Feasibility Study Report on 50000TPY Blast Furnace Project

Guo ke +8613299042234 [email protected]

Page 1 /Total 118page(s)

Feasibility Study Report

on

50,000T/Y Blast Furnace Iron Making Project

Contact: Mr. Guo ke/郭珂

Email: [email protected]

Skype: guoke896884090

Mobile：+86 13299042234

Location: Xi'an City, Shaanxi Province, China

Professional: Submerged Arc Furnace and chain equipment, Electric

Arc Furnace and chain equipment, Blast Furnace and chain

equipment, Induction Furnace, Ferroalloys, Refractory Materials,

Ores, Metals and etc.

2015



Directory

Chapter I General

1.1 Overview

1.2 Project brief

1.3 Project construction necessity

1.4 The feasibility and advantages of the project implementation

1.5 Main design principles

1.6. Construction conditions

1.7 Selection of process schemes

1.8 Construction scale and product plan

1.9 Investment estimation

1.10 Technical and economic evaluation

Chapter II Market analysis

2.1 World nickel resources

2.2 Nickel and nickel alloy production

2.3 Nickel consumption

2.4 Nickel price

Chapter III Raw material process technology

3.1 Overview



3.2 Design scale

3.3 Process design

3.4 Raw material system of fuel consumption

3.5 Material working system

Chapter IV Sintering process

4.1 Design scale, working system and the product scheme

4.2 Production process

4.3 Main technical and economic indexes

Chapter V Iron making process

5.1 Overview

5.2 Process flow

5.3 Blast furnace production technology index

5.6 Main equipments of blast furnace system

Chapter VI Lime kiln

6.1 Lime kiln process introduction

6.2 Main raw materials\

6.3 Proposed scale

6.4 Installed capacity

6.5 Main technical indicators

Chapter VII Public auxiliary system

7.1 Supply and distribution facilities

7.2 Water supply and drainage facilities



7.3 Heating facilities

7.4 Ventilation and dust removal facilities

7.5 Inspection test

7.6 General layout

7.7Environmental protection and comprehensive utilization

7.8 Occupational health and safety, fire control

Chapter VIII Technical and economic analysis

8.1 Factory system and organization

Chapter IX Project implementation plan

9.1 Construction cycle planning

9.2 Schedule for each implementation stage

Chapter X Investment estimation and fund raising


10.2 Raising funds

Chapter XI Technical and economic analysis

11.1 Specifications

11.2 Basic data

11.3 Product cost

11.4 Investment recovery period



Chapter I General

1.1 Overview

1.1.1 Project name

50000 tons annual output blast furnace ferronickel (nickel metal

5000 tons / ton) project

1.1.2 Project construction company

*** International Indonesia Mining Investment Company Limited

1.1.3 Project construction site

*** Province of Indonesia, North Maluku located in the North

Maluku islands with an area of 33278 square kilometers is one of the

most concentrated areas of Indonesia's mineral resources.

1.2 Project brief

*** International Indonesia Mining Investment Company Limited, by

virtue of years of high-speed development in Indonesia coal electricity,

iron ore and the success of the project operation and the of

international bulk trade, have set a good example and get the objective

economic benefit, and trained a large number of talent teams from

mining to smelting and international bulk trade in Indonesia and

Southeast Asia.

This project is the project of *** International Indonesia Mining

Investment Company Limited nickel ore and smelting integration

phase I project, one raw material factory, 1 * 150m3 lime kiln, 1 * 52m2



belt sintering machine, 2 * 80m3, 2X3MW blast furnace gas power

generation and auxiliary power supply system, water supply and

drainage system, environmental protection facilities and fire safety

facilities etc. are proposed. The technology system is based on the

basis of the induced technology digestion, innovation and promotion

and the combination of Indonesia actual situation. This project takes

the environment friendly enterprise construction resource conservation

as important strategic objectives, based on a high starting point, high

efficiency and high level to promote the construction of Indonesian

nickel iron alloy base, shall make the contribution for the orderly and

scientific development of Iindonesia nickel industry.

1.3 Project construction necessity

Nickel as a strategic material, known as the "industrial vitamin",

plays an important role in the development of the national economy

and national defense industry. The main application is to manufacture

of stainless steel, high nickel alloy steel and alloy structural steel, and

widely used in aircraft, radar, missiles, tanks, ships, rockets, spacecraft,

atomic reactor and other military manufacturing; in the civilian industry,

it is often applied for structure steel, acid resistant steel, heat resistant

steel which are extensively used in a variety of mechanical

manufacturing industry, petroleum; Ni and other elements such as

chromium, copper, aluminum,and cobalt can be composed of nickel

base alloy and Ni Cr base alloy. Nickel base alloy and nickel chromium



base alloy are high temperature resistant, oxidation resistant material,

used in the manufacture of jet turbine, resistance, electric heating

elements, high temperature equipment structure parts; Ni can also be

applied in ceramic parts of anti-corrosion coating; Ni Co alloy is a kind

of permanent magnetic material, which is widely used in electronic

remote control, atomic energy industry and ultrasound technology and

other fields, nickel is used as hydrogenation catalyst in the chemical

industry. In the early seventies and the late nineties of last century,

global consumption of nickel fluctuated with war and recession, but

basically increased according to the average annual growth rate of

more than 6.5%.

Nickel ore types are mainly nickel sulfide ore and nickel oxide ore

(also called laterite nickel ore), nickel sulfide ore selecting is easier

than nickel oxide ore, mining nickel sulfide ore is main exploration, but

after years of exploration, the nickel sulfide resources are drying up,

nickel smelting companies around the world turns to focus on the

mining of nickel oxide ore resources.

1.4 The feasibility and advantages of the project implementation

1.4.1 Shortage of domestic nickel resources and the rapid

development of downstream nickel pig iron / stainless steel industry

provided the control condition of the operation integration mode.

1.4.2 The integration strategy of ore origin and product method

has obvious cost advantage



Nickel pig iron is an important raw material for production of

domestic stainless steel industry, nickel pig iron market supply

accounted for nickel metal supply 50% in 2010. Although the supply

has increased, due to Chinese nickel pig iron production mainly relies

on imports of ore and then processing, the current industry average

cost of about $9 per pound is two times the average cost of production

of global nickel manufacturers of the above, located at the high-end of

the global nickel cost curve. The integration operation of ore to

production of nickel containing pig iron in Indonesia makes nickel pig

iron cash cost expected to be reduced to $4.2 per pound, 50% less

than the domestic pig iron enterprises currently cash cost. The project

has the obvious advantage of cost competition and higher profitability

than the industry average level.

1.4.3 The integration strategy of ore origin and product is in line with

the strategic development needs

Indonesia has rich laterite nickel ore resources, but mine

development and downstream smelting is still in the early stages of

development. In addition to a small number of large

international mining group in the local operation,other mines of small

scale operations are very little further to the downstream extension

for construction of sintering or smelting factory. The

Indonesian mining law promulgated in 2009, since 2014, the important



commodities (including nickel) can be exported only by local primary

processing or deep processing ( nickel content for export should be

not less than 6%) . Indonesia nickel mine owners would have the

ability of processing and smelting enterprises to form alliances in order

to solve the problem of long-term mineral sales.

1.4.4 Chinese has stable and reliable technical advantage

Since 2005, China has tried a lot of small blast furnace

smelting iron and has gained rich experience and trained a large

number of professional smelting personnel and technical management

personnel, therefore, has reliable support for the blast furnace

smelting technology investment.

1.4.5 Project risk is controllable with ample cash flow and high

investment returning

Compared with other black and non-ferrous metal mines, the scale

of Indonesian laterite nickel ore exploitation investment is relatively

small, the project development risk is controllable. The project cash

flow and debt rate are low, the anti risk ability of the integration

operation is higher.

1.5 Main design principles

According to the Indonesian national policy on economic

construction and combined with the actual situation of the project, the

following construction principles are identified:



(1) The design conforms to the Indonesian

national current technology policy and industrial policy requirements;

(2) All professional designs meet the requirements of the relevant

design specifications of Indonesia;

(3) The process technology is mature, reliable, and advanced;

(4) The engineering has been carefully designed and saved

investment to meet the process requirements;

(5) To implement "three simultaneous" protection principle, all

kinds of pollution shall be subject to the governance of post discharge

standard.

1.6. Construction conditions

1.6.1 Main raw materials supply

Laterite nickel laterite ore supply: Indonesian mines, accounting

for about 70% of overall raw materials;

Limestone: Indonesia procurement accounted for the overall raw

materials, raw materials accounted for about 3% of the total.

Coke: China import, or using the Australian coking

coal with local lignite coke production accounted for the overall 23% of

raw materials.

Fluorite: Chinese imports less than 1%.



Brown coal: Indonesia, mainly used for power generation of about

2%.

1.6.2 Power supply conditions

Because the Indonesian power shortage, therefore consider the

use of diesel generator starting, blast furnace gas with local lignite fired

for plant power use, the installation capacity of 2X3MW. Blast furnace

gas calorific values 800~900Kcal.

1.6.3 water supply conditions

The project water source of production, life and fireproof is from

self built water supply station, water from the local river purification.

Water supply can fully meet the needs of water project construction

and project operation.

1.6.4 Traffic conditions

Plant the general location, ocean transportation is convenient, in

the island's coastal location near the pier.

1.6.5 weather conditions and seismic intensity

The local temperature is higher, and the others are equal to the

temperature of Indonesia beach. The monthly mean temperature is

26.5 - 27 degrees.

Annual average temperature is not high due to the moisture

content difference throughout the year of the region dry and rainy



seasons is little. For example, in November at noon on the highest

temperature is 31.9 degrees, and at the lowest temperature in May is

22.6 degrees in the night.

The local climate condition monthly records are shown in the table

below.

No. Climate Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

1 Rainfall (mm) 264 265 334 310 345 300 272 284 239 248 205 271

2 Riny days 20 14 23 18 18 20 20 20 10 11 12 18

3 Average

temperature 26.5 26.4 26.5 26.9 26.9 26.6 26.5 26.9 27 27 27 26.8

4 Moisture% 86 88 88 85 84 84 83 85 81 82 86 86

5 Wind speed 1.7 1.8 1.6 1.5 2.0 1.7 1.8 2.5 1.9 2.1 2.3 1.8

6 Max wind

speed 9.2 10.2 10.6 8.0 7.4 7.6 9.6 6.9 8.5 9.0 10.0 10.7

7 Wind direction NW NW S W E Nw E E E E E NW

Local air humidity is 81% to 88%, the average minimum occurred in

September, and the highest is in Feburay and March.

Basic earthquake intensity Ⅶ

1.6.6 Geology, geomorphology

1.6.6.1 The proposed project site, terrain to the elevation of 10-25

meters, slightly undulating.

The area belongs to the basic stability area. (Actual situation

according to the exploration report adjusted).

Information is provided from the relevant Indonesian customer,

analysis results are even soil distribution, stable layer, silty clay is the



main soil, the site has good stability. The site category belongs to soft

soil. Simple site hydrogeological, groundwater type is quaternary pore

phreatic, groundwater buried depth, generally 3.5 ~ 4.5m, annual

variation of 2 ~ 3.0m, the highest groundwater buried depth is 1.5m.

Atmospheric precipitation is the supply water, surface evaporation is

the main excretion way. Plant area groundwater is weak to moderate

corrosive to concrete.

1.7 Selection of process schemes

For present extraction of metal nickel of the oxidation of nickel

laterite ore, mature technique adopts hydrometallurgy, pyrometallurgy

and other special smelting method. Hydrometallurgy can be divided

into reduction roasting ammonia leaching process, high pressure acid

leaching process, atmospheric pressure leaching process, heap

leaching process. Fire metallurgy can be divided into RKEF method,

blast furnace, blast furnace smelting low ice nickel, and nickel base

direct reduction iron. The other processs of smelting method are

atmospheric leaching method, rotary hearth furnace method, method

of biological leaching, chloridizing segregation. Because of lack of

electricity, laterite itself characteristic and weak industrial base in

Indonesia near sea area, the blast furnace is more suitable for the

current development of Indonesia with mature industrial production,

the investment and economic benefit, environmental protection,



comprehensive considerations. So the plan is mainly on the blast

furnace process as the preferred scheme of the project, the following

discuss are detailed.

1.8 Construction scale and product plan

1.8.1 Construction scale and contents

The project total scale is proposed as one raw material factory, 1 *

150m3 lime kiln, 1 seat of 52m2 step sintering machine, 2 x 80m3 blast

furnace and corresponding iron cast facilities, power supply and

distribution system, water supply and drainage system, fire safety

facilities and environmental protection facilities.

The main construction contents:

(1) A raw materials plant (1 * 150m3 lime kiln), meet the 2 * 80m3 blast

furnace, 52m2 step sintering machine.

(2) the construction of 52m2 sintering machine design with coefficient

of 0.8t/m2·h, production 36.5t/set·h, sintering machine production

capacity of 280,000 t/a, 273,000 t/a sintered ore R2=0.5. The system

of sintering workshop is continuous work, daily three classes, each

class 8 hours, calendar operation rate of 87.7%, which is equivalent to

the host year working 320 days.



(3) built two sets of 80m3 nickel iron blast furnace, blast furnace

utilization coefficient from 0.9t/m3·d, with an annual output of nickel

(nickel containing 10%) 50,000 t.

1.8.2 Product scheme

The main products are the nickel iron ingot; an annual output of

nickel (nickel metal 10%) about 50,000 tons.

1.8.3 Covering area

District of 10,000 square meters production is needed.


The project total investment is￥25,0400,000.00 RMB.

1.10 Technical and economic evaluation

The main technical and economic indicators are summarised in

table 1-2.

Table 1-2 Main technical and economic indicators

No. Parameters Unit Qty Note

1 Products and capacity

Blast furnace ferronickel Ten thousands t/a 5 Ni 10%

2 Raw materials

Wet laterite Ten thousands t/a 42

Coke Ten thousands t/a 11

Limestone Ten thousands t/a 6.8



No. Parameters Unit Qty Note

Anthracite t/a 2.4

3 Fuel and power

Diesel oil for power generation and vehicle L/a 1050000

4 General layout

Factory covering area m2 239900

Building coefficient % 46.98

Green rate % 18

5 Labor quota Person 473

6 Main economic indicators

6.1 Total investment of the project Ten thousands RMB/a 25040

6.2 Sales revenue Ten thousands RMB/a 60932.2

6.3 Total cost Ten thousands RMB/a 25327.4

6.4 Operating costs Ten thousands RMB/a 19010.5

6.10 Gross profit Ten thousands RMB/a 5131

6.12 All investment recovery period a 1.82 Before

tax



Chapter II Market analysis

Nickel is a silvery white metal, with high mechanical strength,

good ductility, and difficult to melting and oxidation in the air and other

excellent characteristics, stainless steel and various alloy steel made

by nickel is widely used in aircraft, tanks, ships, radar, missiles,

spacecraft and civil industry machine manufacturing, ceramic pigment,

permanent magnetic materials and electronic remote control and other

fields. In the chemical industry, nickel is often used as hydrogenation

catalyst. In recent years, in the home appliances, communications

equipment, the use of nickel is also growing rapidly.

2.1 World nickel resources

Nickel resources in the world is rich, according to American

geological survey data in 2009, the world nickel reserves of

70,000,000T, based reserves 150,000,000T, mainly distributed in

Australia, New Caledonia, Canada, Russia, Cuba, Brazil, South Africa

and Indonesia and other countries. The top ten countries or regions, its

reserves and accounts for over 93% of the world's total storage. About

60% of them are laterite nickel ore, 40% is nickel sulfide ore.



Refer to table 2-1 and figure 2-1.

