Pellet Making Journey at ESSAR ESSAR Steel Ltd, Vizag Operations

Presented by Mr. M. Ravindranath

Head (GM) Technical Services, ESSAR Steel Ltd.

Mr. Prakhar Sharma

Manager Technical Services ESSAR Steel Ltd.

ESSAR
A Diversified Multinational Conglomerate
Energy
Steel Oil & Gas Power Shipping Services

Infrastructure
Ports Projects

Upstream 2,132 MMBOE reserves & resources Midstream 14 MMTPA refining capacity expanding to 20 MMTPA Downstream c. 1,385 retail outlets

Raw Material

Raw Material

Shipping

BPO

450 MT coal reserves

Generation

1,600 MW operational capacity, to go up to 11,470 MW by 2014 Under construction 8 070 MW 8,070

1.4 billion tonnes of iron ore reserves 27 MTPA pellet plants 188 MT coal reserves
Steel-making

26 ships. 12 new ships on order.

Oilfields Svs.

50,000+ employees globally , 38,000+ seats in 47 locations

Telecom

1 semisubmersible rig 12 land rigs 2 new jack ups on order

Logistics

Operational Dry Bulk 30 MTPA Wet Bulk 46 MTPA Under Construction Dry Bulk 70 MTPA Wet Bulk 12 MTPA

Essar Projects India Engineering Fabrication Construction Fully geared to execute turnkey EPC projects in India and overseas 2nd largest equipment bank in India

14 MMTPA steel5000 trucks & making capacity offshore Distribution lighterage assets Essar Hypermart

Essar Telecom East Africa The Mobile Store Total Capacity 158 MTPA The Electronic Store

Integrated Over a decades company experience in spanning the oil the Indian power & gas value industry i d t chain

Integrated, global steel producer

International logistics provider to steel, oil and power sectors t

Provider of multi-channel CRM solutions to blue-chip blue chip clients

Indias 2nd largest pvt. sector port company

Leading EPC contractor with 40 years track record d

ESSAR GROUP
STEEL BUSINESS
Minerals & Pellets
1.4 billion tonnes of Iron Ore Reserve in Minnesota, USA Long term supply contract with NMDC for supply of Ore 20 MTPA of Beneficiation & Pelletization 8 MTPA in Vizag, ag, Andhra d a Pradesh ades 12 MTPA in Paradeep, Orissa

Steel Making
14 MTPA of Steel Making g Capacity p y 10 MTPA at Hazira, Gujarat 4 MTPA at Algoma, Canada Value Added Products 2.5 MTPA of CRC / Galvanized / Colour Coated 1. 5 MTPA, Plate Mill 0.6 MTPA, Pipe Mil

Marketing
Retail / Distribution thrust through Service Centers and Hypermarts (first time in India) Building 4 MTPA Service Center capability globally Existing Service Centers in Pune, Chennai, Delhi , Hazira and Indonesia Building u d gd distribution st but o netwrok et o o of 2.5 5 MTPA u under de Essar Hypermart brand 78 Hypermarts and 259 Expressmarts already operational

Internal mining and pelletization asset provides sustainable profits and insulates from volatility

Acquisition of Shree Pre coated Steel, Pune Adding Value to portfolio in line with market demand

Gaining market share with superior products and services Expanding the downstream operations in Asia, Middle East, Europe and USA

Continue to pursue sourcing opportunities for iron Focusing on bringing the costs down ore in India and overseas

Key y Highlight g g / Update p On schedule to commission the 5 MTPA expansion at Hazira by Q4 of CY 2010. With this, Hazira will be a 10 MTPA integrated steel complex Selling close to 100,000 tons of steel per month from Steel Hypermarts All new projects under construction are financially closed and we have firm visibility of commissioning dates Consolidating the Indian Steel operations under one Single entity, Essar Steel Ltd. 10 MTPA

ESSAR STEEL (India) LTD.

COMPANY OVERVIEW
Production capacity of 4.6 MTPA at Hazira with ith additional dditi l 5 mtpa t under d completion l ti Beneficiation & Pelletisation Plant with 8.0 MTPA capacity Raw material and energy needs secured through long-term contracts Power sourced through long-term contracts with Essar Power Ltd and affiliates Distribution setup includes 4 service centers, 78 Hyper marts & 259 Express marts Stand-alone FY2009 Revenues, EBITDA and shipments of US$ 2.5 billion, US$ 525 million and 3.1 3 1 million tonnes

ESSAR STEEL (India) LTD.

