November, 02 2005
TATA Steel may increase Orissa plant capacity
TATA Steel, which signed a MoU with the government of Orissa last November to set up a 6 million tonne steel plant in the state, is reported to be planning to double its capacity to 12 million tonnes to match up with Posco in Orissa
It is reported in a daily that a preliminary draft proposal on the issue of doubling the capacity of Orissa plant has been prepared by a team and has been sent to the company headquarters for further examinations and discussions. If approved, TATA Steel may send capacity expansion proposal to the government of Orissa for necessary approvals.
Under the current terms and references of the MoU, which the company has signed with the Orissa government, TATA Steel will be setting up an integrated steel plant at Duburi in the coastal district of Jajpur in Orissa at an estimated cost of Rs 15,400 crores. The 6 million-tonne plant is scheduled to for completion in two modules of 3 million tonnes each
Vizag port lines up Rs 2,600 crores for development
The Visakhapatnam Port has drawn up a plan to create additional infrastructure facilities by investing Rs 2,600 crore over the next six years.
The developmental activities planned for the next three years include up gradation of iron ore handling facilities to handle 2 lakh DWT vessels, mechanization of the general cargo berth, strengthening of East Quay berths in the inner harbor to accommodate vessels with a draft of 12.5 meters, deepening of the inner harbor entrance channel and turning circle to allow passage for vessels with 12.5-metre draft, development of internal roads, revamping and up gradation of the port railway system and replacement of stacker
During last fiscal, the income of the port increased to Rs 501.87 crore and the income projected for 2005-06 is Rs 539 crore, based on the traffic estimate of 55.5 million tonnes.
Steel Exchange India on an expansion mode
Steel Exchange India Ltd's board has approved the expansion plan of the company by setting up additional furnace for enhancing Ingot manufacturing capacity from 90,000 TPA to 130,000 TPA.
It has also decided to set up continuous casting machine for production of Billets and increasing the power generation capacity flow from 8 MW to 12 MW.
JFE announce production cuts for Q1 of 2006
Japan's JFE Steel plans to cut production again in the first quarter of 2006. The company has reduced production of the fourth quarter of this year by around 500, 000 tons in a bid to reduce inventory levels.
According a company spokesperson, most production cut for hot rolled coil and the products are expected for exports to South Korea and parts of products are going to China and Southeast Asia.
At the same time, Sumitomo Metal Industries has also announced production cuts of 100,000 tons for the fourth quarter of. They have however not yet made a decision about production cuts for next years first quarter.
2006 looking better for Stainless Steel MEPS
A more than one million tonne increase in stainless steel production from China will help push world stainless steel production to 25 million tonnes this year, according to industry consultant MEPS. The higher production from China as well as India will more than offset what MEPS calculates will be a 3% fall in Western world production, where output has been cut in response to the worsening supply-demand balance.
Almost all western countries have been impacted by the oversupply implications of increasing Chinese output, with Japan, Korea and the European Union all expected to record lower production this year. Encouragingly, MEPS is anticipating all three to lift production next year as demand improves and the oversupply position is not as severe as is currently the case.
Only the US experienced strong enough demand to maintain production levels, though the increase in production next year is forecast to be small.
Elsewhere in 2006 MEPS expects Chinese production growth to slow, allowing Western production to grow by 3.5% and bringing total world production to 26 million tonnes.
Radioactive steel scrap kills 1 and poisons 100 in China
An elderly woman has died and her 13 year old granddaughter is seriously ill after being exposed to radiation from a metal bar a neighbor had picked up as scrap. Over a hundred others living nearby have been found to be suffering from the affects of radiation. The man who picked up the metal bar and his 9 year old son have been treated for radiation poisoning along with three others who were seriously affected.
The source of the radiation was found to be a metal bar, usually used in industrial X-ray equipment, picked up by their ground floor neighbor Mr Bai Yuhai. According to Mr Guo Weihua, from the provincial supervision station for the radioactive environment, Mr Bai found the bar on the coal heap in the community's boiler room. "There should be a lead protective layer on the outside, someone obviously stripped off the lead to sell it," Guo said.
Police in Harbin, capital of Northeast China's Heilongjiang Province, are investigating how the radioactive metal bar came to be thrown away without being properly processed.