Figure2-1 World nickel reserves and reserve base

Talble2-1 World nickel reserves and reserve base

Unit: ten thousands tones

Turns Country and area Reserve Rreserve base

1 Australia 2600 2900

2 New Caledonia 710 1500

3 Russia 660 920

4 Cuba 560 2300

5 Canada 490 1500

6 Brazil 450 830

7 South Africa 370 1200

8 Indonesia 320 1300

9 Columbia 140 270

10 China 110 760



11 Philippines 94 520

12 Dominican Republic 72 100

13 Venezuela 56 63

14 Botswana 49 92

15 Greece 49 90

16 Zimbabwe 1.5 26

17 Others 220 610

World total(In million tons) 7000 15000

Laterite ore are mainly distributed within the two areas of the

scope of the north and south regression lines: one is Oceania New

Caledonia, eastern Australia, north to the south of Indonesia and

Philippines; another is in Central America and Caribbean. Nickel

sulfide ore are mainly distributed in three regions, namely, the

Canadian lakes and the Hudson Bay region, northern Russia, Norilsk

and the Kola off Western Australia.

Nickel resources in the world are rich with great potential for

prospecting. Cuba northeastern, Canada, Russia, to bury Norilsk New

Caledonia and Philippines Suri are high nickel mining world famous

nickel mine area. Estimates of the world's top 5 nickel producers are as

follows: Russia Norilsk nickel 18%, CVRD (vale) 17% BHP, Xstrata,

11% 9%, China Jinchuan 8%, the rest of the world 37%.



Nickel ore resources in China is rich, the national reserves of

7,600,000 t. Mainly distributed in the northwest, southwest and

northeast area, its reserves accounts for the national total reserves

ratio were 76.8%, 12.1%, 4.9%. Gansu nickel reserves most countries,

accounts for the nickel ore total reserves of 62%, followed by Xinjiang

(11.6%), Yunnan (8.9%), Jilin (4.4%), Hubei (3.4%) and sichuan

(3.3%).

Nickel resources in China is mainly copper sulfide nickel based,

accounting for the total reserves of 85 ~ 90%, nickel sulfide ores

average nickel content of more than 1% of the total reserves of 44.1%.

Relatively speaking, nickel oxide ore is relatively less, and the grade is

relatively low, the lack of competitiveness. Nickel resources in the

overall China deficiency, in addition to Jinchuan, mostly small lean ore.

2.2 Nickel and nickel alloy production

2.2.1 Nickel production

According to statistics, in 2009 the world mine nickel production

capacity is about 1,369,000 T, a decrease of 7.7% compared to the

same period. The main production countries are Russia, Canada,

Australia, Indonesia, New Caledonia. Among them. the Russian output

in 2009 was 274,800 T, accounting for about 20% of global output in

that year, ranking first in the world. Followed by Indonesia and

Australia, respectively accounted for 13.9% and 9% of



globalproduction. The main mine output world statistics are shown in

table 2-2.

The 2009, world refined nickel production capacity is about

1,318,000 T, a decrease of 2.3% compared to the same period. The

main production of production countries are China, Russia, Canada,

Japan, Australia, the yield of China's rapid growth of was 246,700 T,

ranking first in the world, accounting for about 18.7% of global output

of the year. The world's major countries refined nickel output statistics

are shown in table 2-3.

Since 2010, with the nickel price rebounding, most enterprises

stopped production during the financial crisis forced have started to

resume production, and the strike of Companhia Vale do Rio Doce

Canadian nickel project ended, the global nickel production increased

significantly in this year. According to INSG statistics show that in 2010

the global nickel production is about 1,420,000 tons, compared to 2009

increased by nearly 80,000 tons, with many of new nickel construction

projectsput into production, output is expected to increase substantially

in 2011, global nickel production reached 1,600,000 tons and more

than 180,000 tons in 2010.The global nickel new project put into

production in 2011, refer to table 2-4.



Table 2-2 From 1999 to 2009, the main countries in the world of refined nickel output Unit Thousands Tones

Year 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Russia 262 266 273 267 301 289 289 290 294 287 274.8

Australia 120 170 197 188 191 187 186 179 183 200 168

Canada 186 191 194 189 163 187 200 234 255 260 136.6

New Caledonia 110 128 113 100 112 118 112 103 125 103 91.5

Indonesia 76 71 118 143 144 136 135 140 229 193 190.6

Cuba 64 68 73 71 67 72 72 74 75 67 67

China 50 50 52 54 61 76 73 69 70 72 81.1

Brazil 33 32 46 45 45 45 37 36 37 38 32.8

Columbia 28 28 38 44 48 49 53 51 49 42 50.9

South Africa 36 37 36 39 41 40 42 42 37 32 34.4

10 Coutries in total 963 1040 1139 1140 1173 1198 1198 1218 1355 1291 1126

10 Coutries in total rated 91.1% 91.4% 90.6% 89.8% 89.8% 90.5% 88.8% 85.9% 86.9% 87.0% 82.24

World total 1058 1138 1256 1269 1307 1324 1349 1417 1559 1484 1369

Annual increasing rate -7.1% 7.6% 10.3% 1.0% 3.0% 1.3% 1.9% 5.1% 10.0% -4.8% -7.7%



Table 2-3 From 1999 to 2009, the main countries in the world of refined nickel output Unit Thousands T

Year 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Russia 238 242 248 243 264 261 268 274 267 260 246.5

Japan 132 161 154 158 163 169 164 152 161 157 142.8

Canada 124 134 141 145 124 152 140 154 163 168 116.9

Australia 84 112 128 132 129 122 122 114 114 108 108

Norway 74 59 68 69 77 71 85 82 88 89 88.6

Finland 53 54 55 55 53 50 41 47 55 51 40.8

China 44 51 50 52 65 76 95 108 220 171 246.7

New Caledonia 45 44 46 49 51 43 47 49 43 38 38.2

Cuba 38 40 41 42 39 42 42 42 44 35 33.4

Columbia 28 28 38 44 48 49 53 51 49 42 50.9

10 Coutries in total 861 924 969 988 1012 1035 1056 1073 1204 1117 1112.8

10 Coutries in total rated 83.0% 83.3% 83.7% 83.3% 83.5% 82.6% 81.5% 80.7% 83.0% 82.8% 84.4%

World total 1037 1109 1157 1187 1211 1252 1296 1330 1450 1350 1318.2

Annual increasing rate -0.4% 6.9% 4.3% 2.5% 2.1% 3.4% 3.4% 2.7% 9.0% -6.9% -2.3%



Table 2-4 Production of the 2011 global nickel new project

Project Country Product Expected output

Ambatovy Madagascar Electrolytic nickel 15,000T

Tagaung Taung Burma Nickel alloy 5,000T

Onca Puma Brazil Nickel alloy 20,000T

Barro Alto Brazil Nickel alloy 20,000T

Goro New Caledonia Intermediate products 15,000T

Ramu Papua New Guinea Intermediate products 15,000T

NPI China Nickel pig iron 60,000T

In 2009, the world has new 4 nickel mines, including Canada's 2 seats,

Chinese 1 seat, Finland 1 seat, all is sulfide nickel deposit. 4 mine reserves

totals in 54,000 tons, the amount of resources amounted to 2,907,600 tons with

the total production capacity of 56,700 tons / year. From 2009 to 2012, the

global mineral company has announced the expansion of 5 mines, which China

2 seats, Australia, South Africa and Finland all 1 seats, all is sulfide nickel

deposit. 5 mine reserves totals 865,000 tons, the amount of resources

amounted to 3,292,000 tons with the new production capacity of the total 59,500

tons / year. May foresee, in the next two years, the global nickel production

increase is a foregone conclusion.

2.2.2 Nickel alloy production

The worldwide production of nickel mainly metal nickel, nickel alloy, nickel

block and other nickel products



Nickel alloy is the product by fire process for treatment of laterite nickel ore,

100% nickel alloy is used in the production of stainless steel.

In the past few years, the world's major nickel alloy production countries

and regions are: Japan, New Caledonia, Columbia, the Republic of Dominica

and Greek. The desired nickel alloy production in Japan of nickel laterite ore are

totally dependent on imports, other countries and regions by the local mine

production.

With the Chinese stainless steel production capacity continues to expand

and rising nickel prices, in recent years the coastal area of Southeast Asia

Chinese using nickel laterite nickel alloy production enterprises has the rapidly

growed. However, with the national energy saving and emission reduction as

well as single nickel alloy products user constraints, nickel alloy production

enterprise's competition will be fierce.

2.3 Nickel consumption

Nickel consumption can be summarized as follows: stainless steel(60%),

nonferrous alloys (14%), alloy steel (9%), nickel (6%), (3%), other castings (8%).

From the consumption structure, the world nickel leading consumer market is

the metallurgical industry, accounting for more than 80% of total consumption,

stainless steel consumption accounted for above 60% of total consumption of

nickel, referring to figure 2-2. Therefore, the demand for nickel is particularly

high related with stainless steel production. According to the International Iron

and Steel Institute released data showing, global stainless steel output in 2007



compared with 5.1% growth in 2006, up to 29,800,000T. Prior to 2012, global

stainless steel output will grow at an annual rate of 6%. According to the

organisation, the yield increase parts mainly from China, China stainless steel

yield are far more than other countries. International Iron and Steel Institute

expected, Asia's stainless steel output increased by 11.8% to 16,850,000T with

the yield increased 400,000Tt in central and Eastern Europe, Western Europe,

and the Americas Africa stainless steel output will decline slightly. Global

stainless steel output in 2006 was 28,400,000T, an increase of 16.7% compared

to 2005. China now is the world's largest stainless steel consumption, in the

2008, the use of China stainless steel ratio is the sum of the past two years the

largest user American stainless steel consumption and Japan dosage.

Figure 2-2 World nickel consumption structure diagram

Compared with the electroless nickel used in production of stainless steel,

nickel alloy used for stainless steel production, due to the iron nickel alloy, and

its shape is commonly pill or flake, can improve the production efficiency of AOD

converter, so he is popular with the stainless steel production enterprises.



Since 2005, China has replaced Japan as the largest country in the nickel

consumption in the world, the other major nickel consumption states are Japan,

the United States, Germany, China Taiwan and South Korea. After a few years,

nickel consumption has been growing steadily, until the outbreak of the global

financial crisis in 2008. Affected by financial crisis, the global economic situation

is generally low, stainless steel demand led to the decrease of the nickel

consumption appeared obvious. Global nickel consumption of 1.297 million tons

in 2008, compared with1.421 million tons of 2007 decreased by 124,000 tons

with 8.8%. Global nickel consumption in 2009 is a slight rise from the previous

year, 1.306 million tons, 0.7% increase over last year. And from the point of

consumption in different countries or areas change, nickel consumption

increased in China, and many traditional nickel consumption power

consumption is decreased.

The world's major countries nickel consumption statistics are shown in table 2

-5.

Table 2-5 Unit: One Thousands T

World's major countries nickel consumption

No. Year 2001 2002 2003 2004 2005 2006 2007 2008 2009

1 Japan 199 170 188 195 171 188 196 185 148

2 US 129 121 117 128 128 136 162 121 92

3 German 103 118 95 95 116 106 110 90 62

4 China Taiwan 92 104 103 91 84 107 76 69 64

5 China 85 84 133 144 201 225 328 305 541



6 Italy 63 72 71 62 60 60 64 68 44

7 South Korea 59 96 113 123 118 101 71 76 93

8 France 49 58 46 34 32 32 31 28 15

9 Spain 48 50 48 48 48 60 42 41 24

10 Coutries in total 828 871 912 920 958 1016 1079 983 1083

10 Coutries in total

rated 72.8% 73.5% 73.2% 73.7% 73.8% 73.8% 75.9% 75.8% 82.9%

World total 1138 1186 1247 1247 1297 1377 1421 1297 1306

Annual increasing rate -2.9% 4.3% 5.1% 0.0% 4.0% 6.1% 3.2% -8.8% 0.7%

From the point of world supply and demand situation, the world nickel

consumption was 1.306 million tons in 2001 between 2009 and 2009

consumption increased by 168,100 tons with annual average growth rate of

1.8%. Global nickel production 1.327 million tons in 2009-2001 and 2009

consumption increase of 169,600 tons with annual average growth rate of 1.8%.

Visible basic global nickel consumption and production growth are synchronized.

From the domestic supply and demand situation, domestic consumption of

nickel in 2009 is 456,000 tons, average annual growth rate of 29.1% from

2001 and higher than that of nickel 26.4% average annual production growth

rate, domestic demand gap of nickel increased year by year. In recent years,

with the rapid development of China's economy, the demand for stainless steel

speeding growth, are the major cause of nickel consumption is increasing.

According to the relevant institutions analysis, global stainless steel

production in 2010 reached 30.15 million tons, which is compared with 25.03

million tons last year increasing by 20.5%, the expected in 2011 will reach 33



million tons. In 2010 China's stainless steel output reached 2010 tons,

accounting for 35.8% of global output, increased 18.4% year-on-year. Stainless

steel production of other main countries and regions such as America, Europe,

Japan, China Taiwan, also appeared a large growth, increased by 37%, 23%,

28.7% and 37% year-on-year. Therefore, with the improvement of the global

economic situation, stainless steel production is in the leap. The rapid

development of the stainless steel industry promoted the increase of nickel

consumption, and the demands for nickel stainless steel field also have obvious

improvement. The field of stainless steel to nickel consumption in 2010

year-on-year growth of 10-13%, global nickel consumption will also increase to

1.46 million tons. Global nickel market balance of supply and demand is shown

in table 2-6.

Table 2-6 Worldwide nickel market supply and demand

Unit: Thousand tons.

2001 2002 2003 2004 2005 2006 2007 2008 2009

Global

consumption 1138 1186 1247 1247 1297 1377 1421 1297 1306

Global

production 1157 1187 1211 1252 1296 1330 1450 1354 1327

Global balance

of supply and

demand

20 0 -36 5 -2 -47 29 57 21



China's

consumption 85 84 133 144 201 225 328 305 541

China's

production 50 52 65 76 95 108 220 171 247

China's supply

and demand

balance

-36 -32 -68 -68 -106 -117 -108 -135 -295

At present, to year of 2012 the global mining new increase production

capacity of about 360,000 tons shall be built, and the next few years, China

stainless steel production willnot continue to maintain the high speed growth of

nearly 10 years of state. Therefore, from the perspective of supply and demand,

the next few years market supply shortage situation the probability is very small.

In 2008, world refined nickel consumption is 1,297,000T, the average

growth rate of refined nickel consumption is about 3.4%.over the past ten years.

World nickel consumption the main countries or regions are Chinese (305,000

T), Japan (185,000 T), American (121,000 T), Chinese Taiwan (69,000 T),

Germany (90,000 T) and South Korea (76,000 t). In 2008 the six countries and

areas consumption accounted for more than 65% of the entire world's

consumption. In recent years, China nickel consumption grows very raoidly,

China nickel consumption in 2008 accounts 23.5% of the world consumption,

ranked first. The main areas of the world nickel consumption has shifted from

western developed countries and regions to the emerging economies in Asia,

such as China, South Korea, Taiwan and other countries and regions China.



2.4 Nickel price

2007 is not the ordinary nickel market year, whether it is the daily price of

nickel (May 10th three month futures price of nickel reached 52,000 U. S. dollars

/ ton), or average price (36,825 U. S. dollars / ton) are a high record. In 2008

May, nickel prices plummeted, nickel prices in October fell to historic lows,

stainless steel factory mass production, nickel alloy market rapidly shrinking, a

large number of enterprises ore heat furnace shutdown, crashed in May, and in

October the two month nickel prices, caused a fatal blow to China nickel alloy

industry. The new project nickel alloy is gradually stopped or delayed operation.