COMPANY OVERVIEW
Iron Ore Beneficiation Plant[8mmtpy] 267 km long Kirandul- Vizag Slurry Pipe line[ py 8mmtpy]
2 X 4 mmtpy Iron Ore Pelletization Plants 25 MW Coal Based CPP. 4.60 mmtpy SteelHBI+EAF+HSM+DSC] l ] [ Plant l A] ] 5.00 mmtpy Steel Plant,[BF+Corex+EAF+HSM+ DSC[Plant B]

KIRANDUL

Under Execution Operating Plants

VIZAG

HAZIRA

Dabuna kirandul Essar Steel Ltd Paradeep (Essar Steel Ltd) Visakhapatnam (Essar Steel Ltd)

Dabuna

Iron Ore Beneficiation Plant [12mmtpy] Iron Ore Slurry Pipe line Dabuna to Paradeep Iron Ore O Pelletization ll i i Plant[2 l [ X 6 mmtpy] ] Captive Power Plant 6.0 mmtpy Integrated Steel Plant

Paradeep

Paradeep p

ESSAR STEEL (India) LTD.

VIZAG OPERATIONS
6.00 5.36 5.45 5.00 4.51 4.00 S Second dP Pellet ll t Pl Plant t Commissioned. 3.00 2.47 2.00 1.54 1.62 1.00 0.34 0.00 1.79 1.58 2.64 2.93 2.93 3.13 Slurry Pipeline Damage 3.44 4.90

* Production Figures in Million MT

ESSAR STEEL (India) LTD.

VIZAG OPERATIONS

01

ESSAR STEEL (India) LTD.

VIZAG OPERATIONS

Slurry Pipeline

Water IOF from f NMDC

Iron ore slurry

Slurry Pipeline

BENEFICIATION PLANT
BASIC FLOW SHEET

BENEFICIATION PLANT
MASS BALANCE
ORE TYPE

Chemistry (%on Dry basis)

SLIMES -20% (1.76Mil.T) Combined feed Fe-64.00%, SiO2-3.50%, Al2O3-1.70% (8.8Mil.T)` FINES-80% Fe-64.50% (7.04 Mil.T)

Fe SiO2 Al2O3 LOI

66.50% 2.25% Max 1.00% 1.35% Max

Beneficiation

Physical Properties +150 Mic : 0.50% Max

Concentrate-80% C 8 % Fe > 66.50% SiO2+Al2O3< 2.5% (8.0Mil.T)`

Tails-20% Fe-45% (0.8 Mil.T)

(-) 45 Mic : 80.00% Min Blaine No.:1750 sq.cm/gm

SLURRY PIPELINE
GEOGRAPHICAL PROFILE

Bailadila
0 km k 613 m

Slurry pipe line route

Beneficiation Plant
Water Pumping Station

HY-GRADE PELLETS LIMITED

Rly Line
Sl k Fl Slack Flow Stn. St

Main Pumping Station

Water Line
113 km 496 m 100 km 434 m

Slack Flow Stn.

180km 696 m

Booster Stn.
From [Km] 0.00 0 00 62.29 137.02

205km 91 m

Pellet plant

To[Km] 62.29 62 29 137.02 267

State

Valve stn.
Chhattisgarh Chh tti h Orissa Andhra Pradesh

267km 0mts

WHY SLURRY PIPELINE?

FUTURE OF HYDROTRANSPORT Slurry pipelines have aesthetic advantages over other modes of solids transportation. Minimum land is required for laying the under ground pipeline and the land is restored to its Original condition. After the pipes are laid, agriculture and aforestation activities can be resumed. Hence it is the most environmental friendly mode of transportation available as of now. Slurry pipe lines are environmentally desirable, as they do not cause noise, dust pollution or negative visual impacts. This Mode of Transportation is extremely Economical /Cost effective.(ref: Pie Charts) The cost of transportation by slurry pipeline is almost one-tenth of that by wagons. Moreover, it ensure zero waste during transportation. Low maintenance costs and higher availability.
Slurry Pipeline Cost of Operations/Mt 70 Rs/Mt Railway Rake 700 Rs/MT

