Project Proponent: M/s. Shree Om Rolling Mills Pvt....

Project Proponent:

M/s. Shree Om Rolling Mills Pvt. Ltd

(A Unit of SRJ Peety Steel Pvt. Ltd.)

Gut No. Gut No. 53, 56 and 57, Village-Daregaon, Adjacent to MIDC Phase II,

Taluka-Jalna,

District – Jalna, Maharashtra.

Environment Consultant:

Sri Sai Manasa Nature Tech Pvt. Ltd., Certificate no.: NABET/EIA/1720/RA0111 valid till 05.08.2020

Plot No. 74/A, Flat No 102, Central Bank Building

Kalyan Nagar, Hyderabad 500038

E-mail: [email protected] , web: www.ssmntech.com

Contact no. 040-2316333, Fax No.: 040-23816222

June, 2019

PRE FEASIBILITY REPORT for

Proposed Production of MS Billets /Alloys Billets -5,50,000 TPA, TMT

Bars/MS Structural Steel/Gutter/Angles/Channels/Pipes- 5,50,000

TPA and Ferro Manganese 12,800 TPA /Silico Manganese 9,500 TPA at

Gut No. 56 & 57, Village-Daregaon, Adjacent to MIDC Phase II, Taluka - Jalna,

District – Jalna, Maharashtra.

http://www.ssmntech.com/

M/s Shree Om Rolling Mills Pvt. Ltd. (Unit-2) Pre-Feasibility Report

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1.0 Introduction India is the third-largest crude steel producer in the world. In FY18, India produced 104.98

million tonnes (MT) of finished steel. Crude Steel production during 2017-18 stood at 102.34

MT Steel consumption is expected to grow 5.7 per cent year-on-year to 92.1 MT in 2018. India’s

steel production is expected to increase from 102.34 MT in FY18 to 128.6 MT by 2021. The

Government of India has allowed 100 per cent foreign direct investment (FDI) in the steel

sector under the automatic route. Nearly 301 MoUs have been signed with various states for

planned capacity of about 486.7 MT.

India’s per capita consumption of steel grew at a CAGR of 4.75 per cent from 45 kgs in FY09 to

65.25 kgs in FY17. The figure stood at 68 kgs during April-February 2017-18. National Steel

Policy 2017 seeks to increase per capita steel consumption to the level of 160 kgs.

M/s. Shree Om Rolling Mills Pvt. Ltd. is proposing steel plant at Gat no. 56 and 57 Village

Daregaon, Adjacent to MIDC Phase II, Taluka-Jalna, District – Jalna, Maharashtra. The company

already acquired 11.97 ha of land and proposed Project.

The salient features of the project are given Table 1.

Table 1-Salient Features of the Project

Project Name M/s. Shree Om Rolling Mills Pvt. Ltd,

Total Area 11.97 ha

Location of Project Gat no. 56 and 57 , village Daregaon, Adjacent to MIDC

Phase II, Taluka-Jalna, District – Jalna, Maharashtra

Production Capacity

Proposed Production Capacity

MS Billets/Alloys Billets – 5,50,000 TPA

TMT Bars/MS Structural

Steel/Gutter/Angles/Channels/Pipes – 5,50,000 TPA

Ferro alloys unit with 1 x 5 MVA Submerged Electric Arc

Furnace – Ferro Manganese – 12,800 TPA or

Silico Manganese – 9,500 TPA

Raw Material

Billets

Sponge Iron (40%) Scrap (57%) and Other Minerals (3%)


Steel/Gutter/Angles/Channels/Pipes

Billets

Ferro Alloys

Manganese Ore, Dolomite and Quartz

Water Demand Total Water Quantity– 250 KLD

Sources of Water Own water reservoir

Man Power Proposed- 600 Nos.

Electricity Consumption Total – 25 MW

Source: Maharashtra State Electricity Distribution.


