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Mahendra Sponge and Power Limited [Expansion of Steel plant] Plot No.: 76 & 77, Phase # 2, Industrial Growth Center, Siltara, Raipur District, Chhattisgarh PRE-FEASIBILITY REPORT

Mahendra Sponge and Power Limited · Mahendra Sponge & Power Ltd. is existing steel plant at Plot No. 76 & 77, Phase # 2, Siltara Industrial Growth Centre, Raipur District, Chhattisgarh

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Mahendra Sponge and Power Limited [Expansion of Steel plant]

Plot No.: 76 & 77, Phase # 2,

Industrial Growth Center, Siltara,

Raipur District, Chhattisgarh

PRE-FEASIBILITY REPORT

Expansion of Steel Plant Pre-feasibility Report

1

Chapter - 1

EXECUTIVE SUMMARY

1.1 ABOUT PROJECT PROPONENT

Mahendra Sponge & Power Ltd. [here in after referred as MSPL] company is in steel

business and having good reputation in the market, which was gained with good business

experience. Looking forward in prospects of Steel sector, MSPL propose to go for expansion

of steel plant in Raipur District of Chhattisgarh State.

1.2 ABOUT THE PROPOSED PROJECT

Mahendra Sponge & Power Ltd. is existing steel plant at Plot No. 76 & 77, Phase # 2, Siltara

Industrial Growth Centre, Raipur District, Chhattisgarh. Now as a part of expansion, we are

planning to enhance the capacity of Pellet plant and establish new unit of Rolling mill and

Ferro alloys. Following is production capacity and plant configuration:

Table 1

S.No. Unit Existing plant Proposed Expansion After Expansion

1. Pellet plant 90,000 TPA 6,00,000 TPA 6,90,000 TPA

2. Sponge Iron 60,000 TPA (2 x 100 TPD)

--- 60,000 TPA (2 x 100 TPD)

3. Induction furnace

50,000 TPA (2 x 6 MT & 1 x 8 MT)

50,000 TPA (1 x 15 MT)

1,00,000 TPA (2 x 6 MT, 1 x 8 MT &

1 x 15 MT)

4. Rolling Mill --- 1,00,000 TPA (1 x 300 TPD)

1,00,000 TPA (1 x 300 TPD)

5. Ferro Alloys --- FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

6. Power (WHRB) 4 MW --- 4 MW

7. Power (FBC) 4 MW --- 4 MW

35.0 acres of land is in possession of management and proposed expansion will be taken up

the existing plant premises.

Total project cost envisaged for the proposed project is Rs.175 Crores.

Expansion of Steel Plant Pre-feasibility Report

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Chapter - 2 INTRODUCTION OF THE PROJECT / BACKGROUND INFORMATION

2.1 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

Mahendra Sponge & Power Ltd. [here in after referred as MSPL] company is engaged in

steel business and having good reputation in the market, which was gained with good

business experience. Looking forward in prospects of Steel sector, MSPL propose to go for

expansion of steel plant in Raipur District of Chhattisgarh State.

2.2 BRIEF DESCRIPTION OF NATURE OF PRODUCT

The company after assessing the market potential of the steel industry thoroughly decided

to go in for iron-ore pellets. The highly encouraging response received on market survey

also ruled favorably for the said project. Promoters are well experienced entrepreneurs

and are well supported by technical personnel experience to run such unit.

Presently, most of the coal based sponge iron plants in India uses iron ore lumps. The

requirement is generally 1.8 t/ t of sponge iron. This high requirement is mainly due to the

fines generated in handling the purchased ore from the source to the plant. This reduces

the kiln campaign length and increases ore fines lost.

Use of pellets with better physical and metallurgical properties for sponge iron production

reduces the accretion formation in the kiln and the pellets consumption is about1.6 t/t.

Further, the production from the kiln is expected to increase by 25% to 30%.

In view of the above, Mahendra Sponge & Power Ltd. proposed to go for expansion of

pellet plant in the existing steel plant at Plot No. 76 & 77, Phase # 2, Siltara Industrial

Growth Centre, Raipur District, Chhattisgarh.

2.3 NEED FOR THE PROJECT AND IMPORTANCE TO THE REGION

Utilization of low grade ore and fines has to play an important role. In India partly due to

the sponge iron sector; the overall percentage of lumps usage in steel making (47%) is

higher than most other countries. As hard ore reserves is depleting day by day, lump

generation suitable for blast furnace operation is coming down resulting in production of

large amount of surplus fines. Alternative iron making processes for production of steel

may lead to changing pattern of use material inputs and feed stock causing significant shift

Expansion of Steel Plant Pre-feasibility Report

3

in respective share of lumps and agglomerated iron ore (pellets) and will also enable the

use of ores which could not be utilized earlier. As fines forms considerable part of iron ore

resources, value addition to the iron ore fines through various activities such as

beneficiation, Pelletization is the need of the hour.

