November, 24 2006
SAIL clears SSP expansion plan
It is reported that Steel Authority of India Limiteds Salem Steel Plant has finalized the formalities of INR 1553 crore expansion project with INR 550 crore for steel melting and INR 900 crore for cold rolling complex. The expansion is coming up on 400 acres in the existing SSP complex. The expanded plant is expected to go on stream by the end of 2009.
The new and additional units include 50 tonnes electric arc furnace, 60 tonnes ADD converter with ladle furnace and single strand slab-caster, additional annealing and pickling line and grinding machine. The steel making facility would have the capacity to produce 180,000 tonnes of stainless steel slabs per annum.
As SAIL's alloy steel plant in Durgapur would supply around 190,000 tonnes of stainless steel slabs per annum to SSP, the plant's hot rolling mill would be able to process 370,000 tonnes of slabs each year.
After the expansion the cold rolling capacity would increase to 146,000 tonnes per annum.
TATA Steel likely to wait for decision on Corus
The board of TATA Steel met yesterday and after the meeting in a brief statement said that TATA Steel has not taken any decision in the manner speculated in the media and that the company is not making any other comments on this matter.
TATA Steel is likely to wait for CSN's formal bid before making any move. CSN is expected to complete due diligence before a Corus shareholder vote on the TATA Steels offer on December 4 and then make a firm offer.
CIL, SAIL & RINL to jointly scout for coking coal mines overseas
It is reported that Coal India Ltd, Steel Authority of India Ltd and Rashtriya Ispat Nigam Ltd are planning to jointly scout for overseas mining opportunities in metallurgical coal.
Mr PS Bhattacharyya CMD of CIL while participating in an interactive session with the Merchants Chamber of Commerce said that talks have begun with the other two PSUs in this regard and a special purpose vehicle might be floated for this purpose. He said that the countries on the scanner were: Australia, South Africa and Argentina.
RINL plans steel SEZ in Andhra Pradesh
Rashtriya Ispat Nigam Limited has proposed to set up steel special economic zone in Andhra Pradesh and has sought 2500 acres of land from the state government for establishing the SEZ. The SEZ would be in proximity to the steel plant and it would also get a port facility near to it to ease the supply of raw materials.
The proposed SEZ would have downstream units such as auto components, forging, wire rod and pipe fitting, for which the raw materials would be supplied by the Vizag Steel plant.
SAILs SSP increases SS sales by 65% in 7 months
Steel Authority of India Limiteds Salem Steel Plant has registered a 65% growth in production of stainless steel products during April to October 2006 at 44,125 tonnes. As per a company release, SSP has also registered a 127% increase in sales of carbon steel products at 68,214 tonnes during this period.
SSPs production of hot rolling mill and cold rolling mill have registered a growth of 12% at 1,01,027 tonnes and 35,826 tonnes respectively during 7 months of in current financial year.
TATA Steel bags Best Governed Company -2006 award
Asian Centre for Corporate Governance on has conferred the award for Best Governed Company 2006 to TATA Steel on its 5th anniversary.
The award was presented by Mr Phillip Armstrong head of global corporate governance forum Washington DC at Hotel Taj Mahal Mumbai. Mr Mervyn King chaired the awards committee and the members were a mix of eminent international and Indian personalities.
ACCG is a non profit institution launched in with a mission to promote global corporate governance principles of transparency, accountability & equity.
NMDCs net profit dips by 4.9% in Q2
It is reported that National Mineral Development Corporation has posted 4.9% YoY fall in net profit to Rs 5229 million for the quarter ended September 30th 2006 as compared with Rs 5497.6 million in July to September 2005 quarter.
Total income of the company stood at Rs 10346.8 million in the quarter as against Rs 10986.6 in Q2 of 2005-06. Sales turnover for the quarter was Rs 9484.7 million as against Rs 10607.3 million in the corresponding quarter last year.
L&T to finalize location for new shipyard by January end
Larsen & Toubro has announced its plans to set up a large shipyard with an investment of about INR 20 billion to capitalize on the expected demand for vessels with the growth in international trade,
Mr AM Naik CMD of L&T said that the company is looking at 4 to 5 locations in the coastal states of Tamil Nadu, Andhra Pradesh, Maharashtra and Gujarat and would arrive at a decision by January end.
HZL to enter into wind power generation
Hindustan Zinc Limited plans to setting up a wind power up to 75MW in Gujarat and Karnataka at an estimated capital cost up to Rs 4 billion. The project is likely to be completed in phases during 2007 and 2008.
HZL has also approved a de bottlenecking projects for enhancing zinc capacity by 88000 MT at its smelters, installation of balancing equipments at mines and setting up of additional 80MW captive power plant. The total estimated cost will be Rs 7,770 million and is likely to be completed by early 2008.
Both the above projects will be funded from internal accruals.
EU clears NLMK Dufferco JV
It is reported that EU regulators have cleared proposal of Novolipetsk Steel to form a JV with the US Duferco Participations Holding Ltd. that would acquire certain steel production facilities currently owned by Duferco in Europe and the US. The European Commission cleared the deal automatically after identifying no antitrust problems and receiving no complaints from rivals within a deadline of 25 working days.
