expansion (Existing Units: 53.5 MW; Units being Implemented: 62.5 MW &

Proposed Units: 116 MW), which will be sourced from Captive Power Plant &

State Grid. Unit wise power demand is presented in Figure – 11.0.

FIGURE – 11.0 : UNITWISE POWER DEMAND

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7 Rehabiliation and Resettlement Plan

7.1 Policy to be adopted (Central/ State) in respect of the project affected

persons including home oustees, land oustees and landless laborers.

All the above units shall be accommodated within 262.64 Hectares (649 acres)

of land in the existing plant boundary, which is already in possession by Shyam

Group in the name of M/s Shyam Sel & Power Ltd.

There is no residential habitat, so Rehabilitation and Resettlements (R&R) plant

is not required.

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8 Project Schedule & Cost Estimates

8.1 Likely date of start of construction and likely date of completion.

The installation of several production units along with utilities and services will

involve award of all contracts, procurement of plant and equipment,

construction & erection and supervision of all activities at plant site.

The factors which are responsible for timely implementation of the project are:

• Arrangement of proper finance for the project.

• Finalization of layout of the proposed plant.

• Design of utilities and services.

• Placement of orders for plant and machinery.

• Arrangements for Govt. sanctions and supply of power.

• Recruitment of personnel.

As per an initial estimate around 60 months will be needed for implementation

of the Expansion Phase of the project.

8.2 Estimated project cost along with analysis in terms of economic viability

of the project.

The Capital costs have been worked out on the basis of prices prevailing today

and do not include any provision for future escalation in costs during

implementation period. The various assumptions are made while estimating the

capital cost estimation. The cost estimate is based on the data available from

similar type of steel projects. The Estimated cost break up is given below:

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Sl.

Cost of the Project

Captive Power Plant

Pellet Plant

DRI Plant SMS

Rolling Mill

Blast Furnace Sinter

Coke Oven Plant

Ductile Iron

Cement Plant

Producer Gas

Plant Grand Total (in

Crores) Capacity 45 MW 1.2

MTPA 4x350 TPD 1x450m3

0.85 MTPA

0.3 MTPA

0.1 MTPA

1.2 MTPA

1 Land 6.75 7.2 15.75 9.9 6.75 6.75 3.15 6.75 11.7 14.4 1.8 90.90

2 Cost of Civil Construction 16.53 48.34 60.93 33.52 20.93 64.74 38.18 9.18 38.15 49.04 4.25 383.80

3 Plant and Machinery 135.44 123.40 51.55 102.69 40.58 102.39 68.91 96.73 33.55 80.46 13.75 849.44

4 Miscellaneous Fixed Assets 8.58 26.04 1.45 17.45 17.25 10.37 8.60 8.20 3.35 8.75 2.50 112.55

Total Hard Cost (A) 160.55 197.78 113.93 153.65 78.76 177.50 115.69 114.12 75.05 138.25 20.50 1345.79

5

Preliminary & Preoperative expenses 6.42 7.91 4.56 6.15 3.15 7.10 4.63 4.56 3.00 5.53 0.82 53.83

6

Contingencies (5% of hard cost) 8.03 9.89 5.70 7.68 3.94 8.88 5.78 5.71 3.75 6.91 1.03 67.29

7

Margin Money for Working Capital 94.21

Total Soft Cost (B) 14.45 17.80 10.25 13.83 7.09 15.98 10.41 10.27 6.75 12.44 1.85 215.33

Grand Total Cost (A)+(B) 174.99 215.58 124.18 167.48 85.85 193.48 126.11 124.39 81.80 150.69 22.35 1652.01

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9 Analysis of Proposal

9.1 Financial and social benefits with special emphasis on the benefit to the

local people including tribal population, if any, in the area.

Proximity of the project location is an advantage with respect to sustainable

growth of the Group. The financial viability also shows a good Internal rate of

return from the project. Considering the above, company is planning to go-

ahead with the project, once it gets all the statutory approvals.

The following will be the benefits to local people:

▪ Employment: Preference will be given for locals for employment based on

qualification & requirement.

▪ Medical facilities: Medical facilities will be provided for employees as well

as people of nearby villages.

▪ Educational facilities: Basic educational and vocational facilities will be

provided for the children of employees as well as nearby villagers.

▪ Infrastructure facilities: Approach roads will be developed at par with plant

roads

▪ Additional Facilities: The establishment of project will facilitate additional

auxiliary facilities like banking, post office & recreation facilities etc.

▪ Overall quality of life: The overall quality of life of the people will improve

due to better means of transportation and communication. As a result,

mobility will increase, which will substantially increase job opportunities. The

social exposure of the villagers will be enhanced and will be able to related

better to the outside world.