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Nearest railway station Jalna Railway Station –9.0Km, ESE

Nearest airport Aurangabad – 48 Km, SW

Proposed Project Cost Total – INR 200.0 Crores

2.0 INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION

2.1 Identification of Project and Project Proponent

The SRJ Peety group foray into steel manufacturing began in 1971 in Jalna and M/s. Shree Om

Rolling Mills Pvt. Ltd. was established in 1994. Shree Om started its unit with mere 3 MT

capacity, Shree Om is the first company to start billet manufacturing unit in Jalna. The only

manufacturing unit with in-house production capacity, have adopted various technology with

great success. The only company innovated the Ready to use concept of cut n bent in

Maharashtra. Also supplies billets to various other plant in Maharashtra, Over the years have

introduced various concept in the revolution of steel industry with the latest of Shree Om

Torkari which is the best replacement of 6mm.

Company started it’s manufacturing with Tor steel Technology

As the industry upgrade company also practices with newest technology like Thermax,

Quenching & self tempering technology, Latest introduction is the Con–COST Technology and

Hot Roll Process For the better quality product. Company is going through various tests like

Spectrometer etc.

2.2 Brief Information about the Project

The company is proposing to install induction furnace and rolling mill along with adding new 5

MVA Electric Arc Furnace at Gat no. 56 and 57 village Daregaon,, Adjacent to MIDC Phase II,

Taluka-Jalna, District – Jalna, Maharashtra.

2.3 Need for the Project and Its Importance to the Country or Region

The demands of steel are increasing day by day in India due to rapid Industrialization, Booming

in construction sector and other infrastructure project. Considering the said scenario, M/s.

Shree Om Rolling Mills Pvt. Ltd. is proposing to install steel plant.

2.4 Employment Generation

This plant will keep the skilled manpower hence the local village people are exposed to the

skilled jobs and get feeding to their livelihood. The estimated manpower requirement for

expansion is 600 nos. Employment will be provided for the surrounding village’s on the basis of

skill and education. The status of socio economic will improve in these rural areas.


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3.0 PROJECT DESCRIPTION

3.1 Type of Project Including Interlinked and Interdependent Projects, If Any.

No interlinked projects were associated with this project.

3.2 Location

M/s. Shree Om Rolling Mills Pvt. Ltd, will be located at Gat no. 56 and 57 Daregaon, Adjacent to

MIDC Phase II, Taluka-Jalna, District – Jalna, Maharashtra. The industry is situated at around 46

km from Aurangabad city.

Location of the Project is shown in Figure – 1 and study area map is given in Figure -2.


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FIGURE – 1: LOCATION MAP

Project Site


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FIGURE – 2: 10-KM TOPOGRAPHICAL MAP


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3.3 Details of Alternate Sites

No alternate site was considered. As this site is meet the site selection criteria:

Site is very close the Jalna Industrial area,

No forest land involved in the site,

Site is more than 500 meters from the National/State highway,

Site is more than 500 meters from the human settlement,

No eco sensitive zone with in 10 kms radius of project area,

Site is away from the flood zone, and

Adequate infrastructure is available for transportation of Raw Material and Finished good.

3.4 Size or Magnitude of Operation

Production Capacity

IMS Billets/Alloys Billets 5,50,000 TPA


Steel/Gutter/Angles/Channels/Pipes

5,50,000 TPA

Ferro Alloys

Ferro Manganese – 12,800 TPA or

Silica Manganese – 9,500 TPA

3.5 Project Description with Process Details

3.5.1 Induction furnace

The induction arc furnace operates as a batch melting process producing batches of molten

steel known “heats”. The furnace operating cycle is called the tap-to-tap cycle and is made up

of the following operations:

• Furnace charging

• Melting

• Refining

• De-slagging

• Tapping

• Furnace turn-around

Furnace Details

3 x 40 TPH Induction Furnaces will be installed.


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The process flow diagram is given below:

3.5.2 TMT Bars/MS Structural Steel/Gutter/Angles/Channels/Pipes

Hot Billet received from Steel Melt Shop are inspected and cut to length as per the size of TMT

to be rolled. These hot billets are directly sent to rolling mill via hot charging convey or without

any preheating.

The hot Billets are passed through roughing stands and then go to Continuous Stands. These

stands are with A.C. motor for Variable speeds. After that the bar passes through TMT Box

where it goes under Thermo Mechanical Treatment to improve upon Corrosion Resistance and

Mechanical properties like Yields tress, Elongation, Bending, Tensile strength, etc.

After passing through TMT box, the bar is cut into lengths to accommodate on cooling bed.

