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JSPL’s Indian Operations Swing into Red in Jul-Se’22 Quarter

Strategic Research Institute
Published on :
11 Nov, 2022, 5:12 am

Jindal Steel & Power Limited has reported steel sales of 2.01 million tonnes, down 6% lower QoQ. The Company reported production of 1.82 million tonnes during the quarter, which was 6% lower QoQ, largely due to a maintenance shutdown at the Raigarh Plant The export volumes accounted for 11% of sales in Q2 of FY23 as compared to 26% in Q1 of FY23) as a consequence of export duty and weakened global demand. Pellet production of 1.79 million tonne remained flat YoY but down 7% QoQ. External sales for pellets rose to 109KT (vs 27KT in 1QFY23) on back of domestic demand uptick.

Gross Revenue - 15,118 crores, up 4% QoQ

Adjusted EBITDA - 1,426 crores, down 68% QoQ

Reported Loss - 473 crores, down 83% QoQ

Mozambique: Chirodzi mine produced 1.16 million tonne ROM (+25% Q-o-Q) in 2QFY23. However, coking coal sales were a bit lower since last quarter at 195 KT. Mozambique operations reported EBITDA of USD 15 million for 2QFY23 (down 66% Q-o-Q), driven by fall in coking coal prices.

South Africa: Kiepersol mine took an operational shutdown during 2QFY23 and hence reported lower production & sales volumes for the reported quarter. Production stood at 81 KT ROM (-45% Q-o-Q) while sales came at 31KT (down 58% Q-o-Q). The mine reported EBITDA of US$13 mn for the quarter.

Australia: During 2QFY23, Russel Vale mine has been slow on ramp up and reported 150 KT ROM (up 9% Q-o-Q) production. Dispatches remained flat at 79KT. The mine reported operational EBITDA of US$ 8mn for the quarter. Wongawilli colliery continues to remain under care & maintenance.
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Hoa Phat & Pomina Steel Idle 3 BFs over Weak Demand

Strategic Research Institute
Published on :
11 Nov, 2022, 5:13 am

Kallanish has reported that two Vietnamese steelmakers Hoa Phat & Pomina Steel idled 3 blast furnaces in order to minimize financial losses amid large overhang of stocks signaling dark clouds over Vietnamese steel market, considered a benchmark for HRC in SEA and an important destination of Chinese & Indian steelmakers. The report quoted a source as saying that “Losses will continue as long as the construction and real estate sectors are not recovering. The restart of the furnaces has not been scheduled but Hoa Phat could resume operations in the third quarter of 2023.”

Hoa Phat Group will close down two blast furnaces at Hoa Phat Dung Quat this month and plans to also stop operating a third blast furnace at the plant next month. There will only be one blast furnace left operating, which will result in production of around 140,000 tonnes per month of hot rolled coil and construction steel. The Dung Quat steelworks has a finished steel capacity of 5.6 million tonne per year, comprising 3 million tonnes of HRC and 2.6 million tonnes of construction long products

Hoa Phat also suspended operations this month of two blast furnaces at Hoa Phat Hai Duong, which has an installed 2.2 million tonne capacity of construction long products. This will reduce the plant’s operations by two-thirds as there will be one remaining blast furnace operating. The company views the closures as necessary for its survival during the current downturn in the steel industry.

Fellow Vietnamese steel mill Pomina Steel also shut down its 1 million tonne per year design capacity blast furnace in late-September, according to informed sources. A restart will depend on the market situation and the Vietnamese government’s policy on easing current stringent credit and liquidity restrictions.
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Danieli Revamps SAIL BSP Plate Mill’s Side Trimming Shear

Strategic Research Institute
Published on :
11 Nov, 2022, 5:15 am

Installed in the finishing area of the plate mill at Steel Authority of India Limited’s Bhilai Steel Plant, the rocking-type, side-trimming shear supplied and commissioned by Danieli in 2010 needed professional intervention after 12 years of reliable operation. SAIL BSP has contracted Danieli Service India to analyze the functioning of the trimmer shear at Bhilai plate mill and improve its performance.

Following detailed on-field analysis and spares production, the activity consisted of complete dismantling and erection of the existing drive motor, gear boxes, sledge repair for both fixed & movable shear and rectification of worn parts, and replacement of the entire sliding shoe. New top and bottom blades and knife clamping cylinders were provided.