China port backlog threatens economic growth
China, the world's largest iron ore importer, needs to clear the backlogs at ports that handle commodities used for steelmaking to reduce vessel delays and help sustain the nation's economic growth, according to analysts attending this week's World Shipping (China) Summit in Shanghai. As many as 300 executives, shipbrokers and analysts are meeting in Shanghai today and tomorrow for this year's World Shipping (China) Summit.
China may move 250 million metric tons of imported iron ore this year, 18 percent more than a year earlier, the ministry said. About 35 million tons of ore were lying at the country's harbors at the end of June, almost matching the highest level last year, the ministry said.
Vessels waiting to unload iron ore at Beilun, China's second-largest ore port were delayed by an average seven days in October compared with four days in September, according to Barry Mr Rogliano Salles, a Paris-based shipbroker. Delays averaged three days at Qingdao, the country's largest ore harbor.
If China doesn't address the shortfall in investments in dry-bulk ports, the country's economic expansion would ultimately be affected,'' said Mr Neil Davies, an analyst at Drewry Shipping Consultants Ltd. in London, which is co sponsoring this week's shipping summit. Commodity terminals have been partly ignored as container ports have been China's top priority because they handle high-value exports.''
Coking coal forecast reduced by Canadian analysts
Coking coal prices may fall 12% in 2006 as steelmakers in China trim imports of the material used in blast furnaces, Salman Partners Inc said. Coking coal may fall to $110 a metric ton in the year beginning April 1, down from $125 this year, Mr Ryan Crowther, an analyst at Vancouver-based Salman, said in a report on Oct. 28. Salman, one of western Canada's largest independent institutional brokerages, expects prices to fall to $90 a ton in 2007, $70 in 2008 and to reach a long-term balance at $65.
Annual contract talks between producers and buyers for next year are just getting started. The urgency of the purchases seen in 2004 is not apparent as we enter the current negotiating season,'' said Mr Crowther
Lower than expected shipments to China are a worrying signal'' to coal sellers, Mr Greg Barnes, an analyst at Canaccord Capital in Toronto, said in an interview. Barnes on Oct. 25 reiterated Canaccord's forecast for coking coal prices at $110 a ton next year. New supply and a lack of significant supply disruptions'' this year may set the tone for coking-coal contract talks that usually wrap up in the first quarter, Mr Barnes said. Snow avalanches that buried some railway lines in Canada and other disruptions in Australia in 2004 contributed to higher contract prices this year, added Mr Barnes. Higher prices encouraged Elk Valley and other Canadian and Australian mining companies to boost production and capacity, Mr Barnes said.
Fording Canadian Coal Trust, co-owner of the world's second biggest producer of coking coal, said on Oct. 25 that some buyers in China imported less than expected this year, opting to purchase cheaper supplies from mines in the country. Fording said Elk Valley Coal Partnership will sell 25 million tons this year, down 7.4% from a January forecast of 27 million tons.
The global supply of high-quality coking coal still remains tight,'' Mr Gordon Eberth, Elk Valley's VP of marketing, said. We aren't seeing significant quantities of new coking coal supply entering the market as quickly as expected because of delays in getting equipment, building infrastructure and finding enough qualified people,'' he said. Discoveries of significant new reserves of hard coking coal have been rare, Eberth said. Most new projects being considered are for lower-quality coal'' that sells for less than high-quality coking coal. Mr Ebereth, who declined to comment on details in the coal contract talks, said his company is also seeing signs of increased demand for coal from developers of integrated steel mills and coke ovens in Brazil, Germany and India.
US Steel industry monitors imports carefully
The US Steel Industry is currently paying close attention on the international over supply of steel products. This is so that they can monitor the effect steel imports will have on the domestic US market.
According to American Iron and Steel Institute (AISI) imports in September however totaled 2.195 million tonnes, down by 5.2% from the previous month. Finished steel imports accounted for 1.762 million tonnes, down 7.7%. The origin of the finished steel products was mainly from Malaysia, China, Thailand, Ukraine, South Korea and Japan. At the same time, some individual products such as plates in coil and hot rolled coils were up 44% and 30% respectively. Other imported steel products that rose compared to last year include OCTG, electro galvanized, cold finished bar, tin plate and other metallic coated sheet and strip.
The decline was, in part, due to the logistical problems as a result of the hurricanes that hit the US as some imports came to Houston. So maybe the data was a little late to be reported to AISI. On the other hand, some analysts believe that the overseas price is more competitive than the local market price. Others do not feel the same way and feel some products can still be export to US market.