In 2009, affected by the economic situation in the big environment of the

nickel, sluggish demand in the first half of the year, almost half of the nickel

production in the parking state, LME nickel prices overall trend is upward shock

trend, the global steel industry began to pick up, and laid the foundation for the

nickel price rise. End of Feburay and March after fell below 9,000 U. S. dollars /

ton, and then the price of nickel nickel began, in the repeated shocks, breaks

through 20,000 dollars / ton, although later back somewhat, but in the end back

to US $19,000 / ton high. In 2009 LME nickel three month futures price for

14,690 U.S. dollars / ton, down 36% compared to the same period, average spot

price of US $14,662 / ton, down 35% yoy.

To 2010, in the macroeconomic environment greatly improved background,

LME nickel market rose a surge high and sweep forward market bull market.

Nickel price has made 34% of the increase in the first quarter, the two quarter



was a sudden turn for the worse, to the third quarter, subject to China implement

the "energy-saving emission reduction" target and the falling US dollar impact,

nickel prices rising trend is recovered. March annual LME futures nickel price is

21,900 dollars / ton rose 49% compared with $14,690 a ton in 2009. Nearly 10

years of international nickel (LME) spot prices as refered to figure 2-3.

In 2011 the global economy is still upward, global growth in 2011 is 3.6%,

fell 1.2% than in 2010, the developed countries and emerging market countries

increased by 2.2% and 6.4% respectively, according to the relevant agencies

predicted in 2011 China GDP growth rate is 9.2%. Country people's standard of

living and sustainable growth of the world economy and China, India in the

development of increased global demand will drive the metal further increased,

the price of nickel maintain a higher level will constitute a strong support.

Figure 2-3 the London metal exchange cash price chart

The world's major producers, investment banks and consulting institutions

in each year on a two years later nickel price forecast, but because of the nickel

price effected by supply and demand, exchange rate and speculative funds and

other multiple factors, it is difficult to predict the price of nickel. From the

prediction data of each institution in history, when the nickel price smaller



fluctuations,it is at most institutions forecast range, if the nickel price fluctuates

greatly, that whll be almost beyond the forecast range of all institutions.

Nevertheless, various institutions still to predict the price of nickel using various

prediction methods.

According to the laws of economic development and historical data, nickel

prices will not long remain running at high or low, but fluctuated periodically. At

present, nickel prices are on the rise, because the next few years there will be

no shortage of market supply, nickel price few beyond the historical high prices

may. But the main international currency devaluation of the dollar in the next few

years the road will continue, and laterite nickel ore cost itself is higher than the

sulfide nickel ore, nickel prices down space is limited. After the 2014 April began

the Indonesian government for nickel ore export restrictions, China last

inventory reduction,it is expected in the next few years that the trend of rising

nickel prices will be significantly enhanced, nickel price reasonable should be in

the $17,000 / ton to 30,000 U. S. dollars / ton, up and down, many of the

industry professional institutions predicted the nickel price should be in nearly

five years over $20,000. The scheme evaluation get $19000 as an investment

appraisal price.

Nickel prices for investment project evaluation should be adopted, should in

theory be a predictor of long-term average price, this price prediction and

present current price may have a certain gap, especially the current price in the

nickel price change cycle valley value or the peak, this gap will be more obvious.



Chapter III Raw material process technology

3.1 Overview

The design of this project includes the laterite drying kiln raw materials,

sintering raw materials, blast furnace raw materials, lime kiln raw material. The

blast furnace smelting raw material zone mainly service for 2 x 80m3 blast

furnace, assembled with the construction of 1 x 150m3 lime kiln and 1 x 52m2

step sintering machine production line.

3.2 Design scale

The blast furnace smelting raw material zone mainly service for 2 x 80m3

blast furnace assembled with the construction of 1 x 150m3 lime kiln and 1 x

52m2 step sintering machine production line, providing the original qualified raw

material and fuel. The annual production is 50,000 t blast furnace ferronickel

(containing nickel 10%). Sintering machine in the production capacity is 280,000

t/a, production requirement of blast furnace smelting of raw materials is 273,000

t/a; designed annual p laterite nickel ore rocessing capacity is 420,000 tons

(wet), the part of design includs wet laterite ore storage, drying, screening and

crushing processes and coke field, fusion reactor field and feeding facilities (for

sintering ingredients warehouse and blast furnace ore tank). Raw material yards

are all with rainproof facilities.

3.3 Process design

3.3.1 The main raw materials and fuels sources



The main raw materials, feuls for blast furnace smelting includes laterite

nickel ore, coke, lime, and limestone, coke powder required by sintering

workshop shall be obtained by coke sieving and vibrating screen, anthracite can

be added for lackaged. Sintered powdershall be transported by belt machine

directly into the sintering batching room, not in raw material yard transferring.

The main chemical composition sources of raw materials and fuel are as

follows.

1) Laterite nickel ore

Annual blast furnace demand is 420,000 t/a, all from the group its own

mines in Indonesia, the particle size is ≤60, shipped by the car to laterite ore

yard for storage, design the storage period of ~ 1 month. Laterite ore powder

material components are shown in table 3-1.

T able 3-1 Laterite ore powder material composition

Item Ni SFe SiO2 MgO

Laterite ore ～1.8 20～25 26～34 12~18

2) Quick lime

The annual need is 50,000 t/a, mainly used for adjusting the sinter basicity,

its chemical composition is shown in table 3-3.

Table 3-3 Quick lime composition

Item CaO SiO2 MgO Al2O3 CO2 H2O

Quick lime 85.0 1.30 0.70 0.85 11.97 0



As a result of moisture laterite nickel ore and with strong viscosity, the

purpose of mixing with lime in the process is dehydration

and alkalinity, lime ratio is 6-10%

3) Lime stone

The car transportation materials (outsourcing), annual consumption is

about 75,000 t/a, mainly used as a lime burning material and blast

furnace smelting fusion agent. The main technical indexes are shown in table

3-4.

Table 3-4. Lime stone composition

Item CaO SiO2 MgO Al2O3 CO2 H2O

Lime stone 45~55.22% ＜1 ＜1 0.02~1 42.81 2.0

4) Coke

Outsourcing

Table 3-5. Coke composition

C SiO2 Al2O3 CaO MgO FeO FeS (Fe)

84.0 7.05 5.44 0.45 0.15 0.30 0.27 0.40

3.3.2 Process comsists

The blast furnace smelting material area is designed for

annual processing 420,000 tons of nickel laterite ore, the design includes

wet laterite ore storage, drying, screening and crushing processes and coke

field, the fusion agent field and the feeding facilities.

The blast furnace smelting raw materials adopts traditional sintered



ore. Because the main raw material of Indonesian laterite nickel ore properties

in sintering is special, heavy moisture, up to about 40% (including free water is

about 30%, the crystallization water about 10%).

Due to laterite nickel ore transported to the factory has more

moisture, drying processing is necessary to carry out, using the process of lime

block and the wet laterite ore mixing for dehydration, lime adding about 5~7%

for 10 days of dehydration. Dried laterite ore shall be sent to the production area

for the first time screening (gross screen), screen pore diameter is about

100mm, after crushing and screening,the parts less than 30mm shall be sent

for the sintering plant, less than 100mm and greater than 35mm for the blast

furnace direct use, more than 100mm shall crushied.

1) Laterite ore field

Wet laterite nickel ore field is located in the laterite ore mining place,

there is no field in the production area, wet laterite according to the scale of

10,000 tons storage.

The open field main operating equipments: excavator, forklift.

2) Nickel ore drying area

Laterite nickel ore drying area is 50 meters X100 meters X9 meters of steel

structure workshop according to the dry material scale of 2,000 tons storage.

3) Driedlaterite nickel ore processing

The laterite ore from the mine is dried, transported to the production area

and sieved with 100mm sieving,those which >100mm shall be storaged

temporarily for a certain amount of crushing, less than 100mm shall be sieved



by rolling screening again, more than 35mm shall be sent for blast furnace

bunker stand-by, less than 35mm used as sintering material.

3.3.3 Process equipments configuration

To meet the needs of daily processing capacity of 600 tons of ore crushing

and screening system, apparatus is provided with 2 sets

of loaders, excavators and 1 the number of handling trucks and tape

machine number.

List of main equipment is shown in table 3-6.

Table 3-6. Raw material process main equipments

No. Raw material process system Quantity Working system

Remarks

1 Bar screen 2 Two shift system 40mm/10mm

2 Belt conveyor 2 Two shift system

3 Crusher 1 Two shift system

4 Roller screen 1 Two shift system

5 Loader 2

6 Raw materials sintering zone m2 1

7 Excavating machinery 1

3.4 Raw material system of fuel consumption

The raw material and fuel consumption are refered to the overview.

3.5 Material working system



The raw material system of blast furnace smelting year’s production

days 330 days, two shifts per day, eight hours each shift.



Chapter IV Sintering process

4.1 Design scale, working system and the product scheme

(1)Design scale

1x 52m2 step sintering machine is designed as uilization coefficient

0.8t/m2 · H , production capacity 36t/ · H,and annual production of finished

sinter quantity ability of 28t/a with ore requirement of 273,000 t/a . The sintered

ore R2=0.5, sinter, sinter size 5 ~ 150mm, which is larger than 25mm as raw

material for blast furnace, 10 to 15mm as the sintering bedding material, less

than 5mm as returning ore by the belt conveyor directly sent to the

sintering batching bin.

(2) Work system

The system of sintering workshop work for continuous duty, daily

three shifts, each shift 8 hours, calendar operation rate of 87.7%, which is

equivalent to 320 days of the year working .

(3) Product scheme

TFe：17%

CaO/SiO2：0.4

Sinterd ore physical properties:

Sintered ore size: 5 ~ 150mm (< 5mm less than 8%; the > 40mm < 20%);

Strength of sintered TUMBLER INDEX (+6.3mm): ≥ 67%

Finished sintered ore temperature: ≤150℃



4.2 Production process

Sintering machine process from the accept and crushing of the raw material

and fuel, fusion agent screening, batching, mixing andgranulating, material

bedding,ignition and sintering, thermal ore crushing, sieving and cooling and

sintered ore output process.

52m2 step workshop concludes fuel first crushing chamber, fuel second

crushing chamber, batching chamber, first mixing machineroom,second mixing

and granulating chamber, the main sintering plant, main sintering dust

removal,main ventilation room, main chimney,conveyor gallery, transfer

stations and public auxiliary facilities etc., two sintering production line plant

independent of each other, only sharing the belt corridor.

4.2.1 Fuel, fusion agent, iron content material acceptance and storage

Fuel (coke powder or anthracite powder), fusion agent (limestone), raw

materials (nickel laterite ore, dust and debris removed ) are convoyed to the

corresponding batching bin sintering mixing chamber with loader or dump

trucks.

4.2.2 Fuel Crushing

In order to ensure the qualified size fuel sintering (3 ~ 0mm), the design

adopts separate two section fuel crushing process.

Fuel (broken coal or coke) shall be into fuel intermediate bin, through

the motor vibration feeder in the lower part of the hopper evenly into the tape

machine, the iron removed by the top of the belt machine before fuel enters

the crusher in order to ensure the normal work of the crusher. Followed by



the belt machine transported into the fuel into the double roll crusher (φ750 x

500), four roll crusher ( φ 900 x 700) , crushed to 0 ~ 3mm, after

crushing about > 80% of the amount of fuel is less than 3mm.

4.2.3 Batching

Raw material and fuel will be batched to a certain proportion

of refined ferronickelaccording to the requirements of the sinter

chemical composition and supply situation of raw materials.

In order to ensure the correct batching, separate centralized weight

proportioning is adopted and automatic batching control system is by computer

control. Of which: raw materials used with the"disk feeder + electronic belt

scale (even speed)"batching; fuel using electronic belt scale (self control)

batching, limestone with "electronic belt weigher" of feeding, weighing and

batching.

Sintered shall be returned ore back to the batching chamber; dust ash in

the head precipitator, expand the precipitator and the step sintering

machine pipe shall fall into the water seal trough, wet material is added to

the mixture on a belt.

The mixed material will be added by the belt transport to the drum

mixer for mixing and granulating.

4.2.4 Mixing and granulating

The two sections of mixing and granulating apply mixing drum: the

first mixing for even mixture with specifications of the equipment withφ



2.8X7m;the second mixing is mainly suitable adjustment of water and balling

with specifications of the equipment withφ2.8X9m.

4.2.5 Material feeding

The pelletized mixture shall be transported to the mixing silo at the top of

the sintering machine, and fed through adjustable speed cone feeder. Cone

feeder and reflection plate feeding device shall spread the mixture evenly on the

trolley. Trolley material thickness is about 500 ~ 600mm.

4.2.6 Ignition and sintering

Sintering ignition adopts preheating ignition of blast furnace gas for

micro negative pressure ignition technology, furnace pressure is the micro

positive pressure.

Preheating and ignition thermal insulation plane is sector, furnace adopts

the lower open type box cover structure. The furnace body are relatively closely

assembled with the hearth.

Because the blast furnace coal gas calorific value is low, in order to

guarantee a certain combustion temperature and the combustion quality,the

designed blast furnace gas ignition combustion air is preheated to 400 to 450

℃ . At the same time in order to reduce the ignition gas and solid fuel

consumption, the design adopts the high efficient and energy saving preheating

burner. The ignition zone furnace top is provided with two rows of blast furnace

gas and blast furnace gas ignition burner, the preheated air through the swirling

flow burner shall be ejected in mixed combustion to ensure that the finished

sintered with better surface quality and higher rate of ignition.



After the ignition section (along the direction of sintering machine export 2

meters) is the insulating section, in order to improve the thermal insulation

effect, the furnace top is lower than the ignition section, ensuring

ignited material layer continue to fire, improve sinter quality. The

ignition temperature is 1150 ± 50 ℃ , the ignition time is 1min, the heat

preservation temperature 600 to 800℃, holding time of 1 ~ 1.5min.

Sintering machine adopts negative pressure suction deep bed sintering

process. After Mixture on sintering machine is ignited, negative pressure

ventilation sintering is operated, material layer thickness is 500 ~ 600mm.

4.2.7 Main ventilation and head dust removal system

In order to prevent environmental pollution, prolong the service life of

equipment and reduce the waste of raw materials, the main exhaust fan adopts

special fan. At the same time, two section type dust removal is set in front of the

blower (expanding precipitator + head filter), dust concentration after the dust

removal system is ＜50mg/m3, the collected dust as raw material recycling.

The main ventilation system consists of bellows, the smoke collecting ring,

horn shape exhausting pipe, expanding precipitator, head expand dust remover,

the main exhaust fan and the chimney.

Expanding precipitator specification is multi tube dust precipitator, head

dust removal is 80m2 four bag dust removal. Dust in the sintering machine, ash

pipe settlement expansion of dust remover and head precipitator collection

through the ash discharging pipe directly is discharged into the water seal

groove and the tank bottom by water seal zipper scraper conveyor, the wet



material shall be unloaded to the mixture belt into mixing machine room for

pelletizing.

The main exhaust fan exhaust pressure is 13kPa, volume 5500 Nm3/min,

cooling suction air fan volume 6000 Nm3/min and pressure 8KPa,. In order to

reduce the noise in the outlet pipe of a blower a silencer is provided.

Sintering main chimney height is 35m, outlet of 3m diameter (ID).

4.2.8 Sintering crushing

The sintered ore before screening should be crushed below 80mm in order

to create conditions for blast furnace sintering cooling and supply uniform

particle size, and to prevent large sinter ore groove jamming smash transport

equipment.

The design of sinter cake crushing equipment adopts φ1500 * 2400 single

roll crusher. The sintered ore cake after step sintering machine tail shall be

discharged into the single roll crusher to less than 80mm, and sent to the

thermal vibration sieve crushed by conveyor belt. About 20mm can be directly

into the cabin and the 6~20mm as bedding. Returned are ore directly sent to the

hopper by belt.