The shear is now in operation, performing as per original design parameters.

The project was completed ahead of schedule thanks to SAIL BSP and Danieli close teamwork, and accurate job scheduling.
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JSW Steel Expects Exports to Shrink to over 5 Year Low

Strategic Research Institute
Published on :
11 Nov, 2022, 5:16 am

Reuters reported that India’s largest steelmaker JSW Steel expects its exports to fall to a more than five-year low at 10% of overall sales in the fiscal year to March 2023 because of reduced global demand and an export tax. JSW Steel’s Joint Managing Director & Group Chief Financial Officer Mr Seshagiri Rao MVS told Reuters in an interview “The global economy is slowing down. Adding to that, there is an export duty, which has come in. Both together, I think, has made the country lose that competitive advantage.”

Mr Rao added “We can't completely get out of the export market because these customers are developed painstakingly over a period of time.”

Finished steel exports from the world's second-biggest crude steel producer more than halved during the first seven months of the fiscal year that began in April, partly because of a 15% export tax on some steel intermediates that the federal government levied in May.
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AM Mining India Completes Acquisition of Uttam Galva Steels

Strategic Research Institute
Published on :
11 Nov, 2022, 5:19 am

ArcelorMittal and Nippon Steel’s India joint venture’s AM Mining India has completed the acquisition of Uttam Galva Steels, a downstream steel manufacturer in Maharashtra., ArcelorMittal Executive Vice President Mr Dilip Oommen has warmly welcomed Uttam Galva Steels’ employees into the fold of the ArcelorMittal and Nippon Steel joint venture family. He said “Together, we will embark on a journey of collaboration and excellence to produce smarter steels for our discerning customers.”

Completion of the acquisition process follows the recent approval by the National Company Law Tribunal, Mumbai, of a resolution plan for Uttam Galva Steels Ltd, submitted by AM Mining India Pvt Ltd, under the Insolvency and Bankruptcy Code.

Uttam Galva Steels has its manufacturing facilities at Khopoli, with an annual capacity of 1.2 Million Tonnes Per Annum. The company has a wide basket of downstream value-added products, catering to various industries and distribution segments.

Uttam Galva Steels is a strategic addition to ArcelorMittal and Nippon Steel joint venture, which also operates ArcelorMittal Nippon Steel India (AM/NS India) that has robust downstream capabilities, thus increasing domestic market opportunities.
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SAIL Swings to Loss in Jul-Sep’22 Quarter amid Weak Prices

Strategic Research Institute
Published on :
11 Nov, 2022, 5:20 am

India’s state owned steel maker Steel Authority of India Limited has reported Loss after Tax of INR 386 crores in July-September 2022 quarter. SAIL said “The margins have been impacted by prices of imported coal and slowing down of demand of steel across economics. However, the on-going sustained infra push gives signs of better times ahead for the Indian steel market.”

Crude Steel Production - 4.3 million tonne, down 4% YoY

Sales Volume - 4.21 million tonne, down 2% YoY

Revenue – INR 26246 Crore, down 2% YoY

EBITDA – INR 1174 Crore, down 84% YoY

Loss After Tax – INR 386 Crore, down 109% YoY

Performance of H1 FY 23 (Standalone)

Crude Steel Production - 8.63 million tonne, up 5% YoY

Sales Volume - 7.36 million tonne up13% YoY

Revenue from Operations - 50275 Crore, down 100% YoY

EBITDA - 3780 Crore, up 261% YoY

Profit After Tax - 391 Crore, down 94% YoY
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ArcelorMittal Reports 56% YoY Shrinkage in Jul-Sep’22 EBITDA

Strategic Research Institute
Published on :
11 Nov, 2022, 5:22 am

World’s leading integrated steel and mining company ArcelorMittal said that July-September 2022 quarter performance was impacted by a negative price-cost effect, energy costs headwinds and a 5.6% sequential decrease in steel shipments to 13.6 million tonnes & 7.1% lower YoY as steel shipments remained broadly stable YoY excluding ArcelorMittal Kryvyi Rih which is impacted by the ongoing war in Ukraine. ArcelorMittal Chief Executive Officer Mr Aditya Mittal said “The strong market conditions enjoyed for much of the past two years deteriorated in the third quarter as seasonally lower shipments, a reduction in exceptional price levels, destocking and higher energy costs combined to put profits under pressure. The business responded quickly to the changing environment, cutting higher cost capacity to manage addressable demand and reduce fixed costs, and reducing European gas consumption by 30%.