Ukraine's anti monopoly committee approves Kryvorizhstal deal
The Ukrainian Anti Monopoly Committee has approved Mittal Steel Germany's purchase of steel giant Kryvorizhstal's stock Tuesday. The committee said this deal "would not lead to monopolization or significantly limit competition on the Ukrainian commodity markets." "The Anti Monopoly Committee has no questions to the tender's winner," committee chairman Oleksiy Kostusev said.
The world's largest steel producer, Mittal Steel Germany GMBH, won an October 24 auction for Ukraine's biggest steel mill with a bid of $4.79 billion for 93.02% of Kryvorizhstal shares. Mittal Steel will pay for 50% of the share package in November and will pay the balance in December.
Arch Coal temporarily suspends production at West Elk mine
Arch Coal's Mountain Coal subsidiary conducted a precautionary evacuation of its West Elk mine in Somerset, Colorado, late last week after elevated readings of combustion related gases were detected in a mined out area of the mine. West Elk notified the Mine Safety and Health Administration of the evacuation immediately, and MSHA and West Elk personnel are working closely and cooperatively at the site.
West Elk was in the process of moving its longwall equipment to a new "district," or reserve area, when the elevated gas levels were detected. West Elk is currently pumping nitrogen, foam and water into the affected area.
The longwall equipment is currently isolated from the affected area by permanent and temporary seals. MSHA and West Elk personnel are working together to address the incident and to determine when it will be safe to re-enter the mine. Following the recovery of the remaining longwall equipment, West Elk will permanently seal the old district where the elevated gas levels were detected.
"Our first priority will be to ensure that the mine is safe for re-entry," said Mr John W Eaves, Arch's executive vice president and chief operating officer. "Once that is accomplished, we expect the longwall move to be completed in a safe and efficient manner."
Mountain Coal Company's West Elk mine produces more than six million tons of low sulfur bituminous coal annually. Most of the coal is sold to utilities and independent power producers, who use the coal to generate electricity. St. Louis-based Arch Coal, Inc. is the nation's second largest coal producer, with subsidiary operations in West Virginia, Kentucky, Virginia, Wyoming, Colorado and Utah. Through these operations, Arch provides the fuel for approximately 7% of the electricity generated in the United States.
PC receives 12 SoQs for Pakistan Steel
The Privatization Commission PC has received 12 Statements of Qualifications SoQs from potential investors for the privatization of Pakistan Steel Mills Corporation PSMC. Earlier, 19 parties had submitted Expression of Interest EOI in response to the invitation to qualified strategic investors interested for acquiring 51-74% equity stake in Pakistan Steel Mills together with management control, on as is, where is basis.
The parties submitting SOQ are
1. Al-Tuwairqi Group of Companies, Kingdom of Saudi Arabia with Arif Habib Group of Companies, Pakistan
2 .Magnitogorsk Iron & Steel Works, Russia
3. Noor Financial Investment Company, Kuwait
4. Shanghai BaoSteel Group Corporation, China
5. Investment & Development Office of Government of Ras Al Khaimah, United Arab Emirates
6. International Mineral Resources, Switzerland
7. Aljomaih Holding Company, Kingdom of Saudi Arabia
8. International Industries Ltd, Karachi
9. Hassan Associates (Pvt) Ltd, Karachi with Med-Europe Commodities International SAL
10. Privilege Developers (Pvt) Ltd with SEKYRA AS, Czechoslovakia
11. Aqeel Karim Dhedhi Securities (Pvt) Ltd, Karachi
12. Nishat Mills Limited, Lahore.
A consortium led by Citigroup Global Markets Limited is advising the PC on the sale.
The PSMC is the countrys largest and only integrated steel manufacturing plant with an annual designed production capacity of 1.1 million tons. It was incorporated as a private limited company in 1968 and commenced full-scale commercial operations in 1984. The PSMC complex includes coke oven batteries, a sintering plant, blast furnaces, steel converters, bloom and slab casters, billet mill, hot and cold rolling mills, galvanizing unit and 165mw of own power generation units, supported by various other ancillary units. It is located 30km south east of the coastal city of Karachi, in close proximity to Port Bin Qasim, with access to a dedicated jetty, which facilitates import of raw materials. The PSMC manufactures a wide mix of products, which includes both flat and long products. The PSMC effectively enjoys a captive domestic market due to the prevalent demand-supply imbalance in the countrys steel industry, where demand has historically exceeded local supply.