4.2.9 Screening and cooling of sintered ore

After crushing, the sintered ore falls directly on the SZR2575 hot ore

vibrating screen screening, the fine part (less than 6mm hot returning ore) shall

be screened from the hot sinter to ensure that the air permeability and reduce

the resistance and dust emission in the cooling machine and powder ore into the

blast furnace.



Thermal vibration sieves out the returning ore back to the batching

chamber.

Finish sintered ore shall be sent to single roll crusher, after crushing and

thermal vibration sieving for three levels, more than 20mm directly as the finish

sintered ore, less than 20 and greater than 6mm as bedding material, less than

6mm is sent to the sintering proportioning workshop via belt.

4.2.10 Sintering ore storage

Finished sintered ore is transported into buffer bin, directly to the blast

furnace ore tank, if the ore tank is full, into the buffer chamber, if the buffer bin is

full, it can enters the overflow of cold sinter belt and be sent to the yard.

4.2.11 Finish sintered ore groove

Considering the mismatch of the sintering maintenance and blast furnace,

the finish sintered ore groove buffer system is built with reserves of 2000t, so

that the sintering machine maintenance dose not affect blast furnace.

4.3 Main technical and economic indexes

The main technical and economic indexes of 1 * 52m2 step singtering

machine are shown in table 4-1

Table 4-1 52m2 step singtering machine main technical and economic index

No Items Unit Idex Remarks

1 Design size Set×m2 52m2

2 Step singtering machin

Effective area m2 52

Using coefficiency t/m2·h 0.8 Design value



Working rate % 87.7 Design value

3 Annual working days d 320 Design value

4 Annual sintering capacity ×104t 28 Design value

5 Sintered ore quality

TFe % 17

CaO/ SiO2 0.4

Particle size mm 6～150

Cold sinter powder content

（0-6mm） % =10

ISO drum (+ 6.3 mm) % =60

6 Original, auxiliary materials

consumption per year

Laterite nickel ore (mixed

material) ×104t 42

Unit consumption

1538 kg/t

Quick lime ×104t 4.13 Unit consumption

170 kg/t

Coke powder ×104t/a 2.43 Unit consumption

100 kg/t

Blast furnace gas ×104Nm3

/a 675.54

Unit consumption

27.8Nm3/t-s

Electricity ×106kwh 6.08

Unit consumption

25 kwh /t

Water (new) ×104m3/h 8.5 Unit consumption

0.35 m3/t

Compressed air ×104m3 0.42 Unit consumption

0.12 m3/t

Installation capacity 4200KW



7 Factory covering an area m2 20000

Note: Annual sintered ore design output 28, 0000 tons, more than blast furnace

ore 273,000 tons considering:

1. The matching issue of sintering and blast furnace production, material

storage space is reserved.

2, Sintering is affected by blast furnace and its own capacity.



Chapter V Iron making process

5.1 Overview

As the last process of blast furnace smelting, laterite nickel ore will be

nickel iron after this procedure. All kinds of prepared materials (sintered laterite

ore, metallurgical coke, limestone) respectively shall be put into the trough,

loaded into the skip after the blast furnace burden calculated to the ratio of

various materials set by the number of all kinds of material ratio of automatic

weighing device controlled by microcomputer and charged into blast furnace, a

series of physical and chemical reactions within the furnace process, after a

smelting cycle, nickel pig iron will be tapped from iron mouth, slag iron discharge

skimmer, then, follow the iron ditch into the cast iron machine casting into cast

iron pieces, completing the whole process from laterite nickel ore into nickel 9%

nickel and iron.

Phase one of the project is planned to build two 80 m3 nickel iron blast

furnace, the layout referred to general arrangement.

Blast furnace feeding material and fuel mixed as required and unload to

blast furnace ore tank storage with a belt; molten iron flows directly to the fixed

hot metal ladle – casting machine-- nickel pig iron; Blast furnace ore tank

storage is single row trough with separate screening and weighing under the

trough; bast furnace applies oblique bridge lifting skip feeding, skip volume 1.2

m3; double bell type furnace top charging equipment; blast furnace body is half



supporting shell structure, half a free-standing structure, nominal capacity 80 m3

blast furnace.

Three ball type hot blast stoves are adopted. Hot blast temperature ≥1100

℃, the exhaust temperature 250 ~ 300 ℃, combustion preheated air 150 ℃.

Dust removal system is equipped with gravity precipitator, pulse bag dust

catcher, net coal dust dustiness acuities is 50 mg/Nm3.

5.2 Process flow



5.3 Blast furnace production technology index

The blast furnace production technology indicators are shown in table 5-1.

Table 5-1 Blast furnace production technology index

No Iems Unit Parameters Remarks

1 Volume of blast furnace m3 2X80

2 Utilization coefficient t/（m3.d） 0.9

3 Annual working days d 350

4 Fuel ratio kg/t

5 Coke ratio kg/t 2200

6 Coal ratio kg/t

7 Unit iron air consumption m3/t 7200

8 Furnace air Nm3/min 380 Ventilation volume 400Nm3/min

9 Furnace top pressure MPa 0.06

10 The hot air temperature ℃ 1100

11 The output of pig iron

The daily output t/d 140 Metal nickel 1.3 tonl

Annual output Ten thousands t/a 5

12 Slag yield Slag ratios 4500kg/t

The daily output t/d 140

Annual output Ten thousands t/a 5

13 Gas yield

Output of gas of unit pig iron m3/t 7700

Hour output of gas m3/h 1078000

14 Furnace durable years years 6

5.4Blast furnace main products and by-products



The blast furnace main products and by-products are shown in table 5-2.

Table 5-2. Blast furnace main products and by-products

No. Items Unit Value

1 Nickel pig iron

Among them: nickel metal t/a ~44000

2 Blast furnace water slag (water content15%) t/a 264700

3 Blast furnace gas volume per hours Nm3/h 25000

4 Blast furnace annual gas volume

Among them: volume of hot blast stove 104Nm3/a

15000

10000

5.5 Blast furnace raw material

5.5.1 Raw material and fuel consumption (feeding amount)

Raw material and fuel consumption referred to table 5-3.

Table 5-3 Raw material and fuel consumption

No Items Ton iron unit

consumption(kf) Annual consumption (t/a)

1 Sintered ore 6000 ~27.3

Laterite nickel ore

(35% water) 1538 42

2 Coke 2200 11.1 (transferred 10%

powder included)

3 Quick lime 865 38925

5.5.2 Raw material and fuel condition



Table5-5 Laterite nickel ore element (%)

Item Ni SFe H2O SiO2 MgO P CaO

Laterite

nickel ore ～1.08 10～11.7 30～40 35～45 ＜30 ＜0.01 ＜3.0

5.6 Main equipments of blast furnace system

5.6.1 Ore trough

All the feeding material (coke, sinter, limestone) are sieved. Each material is

set with separate weighing hopper. In order to make accurate weighing,

weighing hopper adopts three point weighed. Undersize of the feeding coke and

ore are transported by belt for comprehensive utilization. Returning tape

machine parameters: transport capacity of 5 t/h, outside mounted electric drum,

motor power N = 3.5 kW, spiral tension device (S = 500).

5.6.1.1 Ore trough layout form

Trough points on both sides of the diagonal bridge layout, the top level 10 m,

trough adopts steel structure with canopy on its top. Two for sintering ore bin to

the west and the east for two coke warehouse, a lime warehouse, a original ore

bin with 2.500 m platform used for place of coke, sinter screening equipment

and weighing equipment. l Material above the sieve fell into the trough the

corresponding main ore belt machine by vibration in weighing hopper after

weighing. Adoption of the three types of materials screening selects the mining

vibrating screen through the calculate for convenient equipment maintenance

and spare parts. Sieve can be according to the material particle size and

matching different mesh size of the sieve plate. Undersize material have powder



storage hopper and transported to the bunker on the west side of coke powder

surge bin and the bin on the storage bin (powder storehouse and sintering ore

bin) regularly to the sintering mixing tank through the belt when it is full. Two

blast furnaces share a large oblique angle belt.

Materials feeding way is hoist oblique bridge, motor power 37 kw, hoist is 3.5

tons, frequency control of motor speed, skip volume 1.2 m3 fixed on the second

floor installation, first layer is set with the four pillars of the concrete, blast

furnace hydraulic station is placed at the first layer.

Main control room is in the blast furnace duty room, central control room,

located near in the pit, elevation of + / - 0.0 m on the floor. 5.5 m platform is set

on master control room with hot blast stove meter room, workers lounge,

instrument, etc inside. Blast furnace material hoist room is located on the upper

pit 5.50 m platform.

5.6.1.2. Process design parameters

According to the blast furnace smelting index calculation, all kinds of ore troug

tank volume capacity and storage time are referred to the table below:

Quantity Each trough

tank volume

Total effective

volume

Total amount of

ore storage

Total holding

time Proportion

Items

PIECE m3 m3 t h t/m3

Sintered ore 2 65.0 390 663 66 1.2

Coke 2 65.0 390 195 61 0.5

Lime stone 1 65.0 65 104 179 1.6

Original ore cabin 1 65.0 65 117 78 1.8



5.6.1.3. Equipment level

Under trough batching and top feeding equipment adopts PLC programmable

controller automatic operation. At the same time when setting manual operation,

maintenance and accident near the machine operation occurs, weighing system

adopts the electronic sensor weighing funnel, a variety of materials weighing

automatic error correction.

Due to material dustiness, screening and transportation process middle dust

quantity is little, so this design does not adpot dust removal facilities.

Under the concrete floor, a small amount of dust can be water washing.

5.6.2 Blast furnace body

Blast furnace ontology is an important part of the blast furnace production

facilities, in order to adapt to the requirements of blast furnace smelting

strengthen requirement, the furnace body design adopted the mature and

practical technology.

5.6.3Blast furnace inner linings

Type of design in the blast furnace is the core of the whole nickel iron smelting

system, different material characteristics, properties, and depends on different

blast furnace smelting varieties of different type, especially for nickel iron

smelting of high, medium, nickel smelting, and ordinary smelting of pig iron

smelting or other types of products, there is a larger difference, its

characteristics are mainly iron ore is low, light bulk density, low strength, low

melting point of slag smelting, low viscosity, soft melting zone, adding a certain

amount of fluorite to reduce the viscosity of slag, etc. And the operation of the



blast furnace is a difference, this design of the project distinguished from blast

furnace smelting of ordinary cast iron in the following aspects:

A, The blast furnace inside shape is stout, cooling mode can take the spray

cooling of the bof shell.

B, Large amount of blast furnace slag, requiring two set slag mouth and slag

height differing.

C, Slag viscosity is high, low soft melting zone needs more air pressure and

higher coke rate.

D, Because the nickel sinter dust is more, requiring environmental protection

dust collecting synchronously.

E, Design of blast furnace needs to choose more resistant to corrosion

refractories.

Blast furnace using coefficiency 0.9 t/m3·d.

Furnace main design parameters are as follows:

Sign Vu d D d1 H Hu/D Ventilation

number

Irion

mouth

Tapping

mouth

Unit mm 2700 3600 2700 11.6 3.22 82 79 8 1 2

5.6.3.1 Furnace main equipments

Furnace is half a free-standing structure, frame structure. Four pillars four

directions are evenly layed, but the iron slag not affected.

Wind, slag mouth device consists of large, medium and small set.

Furnace throat steel brick structure adopts one cast steel manufacturing.

Furnace is set 1 iron mouth; Slag mouth 2; Tuyere 8. Tumor detecting hole

6 on 3 layers.



5.6.3.2 Furnace lining structure

Inside the furnace base: external with clay brick filled with carbon ramming

material.

Furnace bottom and hearth: using low porosity self baking carbon brick,

masonry masonry composite corundum ceramics.Iron mouth, slag mouth and

tuyere zone: combination of compound corundum brick masonry.

Bosh, belly and lower furnace body part: densed type clay brick masonry.

Furnace body upper part: leaching phosphate clay brick masonry.

5.6.3.3 Furnace body cooling

The lower part of furnace adpots shell spray cooling.Furnace body, furnace

waist outside the furnace spray cooling.

To protect the furnace top without bell equipment and gas dust removal

filter bag, the blast furnace gas sealing cover with water spray device is set at

the bottom, when the temperature of the flue gas is more than the set value,

cooling water shall be by mannual; The temperature is lower than the set value,

the water manually stops.

5.6.3.4 Blast furnace water flushing slag system

Two blast furnace shares a water slag line. Water slag pool is 30 meters

X12 meters with 12.5 meters 5 tons on single-girder crane,water slag can be

seized directly sent to the vehicle to out of the court. About slag, we also

designed the other two sets of dry slag processing system, when the slag

catching machine failed or no water, blast furnace dry slag disc and the cold

slag can be loaded away.



5.6.3.5 Thermal detection

Furnace cooling water set temperature, flow rate and pressure testing; Top

set temperature and pressure detection; The furnace bottom and hearth

masonry set temperature detection. Various parameters by computer collection,

processing, storage and output, and the transfinite alarm

5.6.4 Blast top feeding system

5.6.4.1 Oblique bridge

Adoption of skip oblique bridge feeding, truss structure is used, oblique bridg

angle is about 60 °. Skip the effective volume is 1.0 m3, skip trip about 35 m,

oblique bridge is installed on the top platformφ 700 mm rope wheel.

5.6.4.2 Hoist room

Material hoist room is located in above the pit + 5.50 m the elevation on the

top of the chute, equipped with hoist, lifting speed 1.35 m/s, the power of 37 kw

ac frequency conversion motor drive.

5.6.4.3 Top feeding equipment

Adopt double bell top charging equipment. Controlled by electrohydraulic

push rod with large and small opening

5.6.4.4 Furnace top material detecting rod

Assemble with 2 sets of chain stock rod, symmetrical layout. Two sets of stock

rod hoist arrangement in the room.

5.6.4.5 Top pressure equalizing and radiation equipment

Topt pressure container set an equalizing equipmen, an equalizer using half

a clean gas. Equalizing valve and pressure relief pipe valve opening and closing



adopts hydraulic transmission.

5.6.4.6 Top equipment hoisting maintenace facilities

Set manually hoist above the top of the hopper, gas descending pipe is

equipped with lifting point, top equipment can be lifted from the ground to the top

platform or installation position.

Blast top hydraulic station is located in the skip hoist room side. Blast top oil

lubrication station is located in the roof platform.

5.6.5 Tuyere platform and iron field

Tuyere platform and the tapping field is overhead cast-in-place reinforced

concrete structure with factory building cover, factory building cover using 3 mm

thick colored steel structures.

Slag field is equipped with one set of the 5 t bridge crane, span 13.5 m.

Molten iron flows directly from iron mouth to hot metal ladle after the slag

scraped, and then delivered to the foundry with 15 tons single-girder crane lifting

to the start pouring casting platform.

Water slag groove is at the other side of the blast furnace ore tank, all the

rushed blast furnace slag can be flushed into water slag as raw material or slag

brick.

Tuyere platform is equipped with one electric mud gun,one manual iron

mouth opening machine, two manual hanging blocking slag machine.

Iron mouth is in the field of iron on the location of the center line of partial

80, angle with the center line of the high and lows lag mouth ~ 900 and 1800,

the main iron ditch length 5.5 m, grade 8 ~ 10%.



Blast furnaces, hot air stoves and bag dust removal adopt a centralized

control room.

5.6.6 Gas dust removal

Two gas sealing cover export tubes are set at the top blast furnace wtih

asending pipe, descending and gravity dust remvoal device.