July-September 2022

Crude steel production - 14.9 million tonne, down 13% YoY

Steel shipments - 13.6 million tonne, down 7% YoY

Sales – USD 18975 million, down 6% YoY

Operating income – USD 1651 million, down 69% YoY

EBITDA USD - 2660 million, down 56% YoY

EBITDA per tonne – USD 196 per tonne, down 53% YoY

January-September 2022

Crude steel production - 45.8 million tonne, down 13% YoY

Steel shipments - 43.3 million tonne, down 8% YoY

Sales – USD 62,953 million, 13% YoY

Operating income - USD 10,578 million, down 15% YoY

EBITDA – USD 12,903 million, down 10% YoY

EBITDA per tonne – USD 298 per tonne, down 2% YoY

Mr Aditya Mittal added “The short-term outlook for the industry remains uncertain and caution is appropriate. But, ArcelorMittal has the strength, resilience and experience to face the future with confidence. Supported by a strong balance sheet, we will continue to focus on executing our strategy, designed to ensure our long-term sector leadership, as well as deliver sustainable investor returns.”
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Advies van Goldman Sachs over Arcelor Mittal
Beurshuis Goldman Sachs
Aandeel ArcelorMittal
Datum 10 november 2022
Advies Neutraal
Koersdoel 25,00 EUR

Detail advies
LONDON (Trivano.com) - Op 10 november 2022 hebben de analisten van Goldman Sachs hun beleggingsadvies voor ArcelorMittal (MT; ISIN: LU1598757687) herhaald. Het advies van Goldman Sachs voor ArcelorMittal blijft "neutraal".

De analisten behouden hun koersdoel van 25,00 EUR.

Op 5 mei 2022 publiceerde ArcelorMittal kwartaalcijfers.
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Advies van Barclays over Arcelor Mittal
Beurshuis Barclays
Aandeel ArcelorMittal
Datum 10 november 2022
Advies Overweight
Koersdoel 32,00 EUR

Detail advies
(Trivano.com) - Op 10 november 2022 hebben de analisten van Barclays hun beleggingsadvies voor ArcelorMittal (MT; ISIN: LU1598757687) herhaald. Het advies van Barclays voor ArcelorMittal blijft "overweight".

De analisten behouden hun koersdoel van 32,00 EUR.

Op 5 mei 2022 publiceerde ArcelorMittal kwartaalcijfers.
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Turkish rebar slump continues, scrap fall accelerates
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Turkish rebar producers are continuing to decrease their quotes amid weak demand. However, these lower prices are still uncompetitive in the global arena and are not spurring an export sales recovery.

On Thursday, Turkish mills’ export offers were mostly at $635-640/tonne fob Turkey actual weight, down from $640-650/t a week earlier. Offers for mesh-quality wire rod, meanwhile, were at $645-660/t fob.

Demand in export markets is almost nil and Turkey’s higher prices than competitors are failing to attract the limited demand that is available.

Turkey is seen to be serving its major markets, Israel and Yemen, only. There are some inquiries about Turkish rebar in these destinations, though volumes are quite low compared to previous years.

A western Turkish mill concluded 20,000 tonnes of rebar sales to Israel at $690/t cfr last week. This week, however, Israeli buyers’ price idea is no higher than $675-680/t cfr, which corresponds to a price below $630/t fob Turkey.

A Turkish mill tells Kallanish: “Rebar trade in the global market has slowed. Even if we decrease our prices, I don’t think this will help to increase capacity utilisation.”

Another producer says: “Turkish rebar prices are no longer a benchmark in the global market. Amid current production costs we cannot survive. The industry is in need of urgent incentives.”

Turkish long steel producers are expecting to see more challenging market conditions for at least 3-4 months unless some form of government incentives are provided, to help with costs, spur local demand or encourage exports.

Domestic rebar demand, which has been driving the market for a while, was weak on Thursday. Mills’ offers in the domestic market are seen standing mostly at $630-640/t ex-works.