*NOTE: THE DIFFERENCE IS ONLY ON THE ACCOUNT OF LOSS IN TRANSPORTATION COST ( (KEEPING ALL OTHER FACTORS CONSTANT)

SLURRY PIPELINE
GEOGRAPHICAL PROFILE

SLURRY PIPELINE
GEOGRAPHICAL PROFILE
km Length Forest Land Non-Forest Land Crossings N.H Roads Railways Rivers Private Land owners km Km Km Chattishgarh 63 15 48 5 1 1800 Orrissa 74 22 52 2 3 2500 Andhra Pradesh 130 23 107 1 8 3 3 3500 Total 267 60 207 1 15 3 7 7800

Nos

Nos

1. 2. 3.

Annual Throughput 8.0 million Tonnes Slurry is transported from Kirandul (613 MSL to Vizag 2.6 MSL), which is 267 km South-East of Kirandul. Pi li Pipeline characteristics h t i ti
1. 2. 3. Length = 267 Km O.D. = 356-406 mm Wall thickness = 6.4 -15.4 mm

4. 5.

The equipment availability is 95% min. C t of Cost f Iron I Ore O T Transportation t ti th through h Sl Slurry pipeline i li is i 1/10 / of f the th cost t of f transporting Iron Ore fines through rakes.

SLURRY PIPELINE
PROJECT

SLURRY PIPELINE
GEOGRAPHICAL PROFILE

Orissa sector

Chattisgarh sector

SLURRY PIPELINE
GEOGRAPHICAL PROFILE

Slurry Pipe Line Passing through Eastern Ghats

PELLETIZATION
FLOW SHEET

PELLETIZATION
TECHNOLOGY PROVIDERS
S. No 01 Key Process Slurry Sl Agitation Key Equipment Slurry Mixers Disc Filters Pressure Filters Ceramic Filters Paddle Mixer Planetary Mixer Disc Pelletizer Drum Pelletizer Double Deck Screens Grate Kiln Straight Grate Shaft Kiln DCS/SCADA Technology Providers Mi i S Mixing Solutions l ti - USA

A TYPICAL FLOW SHEET

IRON ORE FINES

02

Filtration

Metal7 Larox/ Metso Larox /Russian Ludige Eirich Outotec / Metso Metso Metal7 Abacus Kobe/ Metso Aker/ Outotec Italian/Chinese HONEYWELL ABB/SIEMENS Additives

GRINDING/CONCENTRATE

03 04

Mixing Pelletization

FILTRATION Mixing

05

Screening

Pelletizing

06

Induration Process Control

Induration

07

Pellets

PELLETIZATION
PELLET QUALITY

Chemical Analysis Fe - 66.0% Min SiO2 2.5% Max A l2O3 1.25% Max CaO +MgO - 1.00%

Physical Properties Size 8 to 18 mm:90%Min (-)5 mm :5%Max Tumble :94.50%min Abrasion :04.50% max CCS (Kgs/Pellet) >275

Metallurgical Properties R d ibilit I d Reducibility.Index (J (Jumbo-Midrex) b Mid ) 94% CCS After Reduction - 30kg/p

Major Plant Modifications ESSAR Steel Ltd, Vizag Operations

Pellet Plant 1
INDURATION FURNACE MODIFICATION 1. The capacity of Pellet Plant 1 was limited to 8500 TPD (2.8 million MT) by the unstable operation p of the cooling g air fan, caused by y an increased system y resistance offered by lower cooling area of the furnace. Cooling air fan was operating very close to area of unstable operation, and minor fluctuations in process parameters slips the fan into STALL CONDITION. System resistance can be decreased by enlargement of the cooling zone through connection of one windbox from after-firing (windbox recuperation) to the cooling zone. Also, to reconnect one windbox from exhaust gas main zone to recuperation main zone.
Heat Recovery Section

2. 3 3.