2.4 DEMAND – SUPPLY GAP

With the rapid development of Infrastructure and manufacturing sector, the Iron and steel

industry is poised for an accelerated growth. Steel demand in the country is increasing at

an average rate of 10% and is likely to remain in 10-12% range at least for the next

decade. In order to meet the steadily growing steel demand in the country, domestic steel

producing capacity is required to be higher than 110 mtpa within next three years and,

150 mtpa by the year 2016-17. Indian economy is growing at more than 10% rate, steel

demand and supply will grow in the same way. As good quality iron ore deposits are

depleting fast beneficiation technologies will have to be adopted to meet iron ore

demand. Therefore good yield of beneficiation process generally around 70 % will make

this technology economically viable.

Agglomeration technologies such as Pelletization will have to be added to DRI Plant

/ Steel Plant so that concentrates can be used as feed material. Recycling of

cheaper raw material (fines) by beneficiation and pelletization process as feed

material will result in better Return on Investment as compared to using Iron ore

as feed material.

With superior reducibility behavior of pellets compared to lump ore efficiency of

DRI production improves.

It can be concluded from results obtained by conducting various tests on

manufactured pavement blocks that substitution of iron ore tailings for sand or

quarry dust shows better compressive strength without much change in water

absorption.

In the Indian context, by the year 2020, India’s production of steel is expected to touch110

Million Tonnes and it is imperative that the fines generated in the mining of iron ore be

utilized for the production of steel. The Indian steel industry which predominantly uses

expensive lump ore is gradually moving towards usage of iron ore pellets.

Expansion of Steel Plant Pre-feasibility Report

4

The present Indian raw material scenario offers an opportunistic disposition towards

pellet making owing to the availability of large quantities of sub grade fines, slimes and

blue dust etc. at different mine heads. These materials are not suitable for sinter making.

Pelletization is the only possible route for salvaging these, otherwise waste but valuable

materials. Recent techno-economic studies indicated favorable indices for installation of

pellet plants, both small and large scale. The demand supply analysis also underlines the

need for Pelletization.

2.6 EMPLOYMENT GENERATION (DIRECT & INDIRECT)

PHYSICAL INFRASTRUCTURE

Once the proposed activity is commissioned, the socio-economic status of the local people

will improve and there by infrastructure facilities like communication systems will

improve. Most of the villages at present do not have protected water supply. After the

implementation of the project, the affordability of the public to spend on water

treatment, supply & distribution will more along with the aid from the state government.

EMPLOYMENT POTENTIAL

The proposed project creates employment to 100 people during construction and 50

people during operation of the proposed expansion.

SKILLED

Total skilled employment in the proposed plant will be around 15.

SEMI-SKILLED

Total Semi-skilled employment in the proposed project will be around 15. Priority will be

given to local people for semi-skilled jobs.

UNSKILLED

Total Unskilled employment in the proposed project will be around 20. Top priority will be

given to local people for unskilled jobs.

Expansion of Steel Plant Pre-feasibility Report

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Chapter - 3

PROJECT DESCRIPTION

3.1 TYPE OF THE PROJECT

Mahendra Sponge & Power Ltd. is existing steel plant at Plot No. 76 & 77, Phase # 2,

Siltara Industrial Growth Centre, Raipur District, Chhattisgarh. Now as a part of expansion,

we are planning to enhance the capacity of Pellet plant and establish new unit of Rolling

mill and Ferro alloys. Following is production capacity and plant configuration:

S.No. Unit Existing plant Proposed Expansion After Expansion

1. Pellet plant 90,000 TPA 6,00,000 TPA 6,90,000 TPA

2. Sponge Iron 60,000 TPA (2 x 100 TPD)

--- 60,000 TPA (2 x 100 TPD)

3. Induction furnace

50,000 TPA (2 x 6 MT & 1 x 8 MT)

50,000 TPA (1 x 15 MT)

1,00,000 TPA (2 x 6 MT, 1 x 8 MT &

1 x 15 MT)

4. Rolling Mill --- 1,00,000 TPA (1 x 300 TPD)

1,00,000 TPA (1 x 300 TPD)

5. Ferro Alloys --- FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

6. Power (WHRB) 4 MW --- 4 MW

7. Power (FBC) 4 MW --- 4 MW

3.2 LOCATION OF THE PROJECT

Proposed Project is located at Plot No. 76 & 77, Phase # 2, Siltara Industrial Growth

Centre, Raipur District, Chhattisgarh. 35.0 acres of land is in possession of management

and proposed expansion will be taken up the existing plant premises.