Turkish mills, which were exerting pressure on scrap prices in order to decrease their production costs, have achieved a price drop, although to an insufficient extent.

Several bookings were heard on Thursday. A western mill is confirmed to have booked US-origin HMS 1&2 80:20 on Monday at $344/t and shredded at $359/t cfr Turkey for December shipment. Another western mill booked a Croatia-origin cargo on Wednesday comprising 20,000t of HMS 1&2 80:20 at $325/t and 5,000t of shredded at $340/t cfr for prompt shipment.

Another cargo from the Baltic is heard to have been booked at $340/t cfr for HMS 1&2 80:20, although this is yet to be confirmed. The latest short-sea booking from Romania, meanwhile, was done at $315/t cfr Marmara.

Burcak Alpman Turkey
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Tenaris & DNV Advance Research for Design of Hydrogen Pipelines

Strategic Research Institute
Published on :
14 Nov, 2022, 4:34 am

World’s leading certification body DNV has released in its latest energy transition outlook, that hydrogen will gain momentum over time in the sector’s pathway to net zero. The report highlights hydrogen as essential for decarbonizing hard-to-abate sectors like high-heat processes in manufacturing, maritime transport and aviation.

Demand for hydrogen as an energy carrier will rocket upwards from negligible levels today to well over 250 MtH2 per year by 2050. The projected wide scale hydrogen economy will require new or repurposed pipeline infrastructure, coupling with renewables and the electricity grid. For this reason, DNV launched in 2021 the H2Pipe Joint Industry Project, with the aim of developing a guideline for safe and reliable design, re-qualification, construction and operation of pipelines intended for the transportation of hydrogen gas.

Tenaris hosted the JIP participants at its Dalmine, Italy, facility to review the current status of the JIP Phase 1, and agreed to its second phase, which will start at the beginning of 2023.

H2Pipe Phase 2 will encompass different tasks, including a comprehensive experimental test program to enhance the understanding of the governing hydrogen embrittlement mechanisms and how hydrogen affects the integrity of line pipe material. The results from this second phase will be utilized to further develop guidelines and recommended practices, ensuring that the design and material requirements do not compromise the pipeline integrity and safety, and further enables a cost-effective design.
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ArcelorMittal South Africa Supplies Steel to Msikaba Bridge

Strategic Research Institute
Published on :
14 Nov, 2022, 4:37 am

Africa’s leading steelmaker ArcelorMittal South Africa is supplying steel to the iconic Msikaba Bridge Project which is currently under construction near Lusikisiki in the Eastern Cape. Steel is a significant component in the finely engineered design of this iconic bridge. The technical complexity of this project required steel of a higher structural grade and length to be fully developed locally.

Among other products, the bridge is being fabricated using world-class heavy gauge structural steel sections from the ArcelorMittal Rail and Structural Mill, recently launched at the Highveld Industrial Park in eMalahleni. It also makes use of structural steel plates of larger length and mass from the reconfigured plant at the company’s Vanderbijlpark Works. The sections are then pre-assembled before being delivered to site where final assembly takes place, with welding set to happen nearly 200m above the valley.

The cable-stayed steel deck bridge spans the Msikaba River and forms part of the N2 Wild Coast Road Project, which aims to improve the travel time between Durban and East London for heavy freight vehicles. When complete, the bridge will have a main span of 580m, supported from a pair of 127m-tall pylons. The deck will be 194m above the valley floor, making it the third highest bridge in Africa.
Bijlage:
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NLMK Lipetsk Deploys New Dedusting System at BF No 3

Strategic Research Institute
Published on :
14 Nov, 2022, 4:40 am

Russian steelmaker NLMK has revamped its Blast Furnace No 3 dedusting system at Lipetsk plant, ensuring a dust capture rate of 99.9%. As a result of NLMK’s continuous environmental upgrades, all of its blast furnaces are now equipped with advanced dedusting systems that are on par with best global technologies.

The new dedusting system comprises: a filtering unit, exhaust fans, a gas duct network, and specialized capture hoods installed over sources of smelting waste. The system uses high-performance bag filters that ensure a reduction of residual dust in off-gases by 95% vs. the pre-revamp level.

The entirety of captured dust is reused in blast furnaces as iron ore feed.