China's Tonghua Steel to develop North Korea's iron ore deposit
Tonghua Iron and Steel Group, a mid-sized steel maker in northeastern China, has been granted rights to develop the largest iron ore deposit in North Korea, according to local government officials.
Tonghua Steel, a state-owned steel maker based Tonghua City in Jilin Province, will be granted 50 year exploration rights at the Musan iron ore deposit in North Korea, according the Jilin-based East Asia Economic News. Jilins Yanbian Tianchi Stock Holding Co. and Sinosteel Corporation will probably join the project.
The steel company will invest RMB 7 billion ($867.41 million) to launch the project in North Korea, RMB 2 billion ($247.83 million) for construction and RMB 5 billion ($619.58 million) for equipment and technology for the mining project.
Musan Iron Ore Mine, the largest iron ore deposit in North Korea, owns 7 billion tonnes of iron ore with an average grade of 66%. The Musan mine will provide 10 million tons iron ore to Tonghua Steel per year once the project is operational.
Tonghua Steel is capable of producing 2.52 million tonnes of steel products per year, and imports 1.62 million tonnes of iron ore yearly. However it is reported that Tonghua Steel is planning to increase steel capacity to 10 million tonnes by 2010, which means the company needs to increase iron ore supply.
Irans steel production capacity to be up by 1 million tons
Implementation of three governmental steel projects will increase the countrys production capacity by one million ton by March 20, 2006. The second phase of development plan at Mobarakeh Steel Co., renewal and renovation of National Iranian Steel Industrial Groups rolling mill and Danielis supplementary project at Khuzestan Steel are three governmental projects to come on stream by the end of this year.
Mobarakeh Steel Companys current capacity stands at 3.8 million tons and after the completion of development plan, its steel production would reach 4.2 million tons. The plan has so far experienced 97.2% physical progress.
Once the renewal project is completed, the National Iranian Steel Industrial groups rolling mill is expected to produce 470,000 tons steel annually compared to its present production of 105,000 tons. The plant has had 93.4% physical progress up to now.
The Khuzestan Steel mill will see an increase in production from the current 2,150,000 to 2.4 million tons annually while the physical progress stands at 96%.
NLMK starts tests at new hot dipped galvanized line
Testing at Novolipetsk Iron & Steel Works NLMK new 340,000 TPY hot dipped galvanized steel line has started. The new line will boost up NLMK's product range to include HDG in 1.5 mm to 4 mm thickness range. Commercial production is expected to begin early next year.
This new line was set up as part of a US$1.4 billion upgrading program. With the new line in production, it will increase NLMK's galvanized steel output up to 900,000 TPY
China to maintain high growth in iron ore production
China will maintain high growth in iron ore production in 2006 in a bid to meet the growing demand for it in the country's iron and steel sector, said a senior expert here Monday. China turned out 279.65 million tons of iron ore in the first three quarters of this year, up 29.6% YOY, and the growth momentum will be kept the whole year, said Mr Luo Bingsheng, deputy president of the China Iron and Steel Industry Association CISA.
Mr Luo said that China will control the growth in iron and steel output in 2006 and give priority to upgrading of quality, expanding of product varieties, reduction of energy consumption and transformation of the growth pattern.
The iron ore producers are actively expanding production capacity, which will help to strike balance between iron ore supply and demand in general, he predicted.
Siberian Coal output up by 6.5%
Coal producer Siberian Coal Energy produced 57.5 million tons of the fuel in the first nine months of the year, 6.5% more than in the same period of 2004.
Exports totaled 14.8 million tons in the period, the closely held company said on its web site Tuesday, without giving comparative figures. Most of the exports came from coal mined in Kuzbass and Buryatia.
Puda Coal announces contract for coking coal supply to Changzhi
Puda Coal Inc a leading supplier of China's highest grade metallurgical coking coal announced today that it has formally signed a supply contract with Changzhi Iron & Steel Company, Ltd., one of the largest state owned steel manufacturers in Shanxi Province.
Beginning November 1, 2005, Puda will provide Changzhi Iron & Steel with more than 40,000 metric tons each month or greater than 480,000 MT each year. The contract calls for an annual delivery that is 10 times larger than that of Puda's largest client in 2004, and the 480,000 MT to be delivered exceeds the total of 315,000 MT delivered across all clients in 2004.
While certainly the largest contract to date for the Company, it is but one of several sizable deals inked recently, and is consistent with Puda's strategic growth plan to increase annual processing capacity from today's 500,000 metric tons to 2.7 million metric tons by early 2006.