Drying Section
Travel
Updraft Drying (UDD) Down-draft Drying DDD

Heating Section

Pre-heating (Ramp)

Firing

After Firing

First Cooling

Second Cooling

36 m2 (8 58%) (8.58%)

54 m2 (12 85%) (12.85%)

66 m2 (15 71%) (15.71%)

120 m2 (28 57%) (28.57%)

36 m2 (8 58%) (8.58%)

84 m2 (20 00%) (20.00%)

24 m2 (5 70%) (5.70%)

FURNACE AS DESIGNED

Pellet Plant 1
INDURATION FURNACE MODIFICATION
ZONE p draft Up Down draft Preheating Firing After firing Cooling Total Before Modification of CZ2 in sq.mts 36 3 54 66 120 36 108 420 % of total area 8.58 5 12.85 15.71 28.57 8.58 25.71 100 After Modification of cooling zone-2 36 3 54 42 120 36 132 420 % of total area 8.58 5 12.85 10.00 28.57 8.58 31.42 100 Heat Recovery Section Modification SAME SAME DECREASED SAME SAME INCREASED SAME

Drying Section
Travel
Updraft Drying (UDD) Down-draft Drying DDD

Heating Section

Preheating

Firing

After Firing

First Cooling

Second Cooling

36 m2 (8 58%) (8.58%)

54 m2 (12 85%) (12.85%)

42 m2 (10 00%) (10.00%)

120 m2 (28 57%) (28.57%)

36 m2 (8 58%) (8.58%)

108 m2 (24 32%) (24.32%)

24 m2 (5 40%) (5.40%)

AFTER MODIFICATION

Pellet Plant 1
INDURATION FURNACE MODIFICATION

IMPROVEMENTS 1. After modification production went up to 1o,000 tpd (3.3 million MT) on a consistent basis with out any problems with the cooling air fan. 2. Due to reduced preheating area by rearranging the wind boxes has lead to higher pressures. 3. Cooling C li air i fan f flow fl h increase has i f from 180 8 cu.m/sec / b f before modification difi i to 210 cu.m/sec after modification.
As a result of zone re-distribution the preheating / firing cycle was reduced by 5.7% and the cooling time was increased by 5.7%; 5 7%; Although this had resulted an increase in throughput, the decrease in firing cycle impacted heavily on the QUALITY of the pellets (low tumble and high cracked pellet %). To overcome this problem various schemes were suggested: 1. Install an after cooler to partially cool the pellets outside the furnace (was installed in PP1) 2. Rearrange the wind boxes as per design and increase the cooling zone length by 6mts to overcome the cooling air fan stall problem (was taken care in PP2)

Pellet Plant 1
INDURATION FURNACE MODIFICATION

Pellet Plant 1
Drying Section
Travel
Updraft Drying (UDD) Down-draft Drying DDD Pre-heating (Ramp) Firing After Firing

Heating Section

Heat Recovery Section

First /Second Cooling C g

AFTER COOLERS*

36 m2 (8.58%)

54 m2 (12.85%)

66 m2 (15.71%)

120 m2 (28.57%)

36 m2 (8.58%)

108 m2 (25.71%)

24m2

IMPROVEMENTS 1. After the modification the production rate of Pellet Plant 1 went up from 3.3 million MT to 4 million MT. 2 The percentage of cracked pellet reduced, 2. reduced and physical properties such as tumble and CCS improved. 3. The specific consumption of power and fuel went up by 20% approx. approx

Pellet Plant 1
INDURATION FURNACE MODIFICATION AFTER COOLER

Pellet Plant 2
INDURATION FURNACE MODIFICATION (at design stage)

In view of the improvements achieved in PP1 with after cooler, the similar cooling area was incorporated at the design stage of PP2. IMPROVEMENTS 1. Fuel and Power Specific Consumptions of PP2 are lower than that of PP1 2. Design Capacity of PP2 is 4 million MT. 3. Consistent quality with lower standard deviations.
Pellet Plant 2
Drying Section
Travel
Updraft Drying (UDD) Down-draft Drying DDD Pre-heating (Ramp) Firing After Firing First/Second Cooling

Heating Section

Heat Recovery Section

36 m2 (8.2%)

54 m2 (12.16 %)

66 m2 (14.90%)

120 m2 (27.00%)

36 m2 (8.10%)

132 m2 (29.3%)