After the bar is cooled it is cut into fix lengths as per requirement of market through Shearing

Machine. At an interval of 1 hour a sample is drawn for checking weight per meter and

mechanical properties.

3.5.2 Ferro Alloys

Ferro-alloys are produced by reducing metals from their oxides contained in ores by using a

suitable reduction under conditions created to ensure a high recovery of the valuable elements

from the starting materials. Such reduction reactions are characterized by stability of an oxide

at high temperatures. The stability of all oxides will become more stable with increasing

temperature. An element which forms a stronger oxide can under appropriate conditions be

used as reductant for a less strong oxide. The reaction will proceed successfully if the difference

Procurement of Raw Materials

Melting of Raw material in induction Furnace

Casting of M S Billet in continue Casting Machine


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of oxygen involved with a small difference, favorable conditions should be formed to make the

reaction proceed.

The presence of iron or iron oxides can facilitate some reduction processes. Iron dissolves the

reduced element, forms a compound with it, and thus lowers the melting point of an iron

element alloy is lower than that of the pure element, e.g. in Ferro-manganese production, and

therefore the reaction of reduction of the element can proceed at a lower temperature.

Figure: 2.3 Process Flow Chart of Ferro Alloy Project

3.6 Raw Material Required Along With Estimated Quantity, Likely Source, Marketing Area of Final

Product/S, Mode of Transport of Raw Material and Finished Product

The raw materials required for the production induction furnace and TMT Bar is given below:

Billets Raw Material

Sr. No. Particular Quantity (TPA) Source Mode of

Transportation

1 Scrap 323400 Sister Industry/Open

Market By road

2 Sponge Iron 236775 Open Market By road

3 Other

Minerals

17325 Open Market By road

Total 5,77,500


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TMT Bars/MS Structural Steel/Gutter/Angles/Channels/Pipes Raw Materials

Sr. No. Particular Quantity (TPA) Source

1 Billets 5,50,000 In-house

Ferro Alloys Raw Material

Ferro Manganese

S. No. Raw Materials Quantity (MT)

1 Manganese Ore (with Average Mn 44%)

2.1 – 2.4

2 Coke (with average Fixed Carbon 80%)

0.30

3 Coal (with average Fixed Carbon 60%)

0.3

4 Dolomite

0.2

Silico Manganese

S. No. Raw Materials Quantity (MT)

1 Manganese Ore (with Average Mn 44%)

2.5 – 2.8

2 Coke (with average Fixed Carbon 80%)

0.40

3 Coal (with average Fixed Carbon 60%)

0.40

4 Dolomite

0.2

Material Balance for Billets

Input TPA Out Put TPA

Sponge Iron 323400 Billets 550000

Scrap 236775 Slag 17,325

Additives 17325 Burning Losses 10,175

Total 5,77,500 5,77,500

Rolling Mill

Input TPA Out Put TPA

Billets 550000 TMT bar 550000

Total 550000 550000

3.7 Resource Optimization/ Recycling and Reuse

Water will use for cooling system, Scrubbers, Domestic and greenbelt purposes. Cooling water

will be recirculating in system. Slag will be sold to bricks and construction industry.


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3.8 Availability of Water Its Source, Energy/ Power Requirement and Source

3.8.1 Water Requirement

The manufacturing process does not require water in process. The water requirement in the

Project will be for cooling purpose, domestic consumption and green belt development. The

details of water requirement for different purposes are presented below:

Water Requirement

Item Total Water Requirement

(KLD)

Cooling Purpose 205

Domestic Purpose 30

Dust Suppression 15

Total 250

3.9 Quantity of Wastes to be Generated (Liquid And Solid) And Scheme For Their

Management/ Disposal

3.9.1 Solid Waste Generation& its Disposal

Slag will be sold to construction industry and mill waste will be sold to cement industry. The

details of solid waste are given in below table:

Particular Quantity (TPA)

Slag from Induction Furnace 17,325

Slag from SEAF 8,250

3.9.2 Liquid Effluent

No liquid effluent will be generated at the plant site. The domestic wastewater (24 KLD)

generated will be treated in STP and treated water will be reuse for green belt development.

4.0 SITE ANALYSIS

4.1 Connectivity

4.1.1 Nearest Railway Station

Jalna Railway Station –5.0 Km, ESE

4.1.2 Nearest Airport

Aurangabad airport is 48 km from the plant site.