Project investment totalled RUB 320 million.
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Salzgitter Delivers a Robust Performance in 9 Months of 2022

Strategic Research Institute
Published on :
14 Nov, 2022, 4:42 am

German steelmaker Salzgitter Group has delivered an excellent result with a pre-tax profit of EUR 1.1 billion in the first nine months of the financial year 2022 against the backdrop of an increasingly deteriorating economic environment. In the first nine months of the financial year, Salzgitter Group’s external sales rose by around 40 % to EUR 9.765 billion as compared to EUR 7.002 billion in 9M of 2021, above all on the back of prices. EBITDA increased to EUR 1.397 billion as compared to EUR 866.8 million on 9M of 2021. The after-tax result stood at EUR 945.8 million as compared to EUR 467.7 million in 9M of 2021

This performance was driven mainly by the Steel Production, Steel Processing and Trading business units that benefited from the prices of most rolled steel products having meanwhile risen to record levels. The Technology Business Unit and the industrial participations also reported gratifying results.

In terms of SALCOS transformation program, Salzgitter achieved important milestones. Upon the Supervisory Board’s approval of EUR 723 million of the company’s own funds and a first administrative agreement between the Federal State of Lower Saxony and the Federal Republic of Germany and the approval of the public funding by the EU-Commission in the context of sharing the efforts to promote the project, financing the first stage of SALCOS has been virtually secured. Construction work on the project has commenced, and the first orders have been placed for the equipment and facilities.

Salzgitter anticipates 2022 sales in the region of EUR 13 billion, EBITDA of between EUR 1.4-1.6 billion & EBT of between EUR 1.0-1.2 billion. Salzgitter said “This guidance is based on the assumption of the ongoing, unlimited availability of natural gas as a prerequisite for maintaining production. We make explicit reference to virtually unquantifiable risks in connection with the war in Ukraine, the impact of which has already triggered a notable economic downturn and energy prices rising by leaps and bounds.”
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Ternium Reuses 94% of Water in Steel Plants

Strategic Research Institute
Published on :
14 Nov, 2022, 4:45 am

Leading Latin American steelmaker Ternium is implementing 3 strategies i to ensure its responsible use in of water in various plants. Each country where Ternium operates has its own guidelines for the availability of surface and groundwater, as well as for its extraction. Therefore, when designing each plant, the best water management strategies are sought according to the situation of the supply of this resource at the site of operations.

According to the 2021 Sustainability Report, of the total water extracted by the company, approximately 94% is cleaned, cooled and returned to the source as treated water, which translates into low consumption. This water is residual which means that it comes from any activity where, by its use, they contain organic matter or chemical substances that alter their original quality. These are some of the strategies for water care that have been implemented to reduce the environmental impact and support the communities where the plants are located. In all plants, wastewater discharge is permanently monitored to improve quality and reduce water discharges, using state-of-the-art technology and increasingly efficient systems.

In Mexico, Ternium's steel production facilities are located in water-stressed zones, according to the World Resource Institute's Water Risk Atlas. To minimize its use, in 2021 it was possible to reduce the intensity of water extraction to 3.2 cubic meters per ton of steel produced. Using treated water from third parties, mainly wastewater, which is processed in treatment plants to improve its condition and then used at different stages of the production process. In the same year, the share of third-party treated water in Mexican steel mills was 46%. In addition, wastewater is used in the Pesquería plant to cover 96% of the needs of this resource.

In Argentina, the water treatment plant system that separates particles derived from cleaning process gases from the basic oxygen furnace at the San Nicolás plant was upgraded to extract higher quality sediment in the initial stages and achieve greater efficiency. Sediments derived from wastewater treatment, which at first glance look like waste, actually serve two purposes: they are used in the sintering process and sold to the cement industry.

On the other hand, at the plant in Rio de Janeiro, Brazil, the effluent treatment and control system has been strengthened through the implementation of a continuous direct measurement system and improving the reuse of treated water.

In Colombia, in February 2021, an industrial center was inaugurated in Palmar de Varela, designed with a 100% closed water circuit: water collection only has replacement purposes, due to evaporation, and is obtained from third parties.

