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Pre Feasibility Report PRE FEASIBILITY REPORT FOR PROPOSED INSTALLATION OF SPONGE IRON PLANT (2X100 TPD), WHRB (2x10 TPH), INDUCTION FURNACE (1X7 T), HOT ROLLING MILL (1,00,000 TPA), SINTER PLANT (35 TPD), SUBMERGED ARC FURNACE (4.5 MVA) AND TG SET (1X4 MW) UNDER FORWARD INTEGRATION, EXPANSION AND PRODUCT DIVERSIFICATION PROGRAMME OF EXISTING MINI STEEL PLANT AT Palitpur Road, Village & P.O. Mirzapur, PS + District: Bardhaman, PIN -713102, West Bengal PROJECT PROPONENT: SALAGRAM POWER AND STEEL PVT. LTD. 29 Ganesh Chandra Avenue, 1st Floor Kolkata - 700013 NOVEMBER, 2017 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . CONTENTS 1.0 INTRODUCTION 2.0 THE PROJECT 3.0 INDUSTRY SCENARIO 4.0 LAND AND SITE LOCATION 5.0 MAJOR PLANT UNITS AND AUXILIARY UNITS 5.1 Sponge Iron Plant 5.2 Induction Furnace 5.3 Continuous Casting Plant 5.4 Rolling Mill 5.5 Sinter Plant 5.6 Submerged Arc Furnace 5.7 Power Plant 6.0 RAW MATERIALS, CHEMICALS & UTILITIES 6.1 Raw Materials 6.2 Fuel 6.3 Water 6.4 Other Utilities 6.5 Power Pre-feasibility Report 1 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . 7.0 ENVIRONMENTAL ASPECTS 7.1. Air Pollution Control 7.2 Water Pollution Control 7.3 Solid Waste Management 7.4 Noise Pollution Control 8.0 FIRE PROTECTION SYSTEM 9.0 GREEN BELT DEVELOPMENT OBJECTIVE 10.0 RAIN WATER HARVESTING 11.0 MANPOWER REQUIREMENT 12.0 PROJECT SCHEDULE 13.0 FINANCIAL DETAILS 14.0 CONCLUSION Pre-feasibility Report 2 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . 1.0 INTRODUCTION M/s Salagram Power and Steel Pvt. Ltd. (SPSL), a Private Limited Company, was incorporated on September 29, 2011, having its registered office at 29, Ganesh Chandra Avenue, First Floor, Kolkata - 700013. The Company was previously known as M/s Shyam Sel & Power Limited under Shyam Group of Industries. Shyam Group was subsequently demerged. Vide Memo No. 1983-7/WPBD-Cont(752)/99 (Pt.-II) dated 03.10.2016, West Bengal Pollution Control Board has recorded change of Name of the Company as M/S SALAGRAM POWER AND STEEL PRIVATE LIMITED (SPSL) for the existing Mini Steel Plant at Dewandighi, Bardhaman. The Mini Steel Plant is located at Mirzapur Village, about 5 Km away from Burdwan Town. Vide Consent Letter Number CO 100575, Memo Number 1212-7/WPBD-Cont.(752)/99 dated 29.06.2016 (and also Memo on Renewal of Consent to Operate dated 27.06.2014 and Memo on Change of name and correction of capacity dated 03.10.2016), WBPCB has granted the Company (SPSL) “Consent to Operate” for 3 years (from 01.07.2016 till 30.06.2019) this Existing Mini Steel Plant having DRI Kilns (3 x 50 TPD producing 45,000 TPA Sponge Iron), Induction Furnaces (1x4 T, 2x3.5T and 1x6 T producing 56.000 TPA liquid steel), one Twin Strand Billet Caster (54,000 TPA MS Billets), WHR Boilers (3x4.5 TPH), one AFBC Boiler (1X24 TPH) and Power Plant (1x8 MW TG Set). Salagram Power and Steel Pvt. Ltd. is promoted by Mr. Pawan Kumar Agarwal, Mrs. Santosh Devi Agarwal and Mr. Suyash Agarwal. Pre-feasibility Report 3 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . 2.0 THE PROJECT To take full advantage of improved market scenario in near future as projected by the Industry, SPSL intends to undertake forward integration, expansion and also product diversification of the Mini Steel Plant. Existing Process Route of DR-IF-CC (Direct Reduction – Induction Furnace – Continuous Casting) will be adopted for rationalization and ease of operation by existing manpower, which has already gained adequate skill and experience to operate these units. Additional manpower of required skill will be employed for operation and maintenance of new units under expansion. The Company is contemplating forward integration to produce TMT Bars and Rods, Flats and Structurals. It is proposed to install a Hot Rolling Mill of 1,00,000 TPA capacity. About 1,05,000 TPA of MS Billets will be required for production of above quantity of 1,00,000 TPA TMT bars and rods. Existing Twin Strand Billet Caster is having in-built capacity to produce 1,05,000 TPA MS Billets. No additional Billet Caster is therefore envisaged under expansion. About 1,10,000 TPA liquid steel (which is double of existing capacity) will be required for production of 1,05,000 TPA MS Billets. To meet above liquid steel demand, it is proposed to expand Steel Making Capacity by installing one No. 7 T Induction Furnace in addition to modernization / up gradation of