4.2 Landform, Landuse and Land Ownership

The Land use will be converted in Industrial uses.


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4.3 Topography

The topography of the region is mostly plain dry industrial land and the climatic conditions are

semi-arid. The average annual rainfall is 700 mm, and the maximum and minimum

temperatures are 45 oC & 18

oC respectively.

There are no Ecological and Sensitive areas like Religious and Historic places, Archeological

Monuments, Scenic Areas, Hill Resorts, Biosphere reserves, National Parks and Sanctuaries,

Seismic Zones and Defense installations within the circular area of 10 km radius from plant site.

5.0 PLANNING BRIEF

5.1 Planning Concept

The proposed project will be involved in installation of Induction furnace along with rolling mill

and Electric Arc Furnace.

5.2 Population projection

The man power of plants includes manager, Engineer, skilled and unskilled labors and medical

officers etc. As per the socio-economic is concerned from the plant activity nearby villagers

shall get in direct employment for about 600 persons. The proposed plant activities also shall

bring the positive change in the villages as the project shall provide direct employment to more

than 500 people indirectly.

5.3 Land use planning

The project is located in 11.97 ha land. There will not be change in land use as the land already

has converted in Industrial Area.

Sr. No. Particulars Area (m2) Area (%)

1 Plant Area 13237.71 11.1

2 Green Belt Area 39573.73 33.03

3 Parking Area 14341.85 11.9

4 Open Area 26203.17 21.8

5 Road Area 16278.83 13.7

6 Others 10160.61 8.47

Total 119795.9 100

5.4 Assessment of Infrastructure Demand (Physical & Social)

On the basis of the preliminary site visit, the infrastructure demand in the villages was assessed

on the basis of need and priority. The assessment will be made in the socio economic survey

&will be submitted at the time of final presentation regarding Environment Clearance.


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5.5 Amenities/Facilities

Rest shed, first-aid center, ambulance service, drinking water facilities, will be provided.

6.0 PROPOSED INFRASTRUCTURE

6.1 Plant Area (Processing Area)

The main plant area comprises of Induction furnace area and rolling mill area, raw material

handling area, storage area and greenbelt area etc.

6.2 Residential Area (Non Processing Area)

As the local persons will be given employment, no residential area/ housing is proposed within

the mining lease area.

6.3 Air Pollution Control

Adequate nos of bag filters with min. 30-m high stack will be installed to control the emissions.

6.4 Green Belt

More than 1/3rd

(3.95 ha) of total land availability are reserved for greenbelt development plan.

Plant species will be plated after consultation of local forest department.

Greenbelt of 33% of the area will be developed in the plant premises as per CPCB

guidelines.

The tree species to be selected for the plantation are pollutant tolerant, fast growing, and

wind firm, deep rooted. A three tier plantation is proposed comprising of an outer most

belt of taller trees which will act as barrier, middle core acting as air cleaner and the

innermost core which may be termed as absorptive layer consisting of trees which are

known to be particularly tolerant to pollutants.

6.5 Water Management

About 250 KLD will be required for steel project. This water will be supplied from own water

reservoir.

6.6 Sewerage System

The domestic wastewater generated will be sent to STP for treatment and treated water will be

used for green belt.

6.7 Industrial Waste Management

No industrial waste will be generated at the plant site. The domestic wastewater generated will

Treated in STP.


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6.8 Solid Waste management

Slag will be sold to construction industry and cement industry and mill waste will be used in

house.

7.0 REHABILITATION AND RESETTLEMENT (R&R) PLAN

There will be no displacement of houses. Hence rehabilitation and resettlement is not

envisaged.

8.0 PROJECT COST ESTIMATES

The total cost for proposed project will be around Rs. 200.0 Crores.

8.1 Environment Management

To mitigate the negative impact of the project adequate mitigation measures will be taken.

About INR 19.5 crores will be the EMP cost

9.0 ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

9.1 Financial and Social Benefits with Special Emphasis on the Benefit to the Local People

Including Tribal Population, If Any, In the Area.

The proposed plant will provide employment to about 600 people and helping them earn

livelihood. The infrastructure facilities also will be improved in the surrounding area.

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Annexure 1 : Site Photographs

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