Ternium is a manufacturer of flat and long steel products with production centers in Argentina, Brazil, Mexico, Guatemala, Colombia, and the United States. It is the leading steel company in Latin America with highly integrated processes to manufacture steel and value-added products.
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Zekelman Industries Acquires Assets of EXLTUBE from SPS

Strategic Research Institute
Published on :
14 Nov, 2022, 4:46 am

Leading North American manufacturer of industrial steel pipe and tube products Zekelman Industries has entered into a definitive agreement to acquire the assets of EXLTUBE from SPS Companies. Headquartered in North Kansas City in Missouri in US, EXLTUBE manufactures hollow structural sections, mechanical tubing, standard pipe and specialty products. The acquisition strengthens Zekelman's steel tube and pipe manufacturing capabilities with the addition of three co-located mills and 530,000+ square feet of manufacturing and warehouse space in the strategically located Kansas City region.

The acquisition of EXLTUBE adds complementary products and manufacturing capabilities to the Zekelman family of companies. Zekelman’s Executive Chairman & CEO Mr Barry Zekelman said “This acquisition enables Zekelman to provide improved service and an enhanced product offering to customers throughout North America. The cultures of our organizations are highly complementary, and we look forward to beginning this next chapter with the talented team at EXLTUBE.”

JP Morgan is acting as exclusive financial advisor and Weary Davis is acting as legal counsel to SPS. BakerHostetler is acting as legal counsel to Zekelman.

Zekelman Industries includes the operating divisions of Atlas Tube, Picoma, Sharon Tube, Wheatland Tube, Western Tube and Z Modular. It is the largest independent manufacturer of hollow structural sections and steel pipe, and the top producer of electrical conduit and elbows, couplings and nipples in North America. Zekelman Industries delivers a broad range of pipe and tube solutions that build its customers' success.
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MOIL Posts 10% Growth in Production in H1 of 2022-23

Strategic Research Institute
Published on :
14 Nov, 2022, 4:48 am

India’s state owned manganese producer MOIL’s net profit declined by 55% YoY to INR 27.35 crore in the July-September quarter of 2022 as against INR 60.24 crore during the July- September quarter of 2021. MOIL’s sales declined by 24% to INR 235.99 crore in the quarter as against INR 311.73 crore during the previous year quarter. On the other hand, MOIL has registered an increase of 10% YoY in the production of manganese ore in H1 of the 2022-23 fiscal at 0.563 million tonne as compared to same period last year.

However, despite challenges being faced by the steel industry currently, MOIL’s operating profit before tax has increased 11% to 128.46 crore during H1 of 2022-23 fiscal. Likewise, the profit before tax and profit after tax have increased to INR 167.30 crore and INR 130.12 crore from INR 159.42 crore and INR 122.03 crore respectively in comparison to the first half of 2021-22 fiscal.

MOIL Limited is under the administrative control of Ministry of Steel, Government of India. MOIL is the largest producer of manganese ore in the country and operates eleven mines in Maharashtra and Madhya Pradesh. MOIL holds 34% of manganese ore reserves of the country and is contributing 45% of the domestic production. The company has ambitious vision of almost doubling its production to 3.00 million tonnes by 2030. MOIL is also exploring business opportunities in Gujarat, Rajasthan and Odisha besides other areas in Madhya Pradesh.

Like SAIL, MOIL is currently being spearheaded by a woman after MOIL’s Director Human Resources Ms Usha Singh recently assumed additional responsibility as MOIL CMD. Ms Singh has more than 30 years of diverse experience in SAIL, NMDC and MOIL and is an engineering graduate with an MBA.

Public enterprises selection board on 2 September 2022 has selected Mr Ajit Kumar Saxena for the post of Chairman & Managing Director of MOIL Limited. Currently, he is serving as Director Operations in Rashtriya Ispat Nigam Limited. PESB in the Selection meeting had interviewed three others apart from him including

Mr Rakesh Tumane, Director Finance MOIL

Ms Usha Singh, Director Human Resources of MOIL

Mr Sanjay Kulshrestha, Executive Director Rural Electrification Corporation
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Ovako Secures Environmental Permit for Hydrogen Plant

Strategic Research Institute
Published on :
14 Nov, 2022, 4:50 am

The Land and Environmental Court in Östersund in Sweden has approved and gave Swedish steelmaker Ovako the environmental permit to construct Sweden's largest electrolyzer for production of fossil-free hydrogen in Hofors on 7 November. The hydrogen plant will be in operation before the summer of 2023.