Gravity precipitator adpotsφ4000 diameter, the upper is set with 900 mm

gas shutoff valve to cut off the gas when accident occurs.The upper gas shutoff

valve is set with a φ219 mm gas radiation tube. Each valve adopts manual

open.Gravity dust remvoal device adopts a DN350 electric discharging ball for

discharging. Blast furnace top are set with twoφ300 mm top tossing in valves

with manual drive hoist.Gravity dedust gas outlet radiation tube set a 300 mm

with a 300 mm tossing in gas valve by manual drive. Bag-type dedust adopts

outfiltering style bag dust removal, the tube body φ2800 mm and 118 pieces of

φ130 mm dust filtering bag with material Fluorine mae and density of 800 g/m2,

a total of five cylinders, each cylinder filter area is 289 ㎡, filtering load is 14.43

m3/㎡.h with nitrogen reverse blowing, nitrogen making machine power 55 kw,

two blast furnaces shares a nitrogen chamber, blast furnace bag dust goes to

tank bottom by motor vibration, stands after water, load by mannual.

5.6.7 Hot blast stove system

According to 3 rotary cutting type top burning ball type hot blast stove.

Main hot blast stove technical performance is shown in table 4-5.

Table 5-5 Ball type hot blast stove technology performance tables



No. Items Unit Quantity Remarks

1 Hot blast stove seat number Set 3

2 Hot blast stove height m 15.141

3 Hot blast stove steel shell

inner diameter m 4974/4000 up/down

4 Regenerative chamber area m2 7.0649

5 Combustion chamber area m2 10.822

6 Pebble bed height m 5.8

7 Ball quantity of each hot

blast stove t 23+57 f60，f40

8 Each hot blast stove

heating area m2 3686

9 Blast heating area per m3 m2/m3 49.1 150Nm3/min

10 Amount of ball possession

of per blast m3 kg/m3 933 3 set

11 Heating area per m3 blast

furnace volume m2/m3 134 3 set

12 Hot air temperature ℃ =1100℃

13 Exhaust gas temperature ℃ 250～300

This system design considers:

Hot tuyere adopts pipeline brick masonry, burning mouth with phosphate

refractory castable precast bricks masonry or on-site pouring. Hot air pipeline in

brick pipes.

Combustion air adopts two blast furnaces, set three combustion fan (2 in

operation 1 for prepareation)

Hot blast stove chimney height 35 m, upper gas export 1 m in diameter.



Hot blast stove is also set up the perfect testing instruments; two working

one sending system, hot blast stove is equipped with semi-automatic and

manual operation two ways hot blast stove adopts electric valve transmission.

5.6.8 Power system

Two blast furnace roos share a fan 2 in operation 1 for prepareation, all are

centrifugal blower, flow volume 400 m/min, pressure 1.7 Mpa, assembled to

1000 kw motor, frequency conversion start, the wind room 21 meters X18

meters, orbital plane 9 meters high. There are 10 tons of single-beam crane

above.

5.6.9 Slag treatment facilities

Slag processing system adopts the two share a high slag water system,

water flushing pool 30 meters X12 meters X3 meters, slag pool has a span of

12.5 meters above, 5 tons slag holding machine for the agriculture vehcle

transporting away. Close to water flushing pool is a 12.5 meters X6 m residue

muddy pool, the residue flushing after precipitation is for hot water pump

circulation use. Two hot water cinder flushing pump 1 in operation 1. When the

water pool failed, the blast furnace’s two respective spare water cooling dry slag

dics can be applied, dry slag after water will be loaded away.

Direct water flushing quench process, simple and practical. water can be

circulated.

Flushing quenches slage water: an average of 450 m3 / h, maximum 750 m3

/ h.

Slag water ratio: 1(7-10)



Water pressure: 0.25 MPa

New wate additonr: 0.7 m3 / ton slag

Residue pools is set a gantry crane above (Q = 5 t, Lk = 13.5 m), water slag

transported by car.

5.6.10 Cast iron workshop

A horizontal length of 30 m double chain belt iron casting machine for 2 x

80 m3 blast furnace, cast iron machine production capacity of 400 t/d

5.6.11 Cast iron machine technical performance

Double chain belt iron casting machines are for 2 x 80 m3 blast furnace,

cast iron machine production capacity of 400 t/d, sprocket center inclined 30 m

long.

Hot metal in blast furnace production will flow directly into the hot metal

ladle, the craped slag flows into the cast iron machine after iron groove and then

into hot metal ladle and then pours into the double chain belt roller type casting

machine into pieces. The hot metal in the mould attaching to the chain belt

moved to storage tank side by side; mold on the chain belt of three consecutive

area with spray cooling is made to "pig iron"; Iron blocks in the cast iron machine

chain belt end shall fall into iron chute, falling into a cast iron machine export

iron library, as ingot completely cooled, the library door will directly open, the

iron shall fall to the skip.

Pig iron piece shall be transported to finishing, packaging workshop,

cooling, storage, set aside. To make the cast iron is easy to separation from the

mold, before the returning to machine casting, empty chain belt mold under the



machine shall be sprayed lime coating. Cast iron mold spray system is equipped

with lime, slurry material library, raw material transported by car and

proportioned with water and sprayed to iron mold.

Under the nose operation platform, when molten iron is casting iron and

slag water spray cooling, large particles shall be collected with iron slag box,

hoisted and sent out.

After cast iron mould sprayed slurry, each chain belt is dryed by waste heat

air removing the water casting exists in mold. When cast iron machine theis

initially open, the mold, iron flow groove are dried by drying system. Drying

system uses coke oven gas as fuel.

Cast iron machine has a cooling system. Spraying system can cool liquid

iron, clean the machine. There is also an iron slag cooling system, to ensure the

safety of the overflow when filling mold iron. Cast iron machine area water

supplies is from circulating water pump station, cooling, spray iron slag,

drainage after washing, and shall be drained through the pipe to the tank and

circulating pool.



Chapter VI Lime kiln

6.1 Lime kiln process introduction

Lime kiln is the use of blast furnace gas to make limestone into lime

calcination production process between 850 ~ 1200 ℃. Lime is mainly used to

remove excess water in the wet laterite nickel ore. Lime kiln has shaft kiln, rotary

kiln, sleeve kiln, myers kiln. After comprehensive consideration of blast furnace

smelting characteristics and investment, we adopted vertical efficient active lime

kiln developed by ourselves, adopting the positive pressure operation of blast

furnace gas calcining kiln. Lime is the fusion agent of blast furnace and sintering

machine production can also be used as a strong water absorption function for

laterite nickel ore dehydration. Its main component is calcium carbonate

(CaCO3), limestone and lime (CaO), CaO as the main ingredients of lime, the

basic principle is the high temperature decomposition of calcium carbonate in

the limestone into carbon dioxide and calcium lime, reaction equation is CaCO3

= CaO + CO2-42.5 kcal. Its process is that the qualified particle size (40 ~ 80

mm) of lime stone through screening measure to the car by the hosit into the

hopper on the lime kiln, through preheating it is decomposited from 850 ℃ and

finished calcination at 1200 ℃, ,after cooling it is discharged into the chain plate,

through high temperature belt conveyor to quick lime material library, bottom

feeder feeding by lime library, then it is crushed and processed into 3 mm quick

lime powder by hammer for preparation of sintering by twisted dragon conveyor



to bucket elevator to lime storage memory.

6.2 Raw materials

Item Specification Consumption

per hour

Daily

Consumption Daily output Origin Note

Limestone 40~80mm 9T 222.4T Indonesia

Gas 7500m3 180000m3

Quick lime 120T Daily

6.3 Proposed scale

Plans to build a 150 m3 lime kiln,daily output of 120 tons lime.

6.4 Installed capacity

Low pressure installed capacity of 380 kw.

6.5 Main technical indicators

Effective volume

Limestone consumption

Daily output

Gas consumption

Burnt rate Effective height

Inner diameter

Active degree

150m3 1.8 120 1500m3/t ＜10 26m 3m ＞280



Chapter VII Public auxiliary system

7.1 Supply and distribution facilities

7.1.1 Design overview

(1) Design basis and standards

This project is based on the electrical design process and related

professionals to provide electricity load conditions and Indonesian nickel iron

integrated engineering technology basic information, in accordance with the

electrical design manual factories and related regulations of design. Design

standards and specifications are:

Power supply and distribution system design specifications (GB50052-95)

Specification for design of low-voltage distribution (GB50054-95)

Power device of relay protection and automatic device design specification

(GB50062-92)

Up to and including 6.3 KV substation design specification (GB50053-94)

The 35-110 kv substation design specification (GB50059-92)

3-110 kv high-voltage power distribution equipment design specification

(GB05060-92)

Specification for fire protection design of buildings (GB50016 2006 edition)

Building lighting design standard (GB50034-2004)

Building lightning protection design specification (GB50057-94, 2000)

AC electrical devices over voltage protection and insulation coordination

(DL/T620-1997)



Industrial and civil electrical device of over-voltage protection design

specification (GBJ64-83)

Power supply and distribution system design specifications (GB50052-95)

(2) Scope of design

According to the process, the project includes raw material plant, blast

furnace, sintering, lime kiln and utilities and auxiliary facilities for living. Four

sections of dynamic power supply, lighting, lightning protection and outside plant

cable layout, power supply path, road substation electrical and the process of

distribution room are designed.

7.1.2 Load calculation

Electric power load and annual electricity consumption

Installation capacity 5862.6KW;

7.1.3 Power supply

A) 35kV high pressure will be total input wire, which is turned into a 10KV

voltage for blast furnace plant and sintering workshop, 6 circuits of 10KV for lime

kiln, 2 lines sent to the blast furnace, 2 sent to sintering workshop workshop,

lime kiln 1 line, the other 1 loop 10KV circuit provides the power supply for public

auxiliary system.

B)In order to improve the power factor, this project adopts the high and low

pressure compensation at the same time, electrostatic capacitor compensation

is assembled for 10kV bus according to the load conditions, automatic reactive

power compensation device for 0.4kV side capacitor; low voltage power factor

compensation is to 0.94, 10kV side power factor after compensation reaching



0.94.

C) High voltage distribution mode of the whole plant is radiation type, using

the high voltage cable line laying in cable bridge in and buried in two ways.

7.1.4 Electric drive

(1) Low voltage power distribution

Low-voltage distribution adopts 380/220V, main distribution mode is radial

and chain mode when individual power is supplied, typically linking three

electricity equipment, electricity is sent by the low voltage switchgear and power

distribution box in the workshop, the section distribution of indoor equipments.

For mobile devices is by sliding contact line or soft cable power supply. Adopts

low-voltage circuit breaker as a short circuit protection device, and serve as

protection equipment with motor protection.

For blast furnace, sintering, lime kiln section production system according

to the technological requirements, the programmable controller system (PLC

system) for interlocking centralized operation and remove after the interlock

machine by single operation two kinds of operation mode is proposed, single

operation is only for inspection and test. Subsection (alternate) starting way - at

regular intervals starting a few (or a) motor are for the large capacity motor large

capacity or continuous production system in order to solve the problem of large

starting current.

(3) Motor starting and speed regulating mode

According to the technological requirements and the specific circumstances,

most of the equipments of this project adopts full pressure start, for more than



75 kw motor start-up, soft start is proposed in order to solve the problem of large

starting current.

7.1.5 Line

Linines mainly are cable, copper core and control cables are for power

cables; computer cable is copper shield cable.

Cable laying mainly is cable tray. Some outdoor consider buried lines, and

some indoor line wear pipe buried, along the wall, Ming fu such as beam, and

laying in the hanging tent or electrostatic floor.

Outside power cables are mainly along the pipe gallery cable tray, parts

used in armored cable directly buried laying.

7.1.6 Lighting

In view of the low voltage power distribution system of this project is

380/220V neutral point grounding system directly, so the lighting and power

shares a transformer. The lighting power supply isinleted by nearest line.

Lighting network voltage is 380/220V three phase and four wire system;

Inspection lighting voltage is 36V, but in the special wet place for 12 v.

In the rules and regulations of main production workshop and place,

temporary work lighting, safety and emergency lighting for evacuation and the

technological requirements of places local lighting and lighting are set. Factory

road lighting and obstacles lighting chimney are according to the specifications.

7.1.7 Lightning protection and grounding

According to the relevant provisions of the specification for the second

category of industrial building and structures, prevention measures considering



the direct ray and induction lightning are adopted. For the third type of industrial

building and structures the lightning proof measures are considered. The

chimney is considered the measures to prevent direct lightning.

Due to 10 kv power distribution system for the neutral point grounding

grounding system, its distribution equipment and electrical equipment exposed

conductive parts shall be protective grounding, grounding resistance is not

greater than 4 O. And 0.4 kV power distribution systems neutral point grounding

directly, the distribution equipment and electrical equipment exposed conductive

parts shall be in accordance with the TN or TN - C - S - C system through the

PEN line or PE line for protection grounding, grounding resistance should not be

greater than 4 O. The coexistence of high and low voltage substation adopts the

common grounding device, grounding resistance less than 1 O.

Every workshop or building repeat grounding should be installed at the

entrance of the power supply.

Computer system is set up a separate system, the grounding resistance

value set according to requirements.

7.2 Water supply and drainage facilities

7.2.1 Overview

This design for the newly two sets of 80 m3 nickel iron blast furnace, 150 m3

lime kiln, 45 m2 step sintering and affiliated facilities, design the production, life

and fire water are according to the requirements for the manufacturer built to the

corresponding points.

7.2.1.1 Design basis:



(1) Design basic data provided by the project design party;

(2) Engineering construction design specification or national standards;

Drinking water health standard (GB5749-2006)

Outdoor water supply design specification (GB50013-2006)

Outdoor drainage design specification (GB50014-2006)

The code for fire protection design of buildings (GB50016-2006)

Specification for design of extinguisher Settings (GB50140-2005)

Building water supply and drainage design specification (GB50015-2009)

Wastewater discharge standard GB8978-1998 (98)

(3) Water supply and drainage relevant professional information and

requirements;

Water supply quantity, water quality and water pressure, water supply

standards

Production water is according to the requirement of process.

Worker living water: 30 l/person. D

Shower water: 40 l/people. shift

Canteen water: 15 l/people. meal

Water supply for domestic and drinking water hygiene standards should be

consistent with existing national standards of water quality standard of living and

drinking water sources (CJ3020); Drinking water should be consistent with

existing national standards "drinking water health standards" (GB5749-85).

Vehicles wash water: 400 l/set. d



Road and green water: 1.0 to 1.5 L/m2.time

7.2.1.2 Water source conditions

1) New water for production: provided by the factory supply and hand over

point 1 m outside the new facilities. Water volume, water pressure should meet

the requirements of the project production, fire proof water.

7.2.1.3 Water supply requirements

1) Water quality requirements

Industrial water quality requirements for circulating water system : PH 7 ~ 8

Suspended solids acuities ≤20-30 mg/l

Hardness of about 100 mg/l or less (CaCO3)

Total soluble solid acuities=500mg/l

Drinking water quality must conform to the national standard of

GB5749-2006 "drinking water health standards".

2) Water pressure requirements

Production new water acuity =0.30 MPa

3) Water engineering and indicators

According to the process of the requirement of water quantity, water quality,

water pressure, water temperature, water quantity (the users see table below).

According to the process and the provision of relevant professional water

technical requirements, design of the system are:

Net water circle supply system

Turbidity water circle supply system

Production of the new water system



Life new water systems

Fireproof water supply system

Production, living water supply and the displacement is as follows:

Factory total water consumption of 494 m3 / h, the circulation of water is 486

m3 / h; Added new 35 m3 / h, water production drainage amount 2.0 m3 / h. Life

water 4.0 m3 / h, dischargement 3.0 m3 / h.

Engineering major production and living water quantity, water quality, water

pressure, water temperature requirements are detailed in the table below.