Puda Coal Inc, through its affiliates and controlled entities, supplies premium grade coking coal to the steel making industry for use in making coke. The Company currently produces 500,000 metric tons of cleaned coking coal annually, and management believes it is one of the largest coking coal cleaning companies in terms of capacity in Shanxi Province, China. Shanxi Province provides 20-25% of China's coal output and supplies nearly 50% of China's coke.
Krivorozhstal output down by 2.6% in 10 months
Krivorozhstal, Ukraine's largest iron and steel producer, decreased rolled metal production by 2.6% to 5.02 million tons in the first 10 months of this year against the same period in 2004.
Steel production dropped 4.5% to 5.73 million tons in the period in question and iron output decreased 4.3% to 5.1 million tons.
In October the company produced 524,000 tons of rolled metal and 542,000 tons of molten iron.
Privat selling Sukhaya Balka and Bagliykoks mines
The general director of Ukraine's Privat Group Mr Timur Novikov has confirmed that the group is going to sell Sukhaya Balka GOK and Bagliykoks. Sukhaya Balka is an iron ore mine while Bagliykoks produces coking coal.
According to Mr. Novikov, there are many offers being discussed at the moment. However, a final decision has not been made. He also explained the reason to sell these tow company is "they were surplus to the requirements of the group's Dnepropertrovsk Metal Works."
Gerdau Ameristeel boosts credit line to $650 million
The Tampa Company amended and restated its existing senior secured revolving credit facility. The amended facility has a 5 year term, maturing October 2010, and increases the existing revolving credit line from $350 million to $650 million. The debt is secured by the company's accounts receivable and inventories, a release said.
Gerdau Ameristeel is the second largest mini mill steel producer in North America with annual manufacturing capacity of more than 8.4 million tons of mill finished steel products, it said.
Steel Technologies has record year despite 90% drop in Q4 profit
Steel Technologies Inc posted record results for fiscal 2005, despite a sharp drop in fourth-quarter net income. Net income fell to $1.5 million from $15.4 million a year earlier. Sales for the quarter fell to $204.4 million from $239.2 million.
For the year, net income rose to a record $37.1 million from $35.2 million in fiscal year 2004. Sales for fiscal year 2005 rose to a record $1 billion from $786.9 million.
"In 2005, we achieved record sales and net income levels despite reduced demand and softer market prices in the latter half of the year," Mr Bradford T. Ray, Steel Technologies chairman and CEO, said in a news release. "Our margins were affected by utilizing higher-cost material in a declining price environment. In addition, the July August seasonal softness was more pronounced this year due to excess inventory throughout the supply chain. This trend began to reverse late in the quarter as our volume and pricing trends began to firm. "Looking ahead, we anticipate improved performance since our inventory is now more in line with current pricing trends. In addition, we expect demand to maintain better balance throughout the year."
Louisville-based Steel Technologies processes flat-rolled steel for various industries. The company has 20 facilities located throughout the United States and Mexico.
Evraz Group acquires 75% interest in Italian Clama SRL
Evraz Group has acquired 75% interest in Clama SRL, possessing 100% of capital of Italian Iron & Steel Works Palini e Bertoli SpA, for Euro 61 million, Evraz said. Earlier Evraz didn't disclose financial parameters of the deal closed in August this year.
Evraz has signed a memorandum to acquire 75% plus 1 share of Palini e Bertoli in May 2005. The deal was approved by the European antimonopoly bodies. The purchase was financed out of proceeds of borrowing and shareholders equity of Evraz Group.
Palini e Bertoli is one of the biggest producers of rolled iron in North and Central Italy. Company's consolidated revenue came to EUR 183 million with EBITDA of EUR 31 million.
Evraz Group is one of the largest participants of Russian steel and mining markets.
INIs HR facility to start production next year
South Koreas INI expects production at their new HR line to start next year. The main products produced will be steel plate for automobile usage. In order to secure steel slab supply, INI will sign an agreement with Australian and Brazilian producers.
In addition, they anticipate that fourth quarter crude steel production will reach 2.5 million tons and rolling steel production will total 2.13 million tons. So their fourth quarter sales volume is expected to be around 3% higher than the 2.18 million tons of the third quarter.
