Sunvik Steels Pvt Ltd

Pre-feasibility Report

said that an investment worth US$ 176.49 billion is likely to go into the steel sector by
2020.
In the first 10 months of 2008-09, India's steel production went up to 46.8 MT up by
1.1 per cent from last year.

Consumption
India is the fifth-largest consumer of steel in the world. It consumes about 1.5 MT of
stainless steel a year with around 70 per cent accounting for kitchenware. However,
its use in railway coaches, wagons, airports, hotels and retail stores is growing
immensely. Demand for steel in India is likely to grow at around 12 per cent against
the global average of 56 per cent. Steel consumption grew at 3.8 per cent in the
January-March quarter of 2008-09 over the same period last year.
A Credit Suisse Group study states that India's steel consumption will continue to grow
by 16 per cent annually till 2012, fuelled by demand for construction projects worth
US$ 1 trillion. The scope for raising the total consumption of steel is huge, given that
per capita steel consumption is only 35 kg compared to 150 kg across the world and
250 kg in China
Future demand
While the demand for steel will continue to grow in traditional sectors such as
infrastructure, construction, housing automotive, steel tubes and pipes, consumer
durables, packaging, and ground transportation, specialized steel will be increasingly
used in hi-tech engineering industries such as power generation, petrochemicals,
fertilizers, etc. The new airports and railway metro projects will require a large
amount of stainless steel.
According to an estimate, with the growing need for oil and gas transportation
infrastructure, a US$ 118 billion opportunity is waiting to be tapped by steel
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Pre-feasibility Report

manufacturers in the next five years. Indian steelmakers are set to make the most of
booming global demand for steel pipes and tubes with the government withdrawing
the 10 per cent duty on the exports of these products. According to a study by ICICI
Direct, Indian steel companies are likely to get 19 per cent of the total global demand
in the years to come.

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Sunvik Steels Pvt Ltd

2.4.

Pre-feasibility Report

Tunnel Kiln

2.4.1. DRI tunnel kiln equipment characteristics

It is of high efficiency, large output, energy saving and environment
protection.
Suitable for use with low added value of coal and iron ore powder.
Less labor, a high degree of mechanization, low labor intensity.
Tunnel kiln belongs to a un-high altitude, un-high temperature and un-high pressure.
The production process is safe. It is of low investment, more suitable for large and
medium-sized enterprises in construction project.
This process is suitable for mining iron powder; in general requirements for iron ore
grade is up to TFe65%~70%, as well as requirements for oxidation of iron grade is
about TFe72%, it will be able to produce direct reduction sponge iron.
The length of the kiln made by above process depends on the output size, kiln trolley
size, reduction time, raw material types, thermal system stability, easy operation and
energy saving shall also be considered.
2.4.2. DRI Process parameters and cost analysis
No.
1

Name
The length of the
kiln

30,000 T tunnel kiln

150M

Inner width

3.3M

Loading height

1.8M

Fuel type: Producer gas or other gas

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Pre-feasibility Report

Combustion-supporting air preheated

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temperature is 350 (can save the

producer gas 600Nm3/h)

2.4.3. DRI Tunnel kiln main equipment

NO.
1

Name
Raw materials
processing

Device configuration(includes)
Iron ore powder dryer, reducing agent drier, Conveying
equipment and so on
tunnel kiln steel structure parts, kiln trolley transport

Tunnel kiln

system, combustion system, fan system, trolley care

equipment

system, transportation system of out of kiln and electrical

control system and so on

Loading system

Unloading system

Loading and mold transporter, raw material conveying,

feeding system transmission line equipment and so on
Unloading sand cleaning equipment, dust suction recovery
system, the cover, cover position equipment and so on

Broken cold

Multi roll reversible conveyor , cutting machine, storage

pressing system

bin, raw materials delivery machine, briquetting machine

Gas generating

30,000 MTPA DRI tunnel kiln, each is equipped with a gas

station

furnace, diameter is 3 meters

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Pre-feasibility Report

2.4.4. Main cost structure of 1ton sponge iron (TFe65%Iron ore powder as an example)
NO.

the main cost form item

tons of consumption

ore fine

1.4T

producer gas

900Nm

power consumption

60kw

anthracite coalreducing agent 0.53T

limestonereducing agent

Si C tank

0.12T
12kg according to the cycle number
allocation

2.4.5. DRI material balance

For example iron ore powder in 65%, 67%, 70% three magnetite and sponge iron physicochemical
index after roasting reduction:
No.