Table 7.1 1 Water scale

Water comsuption m3/h Water inlet and outlet temperature ℃

No Customer Customer Qty

Customer

Qty at the

same time Unit comsuption

Total comsuption

Working pressureMPa

Inlet Outlet

Water utilization system

Water quality requirements

1 2 3 4 5 6 7 8 9 10 11

1 Raw water system 1 1 6 6 0.3～0.4 Interval

Circulating water

3 Step sintering system 1 1 66 130 0.3～0.4 =35 =55

Continuous

Circulating water

5 Blast furnace system 1 1 400 400 0.3～0.4 =35 =55

Continuous

Circulating water

6 New water supplement 60

7 Subtotal 542

7.2.2 Net circulating water system

Circulating water system of this project is the open loop system. The

cooling process is indirect cooling, water is not contaminated, only water

temperature is increased, circulating water treatment system is set. Returning



water goes through pipelines, the superficial heat pump station, cooling tower

and cooling pump to the cold pool, and then ready for the use by the pump

pressure.

To ensure the long-term stable operation of circulating water system, pump

station is assembled with dosing room, dosing system adds the anti-corrosion

and scale inhibitor and algae fungicidal reagent and the number of species to

the system, after system operatiing, the manufacture entrusst the relevant units

of to test water quality.

This system consists of circulating water pump, cooling tower and the

corresponding for the return water pipe.

7.2.3 Slag water flushing and turbid water circulating supply system

Turbid circulating water system includes blast furnace slag water flushing

circulating water and raw materials, coal washing, sintering system circulating

water system, the points above are as follows:

(1) The slag before theblast furnace is turned into water slag after slag

granulating device, sedimented, and grabbed, stored in slag field by car. Slag

flushing water sediment pool, pool, clear water reserviors, flushing water pump

cycles.

(2) Comprehensive utilizations of resources, raw materials, coal washing,

sintering workshop washing the floor with water, muddy water shall improve

labor environment. Each workshop floor water rinsing is interval in regular

concentrated water washing way.

Rinse floor water contains a lot of dust, grit chambers are set in the main



building will collect sewage water i n order to prevent debris into the tank of

mixed with sewage. The sludge within workshop catchment grit bottom adopts

mannual cleaning recovery and comprehensive utilization. After grit precipitation,

the supernatant fluid is sent out to the outside circulating water pump station and

turbid circulating pool, pressure is added by turbidity circulation pump washing

users as recycled water for shop floor.

7.2.4 Production, living and fireproof water supply system

(1) Water for living is sent through campus network directly for each

workshop of the project, office building, etc.

Plant water standard is according to 30l / person.shift, daily water

consumption is about 7.0 m3 (including shower water), the average water

consumption is about 2.0 m3 / h, overhaul, inspection tests the average water

consumption is 1.0 m3 / h, other water not considered 1.0 m3 / h. Life water total

is on average 5.0 m3 / h.

(2) The production new water total is 35 m3 / h. Production of new water

and fire water share a network system.

(3)According to the code for fire protection design of buildings

(GB50016-2006) regulation: smelting workshop belongs to D class plant, the

design of a building fire resistance is according to the secondary design,

workshop fireproof consumption is 15 l/S, using 5 pieces nozzle at the same

time; Factory fire calculated at the same time a fire and water is 20 l/S, fire

lasted for 2 hours, 252 m3 water is storaged in the pool. Added new water

production, fire will be provided by factory production new water supply



pipelines.

According to GB50140-2005 "code for design of extinguisher disposition in

the transformer room, office, such as portable powder fire extinguisher are

demanded in accordance with the provisions,

7.2.5 Production drainage system

The drainage engineering adopts sewage and rainwater diversion system.

(1) The circulating water system sewage (2 m3 / h), no pollution,meets

water quality standards.

(2) The life water displacement is 3 m3 / h, fecal sewage after septic tank

treatment gravity is sent to the factory sewage treatment station, buried sewage

treatment concords with the emissions.

7.2.6 Safety measures of water supply

(1)Circulating water pump station is set with two way power supplies,

power supply reliability is not lower than smelting equipment requirements.

(2) All the pumps are equipped with spare pump, pump and standby pump

automatically switches and work.

(3) Water pump station to separate two main water supply pipe network on

the outside of the workshop layout into a ring, for support each other when in an

accident, from the main water supply pipe branch to the furnace water supply

system. A drain road has a discharge gas measures.

(4) According to "specificaiton for fire protection design of buildings"

GB50016-2006 outdoor building production fire hydrant and set the ground

pipeline system in order to meet the requirements of factory fire, every hydrant



protection radius is less than 120 meters, according to the rules set fire hydrant

and fire extinguishing equipment, indoor fire water is 15 l/s, outdoor fire water 20

l/s. The production sharing network, fire control system can meet the

requirements of fire water.

(5)According to < specification for design of extinguisher disposition >

GB50140-2005, the main factory building, high and low voltage transformer

room constructionare set with mobile fire extinguishing equipment, etc.

Water supply and drainage treatment system are set with circulating water

pump station, circulating tank, FRP cooling tower, integrated water processor,

etc.

7.3 Heating facilities

7.3.1 Overview

To meet the requirements of ironmaking production, a new thermodynamic

facilities as follows: the blast furnace blower station, within the scope of the red

line of air cooling pipe, steam pipe and compressed air pipe, etc.

The blast furnace blower station design includs machine, suction chamber,

oil system, control room, etc.Two centrifugal blowers are inside of the station; a

complete set of motor, gear box, coupling, oil system, silencer, air filter, valves,

piping system, the base;automatic control system, electric control

system.Among them, the external piping, power supply are espectively lined

into the external part of the design of water supply pipe network, power supply

and distribution facilities and water supply and drainage facilities.

7.3.2 Blast furnace blower station

To meet the requirements of blast furnace for the wind, new blast furnace



blower station shall be built. Wind facilities adopt electric centrifugal blower as

the blast furnace blower unit. Two common blast furnace blower station, one in

operation and one for preparation, C - 400 centrifugal fan, motor power 800 kw,

variable frequency startup pressure pneumatic mode.

1) Blast furnace blower design conditions

Weather conditions: see the general.

Blast furnace operation conditions are shown in table 7.3-1.

Table 7.3-1 Blast furnace operation conditions

No Items Unit Value Note

1 Blast furnace volume m3 80

2 Annual working days Days 350

3 Utilization coefficient k t/m3 d 0.9

4 Coke rate kg/t 2200

5 Blast top pressure Pd MPa 0.06

6 Wind volume inlet MPa 0.098

2) Selection of blower

According to blast furnace operation parameters, C400-2.0 type centrifugal

blower and the air volume of 400 m3 / min, 98 kpa, booster fan speed 2960 r/min,

motor power 800 kw are adopted. Its performance can completely satisfy the

fixed air volume, air pressure of blast furnace smelting operation, operation area

in high efficient area meet the scope of operation, the highest efficiency can

reach above 90% with fast operation, easy operation, compact structure, good



regulation performance, low noise advantages.

Twe electric centrifugal fan for blower station, one in operation with one for

preparation

Technical parameters of blower:

Model: C400-2.0 centrifugal fan;

The inlet flowvolume: 400 m3 / min (normal)

Pressure elevation: 98 kpa;

The motor power: 800 kw;

3) Processes and equipment level

Air suction hood from high suction, suction duct - wind filter chamber-end

flowmeter- throttle valve-suction silencer - blower inlet pipe - pressure - blower

outlet pipe - exhaust muffler- check valve-electric valve - air outlet - to process

Exhaust muffler- surge valve -vent muffler-discharged into the atmosphere.

4) Blower station layout

Blower station adopts single layer layout.

Main factory building span is 12 m, a total of four pillars 24 m, is apart from

the general factory building bottom chord elevation 11.5 m, crane beam rail

surface elevation 10 m.

Control room is opposite to two blowers, the span 5.0 m and 12 m width.

low voltage distribution room is set with the control room.

Air filter chamber span is 4 m, 18 m wide, located in the bottom.

In order to reduce fresh air blower noise impact on the environment, the

design adopted emptying silencer, duct connected to mute the back into the



atmosphere.

In order to prevent noise harm on human body in the main workshop

equipped with soundproof room, the operator can be observed in the control

room operation condition of the blower.

All waste oil is filtered, recovered after separation, no emissions.

7.3.3 Compressed air facilities

Compressed is mainly used for air purging, instrument, pneumatic valve,

etc., the operation referred to the table below. Compressed air consumption are

shown in table 7.3-2.

Table 7-2 Compressed air consumption

Consumption (m3/min) No Customers

Ordinary Oil/water free (MPa) Rule Note

1 Blast furnace system 5 4 0.4～0.6 Interval

2 Sintering system 6 4 0.4～0.6 Interval

3 Raw material system 5 3 0.4～0.6 Interval

4 others 2 2 0.4～0.6 Interval

Subtotal 18 13

Included time use at the

same coefficient of 0.8 14.4 10.4

Included in the network

loss coefficient of 1.1 15.8 11.4

Total 27.2

The compressed air total consumption is 27.2 m3 / min, pressure is 0.4 ~

0.6 MPa.According to factory comprehensive consideration, unified set air

compressor station supply can meet the needs of this part. Two EE160-9 screw



air compressor, including 1 in operation and 1 for preparation. Air compressor

exhaust pressure: P ≥0.85 MPa, Volume flow, Q = 30.5 m3 / min. Motor power:

160 kw.

Compressed air post-processing device adopts the following process:

EE160-9 screw air compressor - class C centrifugal oil filter- A level micro oil

mist filter- micro heat regenerative adsorption dryer- T primary filter. Choose C,

A level 2 filters respectively, single processing capacity filter: 34 m3 / min.

Choose two micro heat regenerative adsorption dryers, single dryer air capacity:

35 m3 / min, the heater power is 16KW. Choose 2 sets of T primary filters, the

processing capacity of a single T primary filter: 34 m3 / min.

The compressed air pipeline adopts the seamless steel pipe, pipe material

with ordinary carbon steel tube, conveying compressed air with no oil or water

pipe should be passive. In each of the set to cut off the gas main valve, pressure

gauge and flow meter. Compressed air pipe take aerial installation is according

to the pipeline to set square compensator absorption pipeline thermal

expansion.

7.4 Ventilation and dust removal facilities

7.4.1 Design basis

"Integrated atmospheric pollutant discharge standards" (GB16297-1996);

The atmospheric pollutants emission standards of industrial furnaces

(GB9078-96);

The iron and steel industry dedusting engineering technical specifications

(HJ435-2008);



"The standard of noise at boundary of industrial enterprises"

(GB12348-2008);

Health standard for design of industrial enterprises, GBZ1-2010);

。

The process shall provide the entrusted commitments.

7.4.2 Overview

Ventilation and dust removal design content includs 2sets of 80 m3 blast

furnace workshop dust removal, 2 x36m2 step sintering workshop dust removal,

coal dust removal and ventilation.

7.4.3 Dust removal

7.4.3.1 Ssintering workshop dust removal

Sintering workshop removal mainly considers the finished product

screening system, the ratio of fuel system using the atomized water way to

reduce dust.

1) Fnished product screening dust removal

Finished the whole grain dust removal screening system is mainly

composed of sintering product grading the whole grain sevie machine and

material tape machine dust producing drawing points in the process of transport.

Dust removal system total air volume of 15 x 104 m3 / h (conditions), long bag

low pressure pulse bag filter is adopted, filter area 2500 m2, filtering wind speed

1.0 m/min. Dust removal efficiency 99.5%, The clean gas emissions of dust

concentration is less than 50 mg/m3. Anti-static bag filter, moistureproof and

heat-resistant glass fiber needled felt are the materials. Dust removal fan air



volume 15 x 104 m3 / h, pressure P = 3500Pa, motor power 55 kw, two sets.

Dust gas purifed by bag filter according with the standard will be discharged into

the atmosphere.

7.4.4 Ventilation

1) All subjected to high temperature radiation inside the main building work

site adops the local supply air cooling measures in order to improve the workers

operating conditions, mobile axial flow fan is set up.

2) In order to ensure the normal operation of electrical equipment,

mechanical ventilations are set in the place such as substation, high and low

voltage substation low noise axial flow fan with to ensure that electrical

equipment running heat can be ruled out in time and the equipment operating

environment temperature in a safe range, avoid malfunction caused by high

temperature.

3) Air conditioning in the control room setting cabinet to ensure the normal

operation of instrument control room equipment and improve the environment of

instrument control room temperature so as to ensure the normal operation of the

safety of the control equipment.

7.5 Inspection test

7.5.1 Inspection test

7.5.1.1 Design principles

A test center is design in the company. A water quality inspection room set

up In the company's water treatment station

7.5.1.2 Inspection test center



The main tasks arer:

(1) Responsible for incoming raw materials, fuel quality spot check and

acceptance of work, time provide smelting factory with charging the original, and

chemical composition of fuel;

(2) Responsible for the factory product chemical composition index

appraisal, issued the product certificate, and the test data to guide the smelting

process;

(3) Responsible for the operation of slag and other projects in the analysis

of test work.

(4) Chemical analysis chamber, raw material and fue, and the chemical

composition of the finished product and slag sample analysis and some physical

properties of test tasks.

The compositions of inspection testing center are:

Sample preparation chamber: raw material, fuel, gas, finished product, slag

sampling, sample preparation, etc.

Balance and color chamber: the weight of the sample analysis to provide

reliable data and colorimetric analysis.

Electrical heating chamber: sample heating, drying, fixed carbon sulfur

analysis.

Chemical analysis chamber: original, fuel, gas, and the chemical

composition of the finished product and slag sample analysis and some physical

properties of test tasks.

Metallographic chamber: take sample, zoom analysis and radiation.



Spectrum chamber: ingredients precise analysis of raw materials and

finished products.

Inspection test center major equipments: jaw crusher, sealed splitting

device, standard vibration sieve machine, mixed prototype sample, box-type

resistance oven, electric drum wind drying oven, electric arc burning furnace,

carbon sulfur instrument and horizontal metallographic microscope, digital

camera, damping balance, standard scales, photoelectric colorimeter,

electro-optical analytical balance, atomic absorption spectrophotometer, atomic

fluorescence analyzer, domestic spectrometer, ventilation ark.

Inspection test center is independent single building, wide area: 12 m * 33.6

m * 2 layers≈806 m2. According to the production need to adjust the working

system.

7.5.1.3 Water quality inspection room

Water quality inspection room mainly undertake the turbidity of water quality,

hardness, PH value of various examination, monitoring laboratory analysis of

water of the introduction of water, living water system, net circulation system,

turbid circulating water system,as to guide the processing of water everywhere.

Water quality analysis laboratory isintegrated at water treatment station.

About 18 m2.4 cshifts, 3 operating duty

Main equipment: UV spectrophotometer, turbidity meter, PH meter, sodium

ion concentration meter, infrared is metering device, etc.

7.6 General layout

7.6.1 Overview



1) Site survey and the surrounding environment

The project site is in eastern Java Island, in line with the requirements of

local industrial development planning.

2) Hydrological geology and landform

Project is proposed at flat site area, the ground elevation height of 2 ~ 3 m,

belonging to basic stability region.

The factory foundation is mainly for the quaternary alluvium, venue is hard

soil, with soil type category Ⅱ classes; Soil layer from top to bottom are clay,

silt, silty clay, silt sand,and silt soil, a total of five layers, its standard capacity

between 200 ~ 250KPa, upper foundation has better strength, the main building

and structures adopts artificial foundation. The crustal stability within factory

district area is good, significant activities of fracture structure not found, bad

engineering geological phenomenon does not exist in the factory, the area

belongs to relatively stable geological body. Comprehensive decision, therefore,

the proposed site area is stability of building field, no soft soil, suitable for

building.

From the survey and data analysis, uniform distributions of foundation soil of the

area, stable horizon, and silty clay are good stability. The building site categories

are soft soil. According to the Indonesia seismic intensity zoning map (2000),

the Laterite mineral resources basic earthquake intensity is 6 degrees, designed

basic earthquake acceleration is 0.50 g, designed earthquake is grouped to the

second group. Simple hydrogeology in the factory district, groundwater types is



quaternary pore water, buried depth of the groundwater table is generally 3.5 ~

4.5 m in range of 2.0 ~ 3.0 m, the highest water level depth is1.5 m. Air

precipitation is the water supply, the ground evaporation as the main discharge

way. Ground water of the factory area is weak ~ moderately corrosive to

concrete.