Chinese officials sell stock in coal mines
Faced by mounting coal mine disasters and a crackdown on coal corruption, about 4,500 civil servants and chiefs of state enterprises are unloading their colliery stocks. The coal mine disasters sweeping the country have forced central government officials finally to get serious about safety and order local officials to stop looking the other way from deadly mines.
The central government has demanded the public identification of mine shareholders. Local officials also have been ordered not to invest in the mines subject to local government supervision.
A senior supervision official said yesterday that 4,578 Chinese civil servants and heads of state-owned enterprises had withdrawn shares worth 473 million yuan (US$58.3 million) by October 20. Those who have withdrawn shares from coal mines include 3,002 civil servants and 1,576 state-owned enterprise leaders, said Mr Chen Changzhi, vice minister of the Ministry of Supervision.
Russian ministry slaps duty on SS from EU
Russias Ministry of Economic Development and Trade has prepared a resolution for the administration imposing a prohibitive duty on the import of nickel containing stainless steel. The resolution could go into effect before the end of the year. The Economics Ministry's resolution would impose a Euro 840 PMT duty on SS containing 2.5% or more nickel imported from Europe for three years.
The resolution was to have been submitted to the administration on Thursday, since under law, the ministry must complete antidumping investigations within one year's time. It was unable to do so, however, because the Finance and Justice Ministries has not finished conciliating the resolution. The deadline has, therefore, been extended for one month. It would go into effect at the end of the month in which it is published.
The Economic Ministry has been examining the question for a year, after receiving an enquiry from the Chelyabinsk Metals Combine, a Mechel company and supported by the Hammer and Sickle and Red October plants, which produce almost 80% of the stainless steel in Russia.
The enquiry indicated that European producers were selling nickel containing SS in the European Union for $1657 per metric ton, but for $708 per ton in Russia. As a result the import of SS from Europe rose by 52.2% in 2003 and 54.1% in the first half of 2004. Mechel's stainless steel production fell by 20% per year in 2003 and 2004 and the company halted its production at the beginning of this year.
Russia imports more than 40,000 tons of stainless steel per year, and produces about 80,000 tons domestically. About 90% of the import comes from the European Union, mainly from the Luxembourgian Arcelor and Finnish Outokumpu
Ore deposits put up for auction in Russia
For the first time, ten deposits of strategically important natural resources of gold, coal and nonferrous metals in Russia's Novosibirsk region are offered for auctioning after getting the nod from the Subsoil Use Federal agency on October 25, 2005. The auction will be conducted in two stages on December 15 and 23. Applicants are welcome till November 25.
Starting prices for the deposits are set for Krutikhinsky at RUR 134 million, Vostochny at RUR 160 million, Yzelinsky at RUR 20 million, "Zhila N 13" at RUR 5 million, Lapinsky at RUR 2 million, Phillipovsky at RUR 1,5 million, Barlaksky at RUR 300,000 and three deposits of placer gold at RUR 80,000 with bid increment of 5% from the starting point.
Diana Shipping Inc announces two Panamax vessel acquisitions
Diana Shipping Inc a global shipping transportation company specializing in dry bulk cargoes, today announced that it has agreed to purchase two Panamax dry bulk carriers, the sister vessels MV CMB Philippe and Hull H1307A.
MV CMB Philippe of 74,500 DWT, built by Hudong Shipyard in August 2004 is expected to be delivered in November 2005. Hull No.H1307A of 74,500 DWT, currently under construction by Hudong Shipyard is expected to be delivered in March 2006.
The vessels will be chartered to Bocimar International NV, Antwerp, Belgium, for 11 to 13 months at $21,000 per day gross, commencing from their respective dates of delivery to Diana Shipping Inc.
Upon completion of these purchases, as well as the previously announced acquisition of the Panamax dry bulk carrier MV Bolina (to be renamed Thetis), the Company's fleet will consist of 12 Panamax dry bulk carriers and one Capesize dry bulk carrier.
Diana Shipping Inc. is a global provider of shipping transportation services. The Company specializes in transporting dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.
PT South East Asia Pipe Industry wins 160 km steel gas pipeline
Indonesian pipe maker PT South East Asia Pipe Industry SEAPI has announced that it was awarded an $84.2-million contract by gas distributor PT Gas Negara to construct an offshore pipeline between South Sumatra and West Java.
"The 160-kilometer pipeline will deliver gas from Labuhan Maringgai in Lampung province to Muara Tawar, West Java," SEAPI CEO Mr Abas Suriawijaya said.