The electrolyzer for the production of fossil-free hydrogen will be installed at Ovako’s site in Hofors. The 17 MW plant will generate 3,500 cubic meters of fossil-free hydrogen per hour. The conversion to hydrogen will enable Ovako to reduce its CO2 emissions for steel production in Hofors by 50% from already low levels. The investment of approximately SEK 180 million is supported by the Swedish Energy Agency via the Industriklivet initiative. The plan is for local hydrogen production to be used in all of Ovako’s units where steel is rolled by 2030, provided that there is a good supply of fossil-free electricity.

The new hydrogen plant in Hofors will make Ovako the first in the world to heat steel with hydrogen prior to rolling, and is the next major step towards carbon neutral steel production by replacing LPG with fossil-free hydrogen. The technical solution will also enable large-scale and cost-effective production of hydrogen for applications like fossil-free freight using fuel-cell trucks. The investment is made in collaboration with Volvo Group, Hitachi Energy, H2 Green Steel and Nel Hydrogen.

About Ovako Ovako develops clean, high quality engineering steel for customers in the bearing, transport, and manufacturing industries. Our steel enables products that are lightweight, resilient and climate smart. Our sustainability ambition is high. It is a subsidiary of Sanyo Special Steel and a member of Nippon.
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JSW Steel’s Crude Steel Production up by 25% YoY in October

Strategic Research Institute
Published on :
14 Nov, 2022, 4:52 am

India’s largest steelmaker JSW Steel has reported standalone Crude Steel production for the month of October 2022 at 1.776 million tonnes, a YoY growth of 25%

Flat Products: 1.361 million tonnes, up 30% YoY

Long Products: 0.370 million tonnes, up 11% YoY

The capacity utilization improved to 93% in October '22 from 89% in September '22.
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ArcelorMittal Invest in Asturias Galvanizing Line to Make Magnelis

Strategic Research Institute
Published on :
14 Nov, 2022, 4:54 am

ArcelorMittal Spain is completing the remodeling of Galvanizing Line No 1 at the Asturias plant in Spain, which has involved an investment of more than 10 million euros, in order to be able to produce from January 2023 Magnelis, the metallic coated steel that offers exceptional resistance to corrosion.

Since May 2017, the date on which the adaptation of Galvanizing Line No. 2 was completed to be able to manufacture this product in this facility given the growing market demand, ArcelorMittal Asturias produces Magnelis in a range of thicknesses from 0.5 to 2 mm. After the reform, it will be able to cover most of the demand for Magnelis in the Iberian market, a product that has become the benchmark for the solar sector as it is used in the construction of infrastructures for photovoltaic parks.

ArcelorMittal's Magnelis product is metallic coated steel that offers exceptional performance in terms of corrosion resistance, providing optimal and long-lasting protection of the surface against wear and deterioration. Thanks to its unique chemical composition, Magnelis provides an exceptional level of protection on both coated surfaces and cutting edges, even in the most aggressive environments. Likewise, the self-healing effect of the Magnelis coating ensures the protection of the steel in uncoated edges, scratches and punctures.

The Magnelis product provides a level of protection up to ten times higher than that offered by galvanized steel and its benefits are substantially higher than those of other coatings with a lower magnesium content. Thanks to the high durability and adherence of the coating, the Magnelis product is an ideal material for various forming processes, including folding, stamping and profiling processes.

Finally, it also offers greater freedom to optimize part designs (thanks to Magnelis's ability to protect irregularly shaped surfaces), a lower Magnelis coating weight (depending on the environment) to achieve the same level of resistance to corrosion, protection of flat and irregular surfaces as well as cutting edges, and optimization of the logistics chain thanks to its simpler manufacturing process.

Magnelis is the ideal material for a wide variety of applications. Its use is currently being extended to other applications in various sectors, such as:

1. Road safety barriers

2. Applications in the agricultural sector, including construction materials for chicken coops, greenhouses, ventilation systems, trellis posts, etc

3. Industrial equipment such as cable trays, cooling towers, etc

4. Tubes and profiles intended for applications in the construction sector

Continuing with ArcelorMittal's firm commitment to offer products with a reduced CO2 footprint, Magnelis produced in Asturias will also be available under the Xcarb Recycled and Renewably Produced brand and as Xcarb Certified Green Steel.
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