Name

TFe(Total iron)

Impurity (Si, S, P and so on)

TFe65%

86.44%

10.2%

TFe67%

89.93%

7.46%

TFe70%

95.47%

3.32%

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Pre-feasibility Report

Iron ore powder TFe65% of 2% moisture content as an example:

1. With an annual output of 30,000 tons of DRI, it needs 42,000 tons of iron ore powder and
19,500 tons of reducing agent.
2. After reduction, the reducing agent could be used one or two times according to the
carbon content.

2.4.6. Physical properties

The raw material used are ore powder, using silicon carbide tank canning, with good reducing
atmosphere and high metallization rate, quality of DRI is good and stable. After being broken DRI
particles or powder will be pressed block then density will be increased to more than 4.0t/m3, it
can be used for steelmaking.

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Pre-feasibility Report

2.4.7. DRI production process flowchart

Reducing agent

Ore concentrate powder

Desulfurizingag

Fracture

Dry

Fracture

Sieve

Mixed
ingredient

Sieve
Dry

Dry
Automatic
Gas furnace

Tunnel
Automatic
Ash

The tail

Fracture

Tail slag

Magnetic
Pressing
Storage

2.4.8. Brief description of new technology about DRI tunnel kiln

2.4.8.1.

Efficient energy-saving heat exchanger

On the top of preheating section of kiln flue heat exchanger is arranged and in the
middle of cooling section rapid cooling /heating exchanger is arranged, hot air which
temperature is 300~350 degrees out from cooling /heating exchanger can be
used for combustion-supporting directly, it can save fuel 20%~25%, at the same time
it reduces both waste gas temperature and the temperature of cooling section.

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Sunvik Steels Pvt Ltd

2.4.8.2.

Pre-feasibility Report

Rational layout of the combustion system

Gas burner with multi points by small flow arrangement in the roasting section are
"goods" type distribution which are in upper and lower dislocation, so, combustion
gas injected into the kiln can also stir air, let reduction temperature in a kiln reaches
unanimity, the maximum temperature difference is no more than plus or minus 10
degrees.
2.4.8.3.

Comprehensive utilization of circulating water system

In the rear of cooling section circulating water cooling system is arranged. For further
reduce the temperature in the kiln, meanwhile the output of the hot water can meet
the various needs of the factories such as heating or bath hot water and so on.
2.4.8.4.

Safe and stable trolley foot structure

Trolley foot made by radiation type big wheel with high temperature resistant
bearing coupled with kiln trolley frame body connected with a bearing seat, run safely
and steadily.
2.4.8.5.

Automated material load& unload system

It has such characteristics as simple operation, low amount of repair, a high degree of
mechanization. It improves the labor intensity of workers and operating environment
and increase the economic benefit of enterprises.
2.4.8.6. Automatic control
The electrical appliance control equipment and switch are centralized installed in the control
cabinet. In the both ends of the tunnel kiln, including the back trolley line, video surveillance
system is equipped.
Following the social economic development, it always accompanied by peoples new
technology and new process innovation. A mature innovation process should be from simple
to complex, from complexity to simplicity, the company's innovative series tunnel kilns have
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Pre-feasibility Report

such characteristics. Welcome friends to choose the coal based tunnel kiln equipment
suitable for your own development. It will bring investors great economic benefit and social
benefit to construct DRI tunnel kiln production line which is low investment and quick
returns.

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Sunvik Steels Pvt Ltd

Pre-feasibility Report

2.5. Rolling Mill

2.5.1. What is 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.
2.5.2. What are TMT Steel Bars:The full form of TMT is Thermo Mechanical Treatment; in this the steel bars are passed
through a specially designed water-cooling system. After the bars pass, the outer
surface of the bars solidifies while the core remains hot. This creates a temperature
gradient in the bars. After the intensive cooling, the bar is exposed to air and the core
re-heats the quenched surface layer by conduction, therefore tempering the external
martensite. When the bars are taken out of the cooling system, the heat flows from the
core to the outer surface, further tempering of the bars, which helps them attain higher
yield strength. The resulting heat-treated structure imparts superior strength and
toughness to the bars. Cooling process is illustrated below:

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