existing 4 Induction Furnaces to higher capacity (3x 7 T + 1x6T) as indicated by Equipment Suppliers. Sponge iron is a major feed material for Induction Furnace Steel Making and constitutes about 80% of Charge Mix. Sponge Iron requirement will be about 98,000 TPA for production of 1,10,000 TPA liquid steel. The Company presently operates 3 Nos. 50 TPD DRI kilns to produce 45,000 TPA Sponge Iron. To meet additional requirement of Sponge Iron 2 Nos. of standard sized 100 TPD DRI Kilns will be installed. This will ensure continuous availability of sponge iron for steel making even if one of the kilns is under shut down for maintenance. Total Capacity of Sponge Iron after expansion will be 1,05,000 TPA. After meeting the requirement of 98,000 TPA Sponge Iron for steel making, about 7,000 TPA Sponge Iron will be available for Sale in Domestic Market. Existing 8 MW TG Set of Power Plant is designed based on steam generated in 3 Waste Heat Recovery (WHR) Boilers utilizing waste hot flue gases of DRI Kilns and AFBC Boiler burning Char / Coal / Husk. Char generation in existing DRI Kilns being insufficient to meet steam balance, the Company has to purchase costly fuel (Coal / Husk) for existing AFBC Boiler. Pre-feasibility Report 4 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . Proposed 2x100 TPD DRI Kilns will have WHR Boilers (2x10 TPH) All Char generated in 5 DRI Kilns (existing and proposed) will be utilized in the existing AFBC Boiler. Total Steam generation from existing and proposed WHR Boilers and existing AFBC Boiler will be about 57.5 TPH. Above steam will be sufficient to generate about 12 MW of Power. It is therefore proposed to install 1x4 MW TG set in the expansion stage increasing Power Plant Capacity to 12 MW. It is further proposed to diversify into production of Silico Manganese (Si Mn) by installing a 4.5 MVA Submerged Arc Furnace (SAF). To utilise fines generated during handling of coal and iron ore lumps / iron ore pellets (raw material feed to DRI Kilns), a 35 TPD Sinter Plant will be installed. Dust recovered from Bag Filters & ESP of DRI Plant and scales from CCP & Rolling Mill will also be utilised in Sinter Plant. Sinter produced will be utilised in Charge Mix to SAF. SPSL has rightly decided to expand the capacity of the Plant by installing additional Sponge Iron Kilns (2x100 TPD), WHR Boilers (2x10 TPH Steam), modernization / up gradation of existing Induction Furnaces, one additional Induction Furnace (1x7 T), one Rolling Mill (1,00,000 TPA) for forward integration, one Sinter Plant (35 TPD), one Submerged Arc Furnace (4.5 MVA) for product diversification and a TG Set (4 MW). Existing CCM is having adequate in-built Capacity. All existing Service Facilities will be suitably augmented as well as additional Service Facilities are proposed to be installed to meet the requirement of the Mini Steel Plant after Expansion. Configuration of Major Units of Existing Plant and Plant after Expansion is indicated in Table 2.1. Pre-feasibility Report 5 Salagram Power and Proposed expansion of existing Steel Plant at Palitpur Road, Village & P.O. Steel Pvt. Ltd. Mirzapur, PS + District: Bardhaman, West Bengal . CONFIGURATION OF MAJOR UNITS OF THE PLANT: TABLE 2.1 Total Present Sl. Proposed Units Production Product Existing Units Production No. under Expansion Capacity after (For Sale) Capacity * Expansion 3x50 TPD 48,000 TPA 2x100 TPD 350 TPD or Sponge Iron 1. Sponge Iron Sponge Iron Sponge Iron Kilns 1,05,000 TPA (7,000 TPA) Kilns 1x7 T Induction Furnace and modernization 1x4 T, 2x3.5 T7 T / up gradation of Liquid Steel 2. and 1X6 T 56,000 TPA 1,10,000 TPA existing Induction (Nil) Induction Liquid Steel Furnaces to Furnaces augment capacity (to 3x7 T + 1x6 T) 54,000 TPA 6/11 m, 2 Strand MS Billets for sale 1,05,000 TPA MS Billets 3. Continuous -100x100 mm, Nil (In-built (Nil) Nil) Casting Machine 125x125 mm & Capacity) 160x160 mm TMT Bars, Rods, Flats 1 No. and 4. Nil Nil 1,00,000 TPA Hot Rolling Mill Structurals (1,00,000 TPA) 1x35 TPD Sinter 5. Nil Nil 10,500 TPA Sinter Plant (Nil) 1x4.5 MVA Silico - 6. Nil Nil Submerged Arc 6,480 TPA Manganese Furnace (SAF) (6,480 TPA) 2XWHR Boilers Steam 7. 3XWHR Boilers 3x4.5 TPH 33.5 TPH (2x10 TPH) (Nil) Steam 8. 1x AFBC Boiler 1x24 TPH Nil 24 TPH (Nil) 1x 8 MW TG Set Power 9. for Captive 8 MW 1x4 MW TG Set 12 MW (Nil) Power Plant *Present Production Capacity is as per WBPCB’s Memos.
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