Pellet Plant 2
CERAMIC FILTERS 1. Filtration is a mechanical or physical operation which is used for the separation of solids from fluids (liquids or gases) by interposing a medium through which only the fluid can pass. 2. The most widely used filters in mineral processing application are VACUUM DISC FILTERS( which are operating in our Pellet Plant 1 from 1996). 3. However, conventional vacuum disc filters when in operation offer significant difficulties with respect to : 1. High Filter Cake Moisture, 2. High % SOLIDS reporting in filtrate, 3. High Maintenance Cost, 4. Higher POWER Consumption. 4. Because of higher operating/maintenance costs for vacuum disc filters, ESSAR decided to try ceramic filtration technology in Pellet Plant 2 ; ESSAR became the first plant to operate Ceramic Filters on a large scale for Iron Ore application it in the world. ld

Pellet Plant 2
WHAT ARE CERAMIC FILTERS? 1. Ceramic Filters because of capillary action produces a very dry filter cake with an energy gy consumption p of one tenth of the one required in conventional vacuum filtration. Ceramic Filters provide low moisture in filter cake than conventional Vacuum Disc Filters.

2 2.

Ceramic filters operates p on the principle of capillary action. A capillary action filter operates according to the Young-Laplace law which states that the pores of law, a certain diameter causes a capillary effect due to surface tension and the contact angle of the liquid.

Pellet Plant 2
CERAMIC FILTERS vs CONVENTIONAL FILTERS

P ti l Particulars Tonnage/unit area Power Consumption per tonne Filter bags/Filtering media (Rs/t) Spares (Rs/t) Chemical (Rs/t) Total OPEX Cost/t

C Ceramic i Filters Filt 0.85 T/m2 0.80 Kwh/T 1.42 Rs/T 0.75 Rs/T 3.06 Rs/T 8.43 Rs/T

C Conventional ti l Filters Filt 1.00 T/m2 6.85 Kwh/T 1.99 Rs/T 2.0 Rs/T --31.39 Rs/T

Beneficiation Plant
PROCESS OPTIMIZATION 1. The Kirandul Beneficiation plant was designed to produce 8 MTPA (Million Ton Per Annum) of concentrate. During 2006, it was not giving the desired output.
Sl. No 1 2 3 4 5 6 Description Feed to Primary Mills Operating Hours Wt. Recovery C Concentrate t t P Production d ti Annual Plant Capacity Fe content Unit Dry MT/hr Hours % D MT/h Dry MT/hr MMT % Design 1390 7200 80 1112 8.0 68 Actual 900 7200 75 6 675 4.86 67.5

2 2.

Constraints as perceived at that time because of which designed out could not be reached: a. The feed quality (harder ore than what was envisaged during design) b. operational difficulties in intermediate and tailing thickeners above 900 tph h because b of f coarser particles i l and d c. HGMS problems limiting its availability Plant audits were done by different agencies that include RRL Bhubaneswar (Now IMMT), Metso, JK Tech, etc.

3 3.

Beneficiation Plant
PROCESS OPTIMIZATION Before Modification

Fig. Flow sheet of Kirandul Beneficiation plant before modification (2006-07)

Beneficiation Plant
PROCESS OPTIMIZATION PROPOSALS 1. 2. 3. *Close Circuiting the Primary Grinding with Wet Screen. *Hydro Hydro cyclone for Rougher Spiral Tails and Cleaner Spiral Middling Derrick Screen for screening above Hydro cyclone Underflow for +300 micron and 850 micron Vertimill to grind the above fraction in close circuit with the Derrick Screen. Conversion of Existing HGMS matrix from Coarse to Medium Additional HGMS *Third Regrind Mill with hydro cyclone Stand Alone Intermediate Thickener for each Line / Stand Alone Concentrate Thickener for each Line. Line

4. 5 5. 6. 7. 8.

Beneficiation Plant
ACTUAL MODIFICATIONS 1. 2. Addition Of Thickener For NMDC Slimes Grinding Media in the Mills a. Before modifications, the grinding media used in the Primary ball mill was 60 mm balls. During modifications, 80 mm grinding media were added to the mill t partly to tl reduce d th the percentage t of f coarse particles ti l reporting ti t to i intermediate t di t thickener. b. Addition of 40 mm & 25 mm grinding media were done to regrind ball mills to improve their grinding efficiency. Close Circuiting of Primary Grinding Mill a. Earlier Primary ball output was fed to Primary hydro cyclone. The overflow of hydro cyclone was directed towards intermediate thickener for further processing through HGMS. The underflow of hydro cyclone went to Rougher Spiral. b. After the modification, the ball mill output goes to a vibrating screen of 1 mm aperture. The oversize from screen is re-circulated to mill, while the undersize is fed to Primary hydro cyclone. cyclone

3.