As per a NL MK statement last month,the main companies likely to be bought by the JV include Duferco Farrell Corp in the US, Carsid SA in Belgium, Duferco Clabecq SA in Belgium and Duferco La Louviere SA in Belgium, Duferco Coating SAS in France, Sorral SA France, Duferco Transformation Europe in France and Acciaierie Grigoli SpA in France.
Bayi Steel denies signing takeover contract with Baosteel
Bayi Iron & Steel has denied the reports that its parent has signed a contract with Baosteel accepting a takeover bid.
On the other hand, Bayi Iron & Steel's shared dropped by 1.7% after the news of takeover although analysts believe that the takeover will be a breakthrough for China's steel industry consolidation.
Kumba Iron Ore to remain focused on iron ore business
Mr Ras Myburgh CEO of Kumba Iron Ore said that it will remain a pure iron ore company and that the task of his management team will be to place the company in the market and to drive its value from the iron ore business with which it is endowed.
Ads per reports Kumba Iron Ore plans to achieve an output of 70 million tonnes a year by 2015. Kumba Iron Ore produces 32 million tons of iron ore a year.
Atoun Steel orders equipments for Yanbu plant
Siemens VAI Metals Technologies has received an order from Atoun Steel for the supply and installation of all process equipment for a new minimill to be built at Yanbu in Saudi Arabia. The plant is likely to be constructed in 2 years.
The plant will be capable of producing a total of 1 million tonnes of liquid steel and half a million tonne of reinforcement bars and rounds per year.
Techint to supply gas system to Ternium Hylsa
Techint Goodfellow Technologies Inc has received an order for Goodfellow EFSOP from Ternium Hylsas Monterrey Plant. The system will be installed in a scrap preheating finger shaft furnace which operates with scrap and continuous DRI pellet meltdown conditions. This represents the first sale of EFSOP to be installed in an EAF furnace with continuously fed DRI.
Goodfellow EFSOP technology is the worlds leading off gas based process control system for EAFs. It measures and analyzes EAF off-gases (CO, CO2, H2, O2) continuously at the fourth-hole for real-time closed-loop process control of EAF steelmaking, resulting in improved operations, energy savings, lower conversion costs and safety benefits.
Ternium Hylsa is a steel complex based in Mexico with activities covering from the extraction of iron from its own mines and manufacture of steel to the production of finished products.
Ternium is the leading producer of flat and long steel products of Latin America and consolidates the operations of the steel companies Hylsa in Mexico, Siderar in Argentina and Sidor in Venezuela with an annual production capacity of nearly 11.6 million tons.
Mr Heale to join board of Kazakhmys
It is reported that Mr Simon Heale ex CEO of the London Metal Exchange will join the board of Kazakh copper producer Kazakhmys as a non executive director effective January 1st 2007.
Mr Heale was CEO of the LME from July 2001 to October 2006 and for much of this period was also a director of LCH Clearnet Group. Prior to his LME position, he was COO of Jardine Fleming and prior to that deputy MD of Cathay Pacific Airways.
Mr Vladimir Kim executive chairman of Kazakhmys said We are delighted to welcome a non executive director of Simon Heales stature onto our board. Simons experience as Chief Executive of the LME will greatly benefit our business as we seek to diversify into other commodities as part of our growth strategy.
French court orders partial halt to Goro nickel project
Metal Insider has reported that a court in France has ordered a partial halt to building work on the Goro nickel project in New Caledonia. The judges were ruling on a petition brought by the militant local Rheebu Nuu group for all work on the project to be halted on environmental grounds.
The judges in Paris said that while the project complies with New Caledonian laws, some issues relating to the storage facility had to go back for a formal decision by administrative authorities in the French Overseas Territory. The ruling stipulated that work on the waste storage site must stop within 48 hours under threat of a Euro 30,000 daily fine.
Goro is one of the few mega supply projects on the nickel markets short term horizon with anticipated production of 60,000 tonnes per year of nickel but it has already seen the start date pushed back from end 2007 to 2008.
Mittal Steel Temirtau to compensate families of miners
In a report Interfax-Kazakhstan news agency said that Mittal Steel will pay 10 years' wages to the families of workers killed in accidents in its mines in Kazakhstan in the past two years.
Interfax cited Mr Vassiliy Telnoy finance director as saying that the families of all miners who died on the sites of Mittal Steel Temirtau in 2005 and 2006 will soon receive compensation equivalent to 10 years.
Armada Group's steel division appoints new president
Armada Group's structural steel division prompted the Grand Rapids holding company has appointed Mr Steve Andre as company's new president. Mr Steve Andre was formarly working for Genzink Steel in Holland.
HR strip coil exports to South Korea increased
China's hot roll strip coil exports has increased sharply from China to South Korea. The total volum for the first 10 months was 91400 tonnes. There was threefold increase in exports to South Korea. The hot rolled strip coils in China is cheaper then domestic market.