Mr Suriawijaya said in order to fulfill the contract, SEAPI, wholly owned by diversified PT Bakrie & Brothers, will be working with India's Welspun Gujarat Stahl Rohren. He said SEAPI, which will supply a 32 inch offshore pipeline for five months, will receive an 80% share of the net profit resulting from the project in its cooperation with Welspun.
Shahin Steel Plant to come on stream early November
The first phase of Shahin Steel Plant in Bonab, East Azerbaijan Province will come on stream in early November, Mr Majid Mahdavinia, Bonab's governor said
The first phase of Shahin Steel Plant is being built in a land area as large as 70 hectare and almost 90% of the first phase project work is completed. With commissioning this project, 400,000 tons of steel rods will be produced
Perus Aceros Arequipa 9 month profit drops 16%
Peruvian steelmaker Aceros Arequipa saw its net profit slide 16% to 71.6million soles (US$21.1 million) in the first nine months of 2005YOY, as higher sales were hit by spiraling production costs.
Third quarter net profit fell 46.5% to 18.3 million soles YOY, the company reported to the Lima Stock Exchange. Revenue rose 22.2% to 739 million soles in the first three quarters and 23.7% to 268 million in Q3, said Aceros Arequipa.
The company sold 131,600 ton of steel products in the third quarter, 30% higher than same-quarter 2004 but did not provide the sales volume figures for the first nine months.
Aceros Arequipa is based in the southern city of Arequipa and produces corrugated iron, wire, profiles and other steel products for the construction sector. The company has a second rolling plant in Pisco some 300km south of Lima.
AK Steel recycles waste materials in Ashland
AK Steel announced that a new recycling facility has been constructed at its Ashland, Kentucky Works to process and recycle waste materials from the plants blast furnace, coke making operation and continuous caster. The new facility is capable of recycling up to 250,000 tons of waste per year and recovering iron and carbon units that would otherwise be sent to a landfill.
Waste materials processed in the recycling facility are transformed into cold-bonded briquettes. The briquettes will be used as feedstock for the Ashland Works blast furnace which produces iron as a first step in the steelmaking process.
Mittal Steel funds Kellogg MBA scholarships
Mittal Steel Co. has established a $3 million scholarship program with Northwestern Universitys Kellogg School of Management, one month after deciding to locate its U.S. headquarters in Chicago. Starting next fall Mittal Steel will fund 20 three year scholarships for MBA students from emerging economies, including Africa, Asia, Central and Eastern Europe and South America. Students with a stated interest in those regions also are eligible.
This is the first corporate scholarship program with a focus on emerging economies at Kellogg, which in recent years has developed courses and a study and travel program aimed at fast-growing parts of the world, says Mr Robert Korajczyk, senior associate dean. The business school also has an extracurricular emerging markets club for students who are from or interested in those countries.
Yieh Mau to restart Yieh Hsing pipe mill
Yieh Mau Corp, a member of Taiwans E Group announced that they will be renting Yieh Hsings stainless steel pipe mill. According to the companys vice president Mr. Cheng, Yieh Mau will rent the mill in Southern Taiwan.
Production is scheduled to restart at the end of 2005. Operations at the mill have been closed for 4 years.
South Korean exports hit record high in October
South Korea's exports hit a record monthly high of more than 25 billion dollars in October thanks to strong overseas demand for cars, ships and machinery, government data shows. Customs cleared exports rose 13.4% YOY to 25.71 billion dollars. This is the first time the country's exports have topped 25 billion dollars in a single month, the commerce, industry and energy ministry said.
Imports rose 11.6 percent year-on-year to 22.78 billion dollars in October, the ministry said in a monthly trade report.
Exports of ships and machinery rose 45.5% and 27.9% YOY respectively last month. Exports of steel also jumped more than 10%.
Danieli EWR billet welding lines at Al Ittefaq SteelDanieli EWR billet welding lines at Al Ittefaq Steel
Danieli will supply new EWR Endless Welding Rolling lines to Al Ittefaq Steel rolling mills in Damman and Jeddah, for on line automatic welding of 150mm billets. Startup of the new facilities is scheduled for early 2007
Through on line automatic head to tail flash welding of billets at the delivery side of the reheating furnace, the EWR system enables endless-rolling operation at the mill, significantly benefiting plant productivity, efficiency, material yield and production costs.
This order will bring to three the EWR lines in Saudi Arabia and enlarges the Danieli scorecard list to a total of 16 units supplied or under supply worldwide since 1997