Beneficiation Plant
ACTUAL MODIFICATIONS 4. Rougher Spirals a. Before modifications, the rougher spiral tailings were directly fed to intermediate thickener. The coarser particles in those tailings caused operational difficulties for thickener. b. hydro cyclone has been introduced in this route. The overflow of this hydro cyclone goes to intermediate thickener, thickener while the underflow is fed to Linear Screen. Cleaner Spirals a. The tailings of Cleaner Spirals were earlier sent to Primary ball mill from sump box. A hydro cyclone has been introduced and the part overflow & underflow goes to the Primary ball mill while the part overflow is directed towards the Concentrate thickener. This has been made to balance the slurry concentration in Primary ball mill.

5.

Beneficiation Plant
PROCESS OPTIMIZATION After Modification

Fig. Present flow sheet of Kirandul Beneficiation plant after modification

* The equipments and lines in red show the modifications carried out in original flow sheet

Beneficiation Plant
SLON - TAILING RECOVERY

1.

Traditional HGMS offers a magnetic field of 0.5 Tesla; SLON offers a higher magnetic field of 1 Tesla. Therefore SLON can be used to recover more Fe from the tailings. tailings 2. After the commissioning of SLON in 2008, ESSAR conducted various experiments to reduce the Fe of Tailings. 3. By B feeding f di the th t tails il of f HGMS t to th the SLON we were able bl t to reduce d the tail Fe from 48% to 40-42%. The overall weight recovery of the Beneficiation Plant went up from 80-85% to 90%.

Beneficiation Plant
SLON - TAILING RECOVERY

1.

SLON offers various advantages such as low maintenance, easy operations, higher recovery etc over conventional HGMS.

2. With the use of SLON our Tail Fe dropped form 47% to 40%, and our weight recovery went up from 80% to 90%. 3. The SLON was picking up Ultrafine-High Fe (1 mic -10 mic range) particles from the tailings. Resultantly the filtration productivity of our Vacuum disc Filters and Ceramic Filters went down drastically. The filter cake moisture went up above 11%. 4. The % of ultrafine (<10 mic) particles in the slurry went upto 30%, which was causing the loss in productivity of the downstream process.

IMPROVED PROCESS FLOW SHEET

ORISSA PROJECT
Iron Ore Fines Filtration
10 mm Wet Screen

Feed Preparation -10 mm +10 mm

Roll Crusher 2 mm Wet Screen

+2 mm

Primary Balling Mill

Mixing

Additives & Grinding

+0.15 mm
Screw Classifier Allflux

-2 mm
Medium Medium HGMS

Balling Discs -8 mm -8 mm + 18 mm Single Deck Roller Screen +8 mm

-0.15 mm
Coa arse

fin ne

De-sliming Hydro cyclone

Secondary Balli Mill Intermediate Thickener Concentrate Thickener Fines HGMS Fines-

Secondary Hydro cyclone

Double Deck Roller Screen

Induration

Hearth Layer Separation

Tailings Thickener

Slurry Tanks

Pumping Station

Tailings Thickener

Pellet Stockyard

BENEFICIATION

Slurry Pipeline (253 km)

Slurry Tanks

PELLETIZATION

TECHNOLOGICAL MODICIFATIONS
ORISSA PROJECT

1. Allflux hindered separator in place of spirals 2 Paste thickeners for tailings disposal as an alternative to 2. conventional disposal in slurry form 3. Blender reclaimer in place of conventional reclaimer for ore blending 4. Pressure filters in place of ceramic & vacuum filters 5. Screening at discs in addition to the screening at feed end 6 All process fans are provided with VFDs 6. VFD s for energy conservation and better process control 7. Screening the feed to mill before grinding 8. High basicity pellet production (Addition of lime is as high as 8%) 9. One pumping station as against two in our existing plant 10. Paste Thickening tailing disposal mechanism (first time in India).

THANK YOU