New factory land basic earthquake intensity is 7 degrees.

The factory covers an area of about 23.99 hectares (359.85 acres).

3) Climates conditions

Refer to the general.

4) Lands for projects construction

The factory covers an area of about 23.99 hectares (359.85 acres).

7.6.2 General layout

1) General layout principle

According to the process scheme, construction site specific conditions such

as topography and the surrounding environment, in order to make general

layout is reasonable, the design should follow the following principles:

(1) To be fully combined with the existing terrain, adjust measures to local

conditions and project general plan transportation design, and appropriate

development conditions.

(2) To be reasonable compac layout, short transportation lines smoothly under

the condition of reasonable process flow and transport.

(3) Auxiliary facilities as possible to be merged, multilayer arrangement, total



plane layout line as far as possible in a single trench to save engineering

investment as to meet the production process and environment protection.

(4) One time total planning, construction by installment.

2) Main production facilities

The main engineering production facilitiesincludes: raw material field,

sintering production,blast furnace ironmaking production area, linme kiln

production, testing laboratory, the worker bathroom and dining halls, office

buildings and other facilities.

3) General layout

According to the design principle, combining with the status and

environment site condition, the general layout plan is designed. Technological

scheme, road connection condition, energy medium contact position and the

main production facilities, general layout scheme are as follows:

Factory comprehensive administrative zone is located in the middle of

campus on the north side with office building, canteen, testing center, sewage

treatment station.

Production zone (first phase) is located in the south area of the

comprehensive administrative from west to east, in turn layout are: repair

material (reserve), raw materials, sintering workshop, blast furnace ironmaking

workshop.

Detailed arrangement refers to general layout.

7.6.3 Vertical layout and rainwater

Based on the existing terrain characteristics to meet the needs of



technology, the vertical design considering adopts flat slope project.

The rain insider of the site will be collected to the open trench and

discharged to the nearby river.

7.6.4 Transportation

1) Transportation capacity

According to the engineering design of annual output of 50,000 tons of

nickel pig iron scale, the total capacity of 810,000 t/a,in which 550,000 t/a shall

be transported in and 310,000 t/a shall be transported out. The main

commodities of laterite nickel ore, quick lime, limestone, etc. shall be

transported in, and the finished product nickel pig iron shall be transported out.

2) Ttransportation mode selcetion

A factory is locatied in the islands coastal, near the port, very convenient

location for sea and land traffic.

Therefore, the design considerations off-site transportation is by sea

continental combined with truck transportation, transportation inside of factory

can be motor transport.

3) Road design in the factory

This project by considered the car traffic factors, such as new roads for the

main road, the road, road and workshop approach road, the roads width are

12.0 m, 9 m respectively.

Factory is type highway concrete pavement road.

Road design calculation load are carlevel 20, calculating the load trailer

truck level 100.



The specific layout refers in the general layout.

7.6.5 Safety, greening

1) Safety

New roads are designed according to "Industrial enterprise factory in

railway, road transport safety regulations GB 438794", "Factory and mines road

design standard" GBJ 2287 requirements.

2) Greening

To beautify the environment, reduce pollution, improve working conditions

and create a good production environment for workers, planting trees on both

sides of the road shall make full use of space and scattered in plant area and

above the site of the greening of buried pipeline. Greening land area is about

44,000 m2, green land rate of about 18.35%.

7.6.6 Main technical and economic indicators of general plan and

transportation

The main technical and economic indicators are shown in the table below

7.6 - 1.

Table 7.6 - 1 the main technical and economic indicators

No Items Unit Quantity Remarks

1 Factory area covering 104m2 26.26 393.70 acres

Living zone 104m2 1.37 2 Of which: raw materials

processing and storage area 104m2 5.1

3 Construction area coefficient ％ 46.98

Ttotal amount of road 104t/a 86



transportation

transport in 104t/a 55 4 Among whcih

transport out 104t/a 31

7.7Environmental protection and comprehensive utilization

7.7.1 Project overview

The project is a nickel iron about 50,000 t (products containing nickel 10%),

the main construction contents include raw materials field, 52 m2 sintering

machine, 2 x 80 m3 blast furnace and the corresponding casting, power supply

system, water supply and drainage system, environmental protection facilities

and fire safety facilities, etc.

7.7.2 Environmental protection standards

1) By China standards, are as follows:

"Iintegrated atmospheric pollutant discharge standard" (GB16297-1996)

class two table 2;

Atmospheric pollutants emission standards of industrial furnaces

(GB9078-1996) class two;

Integrated wastewater discharge standard (GB8978-1996) class one;

Iron and steel industrial water pollutant discharge standard "(GB13456-92)

class one;

Standard of noise at boundary of industrial enterprises (GB12348-90)

industrial Ⅲ class.

7.7.3 Main pollution sources and pollutants and control measures



7.7.3.1 Atmospheric pollution sources and pollutants and control measures

2) Sintering system

(1) Sintering machine head electric dust removal

During the process of s intering machine production, raw material and fuel in

the material bed combustion produces a large amount of gas containing dust

(about 140 ℃ )in the sintering machine head sintering, the design adopts

bedding base dawing ventlation sintering process, the nose dust concentration

in flue gas shall be controlled under 4 g/Nm3. Ash ingredient are Fe2O3, CaO,

SiO2, Al2O3 and MgO, etc. Two muti-pipe filter purification is adopted, flue gas

dust concentration after purification is < 50 mg/m3, exported outside through the

height of 60 m, chimney diameter of 3 m. The collected dust can be used as iron

recycle materials.

(2) Finished product screening dust removal

Finished product dust removal system is mainly composed of sintering

product grading screening machine and material tape transport dust points.

Dust removal system total air volume is 25 x 104 m3 / h (conditions), with the

long bag low pressure pulse bag filter, dust removal efficiency 99.5%, after

filtered the emission gas dust concentration is less than 50 mg/m3. Dust gas

purified by b bag filter shall be discharged into the atmosphere.

(3) Fusion agent and batching dust removal

Batching dust removal consists largely of raw materials, fuel and flux

materials mixing tank produced in the process of unloading, transshipment point.

Fuel crushing dust removal is mainly composed of crushing and screening



machine and material tape transport drawing ventilation dust removal are set in

the process of producing dust points.The two point of dust removal system are

combined with total air volume of 15 x 104 m3 / h (conditions), adopting the long

bag low pressure pulse bag filter, dust removal efficiency 99.5%, the cleaned

gas emissions dust concentration is less than 50 mg/m3. Dust gas through bag

filtered discharged into the atmosphere.

(4) SO2 emissions

Sintering raw material containing sulfur content, pollution is caused by SO2.

Design with low sulfur raw materials to reduce SO2 in flue gas composition, and

can be lower than GB9078-1996 class two limit of 2000 mg/Nm3, directly by the

chimney emissions standards.

4) Blast furnace system

(1) Blast furnace feeding system

Blast furnace ore tank, storage feeding system tape machine,

transportation, unloading groove mouth, groove under the screening facilities in

the operation produce the dust.

Blast furnace trough setting, storage of all dust point are installed dust hood

of dust removal facilities, drawing ventilation capture facilities, the total air

volume of 15 x 104 m3 / h (conditions), adopting the long bag low pressure pulse

bag filter with dust removal efficiency 99.5%, after filtered the emission gas dust

concentration is less than 50 mg/m3. Dust gas purified by b bag filter shall be

discharged into the atmosphere.

(2) Blast furnace gas



Blast furnace ironmaking generate a lot of gas containing CO and other

dust pollutants, dust are iron, silicon, aluminum, magnesium oxide, coke powder,

etc. Gravity flow and pulse bag filter dust removal are adopted with efficiency

99.5%, blast furnace gas dust after purification concentration < 10 mg/m3 can

be used for the comprehensive utilization of coal gas users.

(3)Hot blast stove

Tthe hot blast stove gas is purified gas from blast furnace, containing a

small amount of dust, etc., can be discharged through high chimneys directly.

7.7.3.2 Comprehensive utilization of solid waste

1) Sintering dust removal system gathers the dust for sintering returning

raw material.

2) Blast furnace gas after gravity dust precipitator, the collected gas ash by

the filter powder can be used as raw materials for the sintering.

3) All the blast furnace water slag can be used as brick raw materials for

walls and the second phase of building bricks in the future.

4) Refractory waste does not contain toxic substances, can be sent to

slag field or pave the way, can also be processed into aggregate used for

repairing.

7.7.3.3 Water pollution sources and pollutants and control measures

1) Sintering system

Sintering equipment of indirect cooling hot waste water with no other water

pollutants can be put into the net system. Hot water after cooling tower cooling

treatment cam be added as new water for each circulation use by pump



pressure.

Muddy water system: a mixture of dust removal water and rinse floor water,

waste water mainly contains suspended solids, design is to remove suspended

solids by settlement treatment, the supernatant fluid can be put into the material

circulation system. Bottom sludge shall be discharge to the sewage pool, after

slurry pump pressurized into the sludge dewatering machine processing for

comprehensive utilization.

2) Blast furnace system

Blast furnace ironmaking wastewater mainly includes: indirect cooling hot

wastewater, including body and blast furnace hot blast valve, slag tapping

mouth, blast furnace tuyere mouth, indirect cooling heat blower station, no other

impurities, the clean water circulating water shall be added as new to recycle

after the cooling tower cooling treatment,.

The blast furnace slag water after use shall be put into turbid circulating

water system.Slag flushing water treatment: the slag water goes through slag

ditch into the sediment pool, after sediment can be used by pump cycle, slag

pool needs regular cleaning by bridge type grab crane, the tramsported slag

shall be used as raw materials for the production of cement, or made into clinker

with blast furnace bag dust dried by steam, can also be used as factory building

materials, can be used in the path of masonry walls and worker dormitory,

wastewater effluent.

Various washing floor water drainedto enter the tank first, and then

discharged into the plant drainage system, life system directly into the factory.



7.7.3.4 Noise control measures

Noise pollution for projects in addition to the main equipment noise source

based on the mechanism of the noise spectrum characteristics has been taken

prevention measures, distance decay process configuration, building block to

control the noise to meet GB12348-2008 class Ⅲ standard.

1) All kinds of fan air dynamic noise source intensity between 95 ~ 107 db

(A), the overpressure relief pipe mouth 110 db (A), silencer for control is design.

Set the fan in the sound insulation to reduce the noise radiation.

2) The air compressor air dynamic noise 90 ~ 95 db (A), placed in the

station building, import suction filter is installed, tossing valve installed exhaust

muffler.

3) Strong vibrating screen noise is 90 db (A), strong ball mill noise 95 db (A),

hammer crusher strong noise 98 db (A). Equipment to produce high noise,

sound insulation, damping vibration noise reduction methods have been taken.

7.7.4 Greening

Around the factory workshop, the place such as transportation road

planting suitable for local climate, stain resistance of trees and flowers are

planted to prevent pollution, protect and improve the environment.Greening

covering coefficient by 20%.

7.7.5 Environmental management institution and environmental monitoring

Environmental protection and management of the project work can be

unified management by the company security environmental protection

institution.



7.8 Occupational health and safety, fire control

7.8.1 Design of rules, norms, standards and regulations, according to Chinese

standard)

1) General rules for design of production equipment safety and hygiene

GB5083-85;

2) Health standard for design of industrial enterprises GBZ 1-2002;

3) Harmful workplace occupational exposure limit of chemical hazardous

factors "(GBZ 2.1-2007);

4) "Specification for fire protection design of buildings (GB50016-2006);

5) " Specification for seismic design of buildings (GB50011-2010);

6) Building lightning protection design specification (GB50057-2010);

7) Explosion and fire dangerous environment electrical device design

standard "(GB50058-92);

8) Specification for design of automatic fire alarm system (GBJ140-98);

9) "Specification for design of extinguisher disposition" GB50140-2005;

10) GBJ87-85 "specification for the industrial noise control;

11) Specification for design of power supply system of industrial and civil

GB50052-95;

12) Specification for design of industrial and civil electrical device

grounding GBJ65-83;

13) Specification for design of heating ventilation and air conditioning

GBJ19-87;

14) "Ironmaking safety procedures"



15) Coal preparation plant safety rules

16) Coking safety procedures;

17) Sintered ball force safety procedures.

7.8.2 Unsafe factors and occupational hazard analysis for the project

1) Natural hazard factor

Thunder and lightning, seismic, heat and other adverse factors, such as do

not take precautions, possible damaged equipment, plant, production accident

and personal injury, etc.

2) Production process unsafe factors

Mechanical damage and personal fall, electrical accident, unsafe factors

such as water supply, fire and explosion accident.

3) Project occupational hazard analysis

Main occupational hazard factors are: powder (smoke) dust, poisonous

and harmful gas, noise, thermal radiation and so on, if don't take measures, will

cause a certain danger to personal.

7.8.3 Main prevention measures in the design

7.8.3.1 Natural disaster prevention measures

1) Lightning protection, anti-static measures

According to GB50057-2010 specification for design of building lightning

protection of the relevant provisions, the project plant lightning protection is

given priority to with setting the lightning rod, over 15 m the roof of the high-rise

building, structures of lightning protection zone, the need to protect the building

and structures which are within the protection.



Oxygen equipment, pipes, pipe flange according to the specification for the

fortification electrostatic accumulated to be discharged by grounding device.

2) Anti- earthquake measures

To prevent disasters, the project to build according to the relevant

provisions of the "code for seismic design of buildings and so on. The project

should be in accordance with the local basic intensity of earthquake fortification.

7.8.3.2 Safety measures in production

1) Mechanical equipment safety precautions

The movable exposed part of the machinery, regardless of the high and low,

regardless of the rotary belt straight line, reciprocating movement are all in

accordance with the provisions set protective porch or protective railings;

In factory the ditch, ditch, pond, well sealed or set up safety rail;

The engineering workshops mainly for the dangerous sites, setting no

thoroughfare or other warning signs;

The engineering crane easy to collision equipment, falling objects,

flammable and explosive place high homework, as well as other accident black

spot, easy to identify the safety sign or set up eye-catching warning signs;

Vertical ladder and inclined ladder, protective railings and working platform

of production in accordance with the relevant state standards

2) Electrical safety measures

The electrical equipment of the electrical engineering metal shell, such as:

high and low voltage switchgear, transformer, etc., shall set system grounding,

zero, guard against electric shock accident;



Adoptiong of security power, reduce the unsafe factors on power;

The project electrical equipment layout has enough safety distance;

Charged conductor of the exposed part protection network Settings; Change

settings screen protection, power distribution; high voltage danger zone shall be

set with warning signs;

The project electric room, transformer room window, exhaust and channels

also shall be set with the wire net, to prevent small animals into cause all kinds

of short circuit accident;

In order to prevent the accident caused by the concentration, the design of

important process by PLC to realize the safety interlocking ensures the safety of

person and equipment.

3) Lighting safety measures

At work, all plant, operating point, the pavement and road hairpin turn, end,

one-gallon and main motor transport, in the place, there are enough lighting

device;

In the project electric room, master control room, substations and other

important places, in addition to the normal 220 v lighting, shall be set with

accident lighting at the same time;

There are explosive dangerous location with explosion-proof lamps and

lanterns.

4) Safety measures of water supply

The water pump station, cast iron machine add backup power;

Plant network as the loop network;



Water supply system design have all kinds of water level, water quantity

indicating instrument.

5) Fireproof, explosion-proof measures

Shall consider of slag iron groove design to prevent water and set to

automatic tilting tin can, the central set of slag ditch precipitation pit in order to

prevent the hot metal into the cinder flushing system, explosion caused cinder

flushing.

7.8.3.3 Main preventive measures against occupational safety and health

1) Powder (smoke) dust control measures

In accordance with the relevant provisions of the health standard for design

of industrial enterprises, propylaea sprinklers are for the transfer station,

blast furnace ore tank storage to prevent the dust float in the sky;

Such as vibrating screen, belt conveyor transfer station producing dust, set

the drawing ventilation dust removal;

Sintering machine produces a large amount of smoke,gas after dust

treatment shall be discharged outside through the chimney; After feeding

system of produces dust , that shall be collected by dust removal process, and

discharged outside through the chimney.

2) Poisonous and harmful gas control measures

The project set a fixed dangerous parts CO gas monitoring and warning

device, and is equipped with movable CO detector;

Top charging equipment, tuyere, slag are tightly sealed mouth, shall not be

leakage gas.



3) Thermal radiation of control measures

For the high temperature radiation zone, to set up mobile local cooling air

supply, axial flow fan and strengthening ventilation cooling of natural ventilation.

The master control room, operation room, the circulating water pump

station and so on various major workplace shall be set with ventilation cooling

facilities.

4) Noise control measures

Production workshop and the noise of the workplaces shall meet GBJ87-85

"industrial noise control design code" regulation, for blast furnace blower, the

gas radiation as well as mechanical and electrical equipment operation and

classification of crushing, screening equipment of dynamic noise and

mechanical noise, noise elimination, sound insulation, shock absorption

measures respectively, shall be in post noise control within 85 db (A), the duty

room, lounge, such as adopt soundproofing Windows and doors, make indoor

noise control under 70 db (A), the strong noise workplaces post personnel using

individual measures, such as wearing earmuffs or earplugs.

7.8.3.4 Fire protection measures

According to the engineering characteristics of production in place of fire

explosion risk mainly include: the blast furnace control, gas control room, all

kinds of transformer room, switch room, cable tunnels, cable room and

lubrication station, electric, gas, gas facilities, fire danger areas, due to reasons,

such as flame, flux and spark may cause a fire.

1) General fireproof



In accordance with the requirements of production, transport and the

factory fire, the factory construction, renovation, road network, the trunk road

are consider clear in the fire.

According to the code for fire protection ring design of buildings, each

building have enough fire prevention spacing, the main transport path

considered as fire lane at the same time.

2) Fire water

Smelting workshop belongs to D class plant, the designed building fire

resistance rating is according to the secondary design, workshop fire

consumption is 15 l/S, 5 nozzles for at the same time; Factory fire calculated at

the same time a fire and water for 20 l/S, fire lasted for 2 hours, 252 m3 storage

water is in the pool. Added new water production, fire will be qenched by factory

production of new water supply pipeline. Factory fire form annular pipe,

respectively set up outdoor hydrant on the ground, the protection radius of 120

m.

3) Electrical fire and lightning protection

Sand box and fire fighting equipment are set at high voltage transformer

room, low voltage distribution room and control room entrance, the use of CO2

or halon fire extinguishing device;

Using flame retardan cable export, refractory block, according to the

relevant provisions of the amount fire doors, firewall settings;

Fire power supply adopts two way power supply, fire alarm and fire control

devices by the power supply security;



The gas dust removal system adopts explosion-proof electric appliance;

According to the building lightning protection design specifications

GB50057-94 ", the main factory building, power supply and distribution system,

gas supply, drainage pipe and other inflammable and explosive building are

equipped with reliable lightning protection or grounding measures.

(4) Gas fireproof

Gas inlet piping is set with low voltage alarm, automatic cutting and

aeration, purging device;

Blast furnace roof, gas pipes, gravity dust collector, etc., have steam tube

and valve, when the blast furnace damping down, close the gas cut-off valve,

open the steam valve, open the gas radiation valve, gas with high pressure

steam driven container in order to ensure safety.

In the hot blast main part, a backflow damping down valve and tossing in

tube are set, when the blast furnace damps down maintenance, open the back

damping down valve, discharge of the high pressure blast furnace gas, and

ensure the maintenance operation safety.

To prevent the blast furnace system of gas explosion, the blast furnace top,

gravity precipitator entrance are set with interrupt valve, roof, interrupt exports

set above the valve and filter radiation valve.

5) Fire control communication

Master control room, transformer room, gas management office and all

kinds of hydraulic station and other key and inflammable area are set with the

fire automatic alarm facilities according to the relevant provisions.



Each operation room and office are set in the workshop direct-dial phone,

for fire control communication.

6) Safety signs

More obvious position in the factory shall be set with no fire signs , for

some explosive dangerous location shall be set with "be careful with fire, be

careful operation" and so on fire. Concrete are calculated by GB15630-95 "fire

safety sign set requirements.

7.8.4 Welfare facilities

In accordance with relevant provisions of the relevant documents, the

project should have a certain number of office, dining room, bathroom, storage

room and safety JiaoYuShi, clinics, and male and female toilets, etc.

7.8.4 Safety and health institutions construction

One company a manager shall be in charge of the work of occupational

safety and health, and set up a full-time technical staff responsible for safety and

health work, part-time security team has busboy, the formation network to

ensure safety.

Fire service security fire department unification shall beconsidered by the

company, equipped with fire fighting department responsible person, to be

responsible for supervision and management.

Gas protection is equipped with first aid equipment and vehicles, with

full-time gas paramedics.

7.8.5 Expected effect

This project in view of the production process and the specific local



conditions, and according to relevant national standards, rules, regulations,

adopted in the design of preventing earthquakes, lightning, torrential rain, heat,

and at the same time a series of safety power supply, water supply, other

damage prevention measures, under normal circumstances, the mechanical

and electrical equipment and personal safety; production characteristic, take the

dust, noise reduction, to poison the air volume control, for the worker to create a

good operating environment, enterprises shall play a role of establishing an

effective safety and health management system, worker safety and labor health

will further safeguard.

Fire control design of this project is in line with the principle of "prevention,

fire control combination", according to the relevant laws, regulations and norms,

has adopted a series of preventive measures, in normal circumstances, can be

found in time, prevent and reduce the dangers.



Chapter VIII Technical and economic analysis

8.1 Factory system and organization

After the completion of the project, the internal mechanism based on the

principle of lean, efficient, and are combined with the characteristics of blast

furnace smelting and alloy enterprises, the design capacity are 240 (referred to

the chart)

Blast furnace, sintering, lime kiln, power plants are based on continuous

production, four shifts personnel for the post production personnel.

*** International Indonesia Mining investment Co., Ltd General Manager is

responsible for this linear system.



Personnel plan

Department manager Day duty Day shift Middle shift Night shift rotate days off subtotals

Chairman of the board 1 1

General manager 1 1

Vice general manager 2 2

Office 3 3

Finance department 4 4

Marketing department 3 3

General affairs 1 3 3 3 10

Raw material workshop 4 13 13 30

Sintering workshop 4 14 14 14 14 60

Lime kiln workshop 1 4 4 4 4 17

Smelting workshop 4 36 36 36 36 148

Power plant 3 10 10 10 10 43

Power distribution 2 4 4 4 4 18

Machine running 2 10 10 10 10 42

Maintenance 4 10 10 10 10 44

Guard 3 4 4 4 15

Loadometer 3 3 3 3 12

Warehouse 4 4 4 4 4 20

Total 473



Chapter IX Project implementation plan

9.1 Construction cycle planning

The construction period is divided into prophase work stage and project

construction implementation stage two parts.

The preparatory work, including the preparation of project feasibility

research report, proof; the funds, the construction drawing design, etc., for

Indonesia's special circumstances, is expected to 6 months.

The project implementation stage: domestic equipment purchase, transport,

packaging, shipping, customs clearance, civil construction, installation,

commissioning, is expected to 8 months.

9.2 Schedule for each implementation stage

1. XXX, complete the project possibility study report;

2. XXX ~ XXX, complete the construction drawing design;

3. XXX officially starts construction;

4. December 2015 complete 2X80m3 blast furnace, lime kiln, 1X150 m3

1X52 M2 step sintering production line, 2X3MW gas power generation projects

and put into operation.

5. February 2016 achieve the design index.



ChapterX Investment estimation and fund raising


The estimated investment of the project includes: main production projects,

auxilary project, public project and other supporting expenses etc...

10.1.1 Compilation basis

1, "Construction project feasibility study of investment estimate preparation

method"

2, "Other construction costs to prepare regulations"

3, All professional estimation indicators, reference to similar engineering,

combined with the actual project adjustment

4, Investment estimation concords with the first half of 2014 prices

5, State Development Planning Commission of investment (1999) Notice

No. 340 "on the basic construction of large and medium-sized projects post

reserve funds management"

6, Iimport and export duties and shipping fee provisions

7, Indonesia relevant provisions on the engineering construction

10.1.2 Main equipment and materials prices

1, Equipment price

The main reference is referred to similar engineering estimated data The

insufficient part is referred to recent engineering pricing of economic information

data.



2, Main material price

Main material of construction engineering is determined according to the

current market price of precious and special materials for recent inquiry.

10.1.3 Estimated indication

1, Installation engineering

According to the designed evaluation of the project; or by reference to the

similar engineering investment indicators

2, Construction engineering

Construction project is according to per square meter cost, structures,

cubic meters cost conditions, and roads are according to the purchase price of

the cubic meters square metre cost estimates.

10.1.4 Investment estimation

This project estimation is based on Zhongding international mining

investment Co., Ltd. annual capacity of 50,000 tons nickel iron Indonesia

production line construction content compilation, with a total investment of 250.4

million RMB (total investment form shown in table.

Total investment table



No Project Investment (10

thousands) ￥ Ratio Note

1 Construction project cost 2160 8.63

Office, living, roads,

landscaping, port road

outside the fence

excluded

2 Installation cost 1460 5.83 Indonesia construction

cost

3 Equipment outsourcing 13940 55.67

4 Other expense 7480 29.87

Liquidity, design cost

and circulating funds

included

Total 25040 100% Land cost, wharf, roads,

outside wall excluded

10.2 Raising funds

Enterprise raises the funds, bank interest is not considered in order for

convenientcalculatation.

Table 10-1 Investment evaluation Unit: ten thousand RMB



No. Construction or cost items Construction

expense

Equipment

expense

Installation

expense

Other

expense Total Ratio (%)

1 Engineering cost 2159.84 13940.93 1460 0.00 17560.77 70.13

1.1 Raw material factory part 832.52 2808.04 110 3750.56 14.98

1.2 Blast furnace part 484.26 3866.43 960 5310.69 21.21

1.3 Lime kiln part 192.77 530.89 130 853.66 3.41

1.4 Sintering part 294.21 3530.48 120 3944.69 15.75

1.5 Power generation parts 286.5 2528.56 138 2953.06 11.79

1.6 Test part 55 74.53 129.53 0.52

1.7 Weigh bridge 15 12 2 29 0.12

1.8 Transport transit vehicles 590 590 2.26

2 Engineering construction 1240 1240 4.95

2.1 use of land 0.00

2.2 Construction management fees 80 80 0.32

2.3 Survey and design 460 460 1.84

2.4 Construction teperary expense 360 360 1.44

2.5 Engineering construction supervision 0.00 0.00

2.6 Engineering insurance premium 0.00 0.00

2.7 Joint type car 300 300 1.2

2.8 Production staff training 60 60

2.9 Office furniture purchase expense 0.00 0.00

3.0 Reserve funds 4975.03 4975.03 19.87

3.1 Basic reserve funds 682.52 683.52 2.73

3.2 Surprice of reserve funds 292.51 292.51 1.17

4 Circulating fund 1800 1800 7.19

6 Construction total investment 2159.84 13940.93 1457 4015.03 25040 100%

Percentage (%) 8.63 55.67 5.82 16.03 100% 100%



ChapterXI Technical and economic analysis

11.1 Specifications

The economic analysis and evaluation is in accordance with the National

Development and Reform Commission and the Ministry of Construction issued

the "construction project economic evaluation method and parameter (third

edition)" the relevant provisions and with the combination of current fiscal and

taxation laws and regulations in Indonesia.

11.2 Basic data

1) Production scale and product solutions

After the completion of the project, the scale of production will achieve

annual production nickel iron blast furnace 50,000 t/a (10% nickel). Production

cost of sintered ore is 273,000 t/a, coke 110,000 t/a.

2) Implementation schedule

Projec construction period is 10 months, commissioning period two months;

production shall be the second year.

3) Wages and welfare funds estimates

This project needs labor capacity of 473 people, salary and welfare funds is

at $10,000 per person per year, calculated the annual salary and surcharge is

$4.73 million.

4) Production scale and product solutions

Daily output of 142 tons nickel iron (10% nickel).

5) Calculation period



The evaluated life period of the construction project is 12 years; construction

period is 1 year, the fund raising period 1 year.

11.3 Product cost

11.3.1 Operating cost estimates

11.3.1.1 Main raw material consumption

1) Main smelting raw material composition

Coke, laterite nickel ore, limestone, fluorite, anthracite

Description:

1, Above the all is to Indonesia factory price;

2, Coke considers transfer powder is 5%;

3, Laterite nickel ore price to factory wet tons price is $32.4, 65% water;

4,Gray coal calculated at 5000 kcal, per coal 340 g for 1 degree, the surplus

blast furnace gas power generation should be added every day 16.32 tons of

No Items Unit price

(USD/t)

Daily

comsumption (t)

Annual

comsumption(ten

thousand t)

Daily cost

(USD)

Annual cost(ten

thousands USD)

1 coke 228.4 314.29 11 71783.84 2512.43

2 Laterite nickel ore 32.3 222.16 7.78 7175.77 251.29

3 Lime stone 12.9 214 7.49 2760.6 96.62

4 Fluorite 96.8 1.3 0.46 125.84 44.53

5 Material consumption 30/t Ni ore 3900 136.5

6 Lignite power generation 30 16.32 0.57 489.6 17.14

7 Anthracite coal 120 70 2.45 8400 294

Total 107093.81 3101.22



coal.

5, Anthracite is sintering using coal, coke powder amount is insufficient, and

anthracite coal is needed to be added. Daily anthracite coal, 70 tons

11.3.1.2 Other cost estimation

No. Items

Daily production cost

( Ten thsousands

USD)

Annual production cost

( Ten thsousands USD) Remarks

1 Wage 1.35 473

Factory workers in the production is 473

persons according to the calculation, the

salary and benefits is $10000 per person per

year

2 Maintenance

costs 0.03 11.89

3 Depreciation

cost 1.13 396.2

Building investment is calculated by 20

years depreciation, equipment

depreciation depreciation is 10 years, the

salvage value 5% maintenance fee

depreciation is 3% of the value

3 Insurance

premium 0.02 7.4

4

Nickel iron

sales sea

freight

0.5 175 Nickel iron all assumed to be sold in China

Total 3.03 1060.5

Description:

Sea freight for the nickel iron production sales to China sea freight, each ton



of nickel iron is $35.

11.3.2 Gross income

No Item Daily output (t) Unit price Daily income (ten

thousands USD)

Annual income(ten

thousands USD)

1 Ni 142 2000 28.4 9940

Description:

Nickel iron China sales price is $2000 per ton, 10% nickel, all kinds of freight

to China is calculated at $35 per ton.

11.3.3 Gross profit (before tax)

Daily profit (ten thousands USD) Annual profit (ten thousands USD)

14.66 5131

11.4 Investment recovery period

1, Total investment is 258 millionRMB, that is, 42.0881 million USD;

2, Total revenues is $51.31 million

3, Iinvestment recovery:

4208.81/5131 = 0.82 year, construction period 1 year, debugging period 2

months

The total investment capital shall be recovered in 1.82 years.

<Finish>

Documents

Feasibility Study Report on 50000TPY Blast Furnace Project