Topographical location of project site is shown below:

Expansion of Steel Plant Pre-feasibility Report

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Expansion of Steel Plant Pre-feasibility Report

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Expansion of Steel Plant Pre-feasibility Report

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3.3 DETAILS OF THE ALTERNATE SITES

No alternative site have been considered as proposed expansion will be taken up in the

existing plant premises.

3.4 SIZE OR MAGNITUDE OF OPERATION

As a part of expansion, MSPL proposed to enhance the capacity of existing Pellet plant and

establish new unit of Rolling mill and Ferro alloys. Following is production capacity and

plant configuration:

S.No. Unit Existing plant Proposed Expansion After Expansion

1. Pellet plant 90,000 TPA 6,00,000 TPA 6,90,000 TPA

2. Sponge Iron 60,000 TPA (2 x 100 TPD)

--- 60,000 TPA (2 x 100 TPD)

3. Induction furnace

50,000 TPA (2 x 6 MT & 1 x 8 MT)

50,000 TPA (1 x 15 MT)

1,00,000 TPA (2 x 6 MT, 1 x 8 MT &

1 x 15 MT)

4. Rolling Mill --- 1,00,000 TPA (1 x 300 TPD)

1,00,000 TPA (1 x 300 TPD)

5. Ferro Alloys --- FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

FeSi – 12,600 SiMn – 28,400 FeMn – 37,000

(2 x 9 mVA)

6. Power (WHRB) 4 MW --- 4 MW

7. Power (FBC) 4 MW --- 4 MW

3.5 MANUFACTURING PROCESS

3.5.1 PELLETISATION UNIT

The iron ore pelletization unit comprises of following sections:

1. Drying & Prepn. of Iron Ore Fines

2. Grinding

3. Mixing and Blending

4. Pelletization

5. Screening

6. Travel Grate Furnace

7. Rotary Kiln

8. Cooler

9. Stacking

10. Recovery of Dust and Spillage

Expansion of Steel Plant Pre-feasibility Report

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a. Drying & Preparation of Iron ore Fines:

Generally Iron Ore Fines, Lime Stone and Dolomite fines available, contain more than 6-

7% moisture and require drying before grinding. The drying is carried out in Rotary

Drum Dryer. The moisture content in the dry material is controlled. The low grade Iron

Ore Fines is feed in a screen for separation. Oversize/ under size moves to the primary

grinding circuit.

b. Grinding

Iron Ore Fines, Dolomite and Lime Stone are mixed in required proportion and fed into

a Ball Mill. The fineness of the product is controlled as may be necessary for particular

ore and Pellet quality.

c. Mixing and Blending

Iron Ore powder blended with Bentonite and other binding materials in desired

proportion. Small quantity of water is added during blending operation. This raw mix is

ready for Pellet making and store in feed hopper.

d. Pelletization

Controlled quantity of raw mix is fed on disc Pelletizer. Some amount of water is

sprinkled for producing Pellets. These Pellets are passed through oversize and undersize

screens. Sized Pellets are then sent to sintering section.

e. Screening

Pellets produce in Pelletization sections are passed through oversize and undersize

screens. Rejects Pellets are sent back to raw mix silos sized Pellets are fed in to

Indurations Furnace.

f. Travel Grate Furnace

A Travel Grate Furnace is used for indurations of Pellets. This is divided into 3 sections

(Drying–Preheating–Heating). Hot Pellets at around 950ºC to 1000ºC from this Travel

Grate are dropped into the Kiln for further strengthening.

Expansion of Steel Plant Pre-feasibility Report

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g. Rotary Kiln

Rotary Kiln receives Pellets from the Indurations Furnace where Pellets have to

withstand at high temperature approx. 1050ºC – 1200ºC. Here the Pellets gain more

hardness due to high temperature. Furnace Oil / Producer Gas is used as a fuel inside

the Kiln. After the Kiln the Pellets are passed to the Grate Cooler.

h. Cooler

Grate Cooler receives hot Pellet with temperature up to 1200ºC coming from Rotary

Kiln. Cooler has its own blowers to blast the air from bottom. The hot air from the first

zone is used as a combustion air in kiln. The hot blast of the second zone is used in the

pre-heating zone-1 of travel grate and the air from the 3rd zone is discharged to the

atmosphere through chimney as its dust concentration is well within the permissible

limits of pollution norms. Volume of cooling air in all the three zones is regulated

automatically through the temperature control loops as per the requirement. Cold

Pellets at about 100ºC are discharged on conveyors and they are quenched by the cold

water for further cooling and then conveyed to the stock pile/ loading hoppers.

i. Stacking

The screened Pellets of required size duly cooled at air cooler and subsequently natural

cooling are transported to Bunkers

j. Recovery of Dust and Spillage

Spillage from drying zone and preheating zone of traveling grate, dust from the wind

box of traveling grate and dust collected through de-duster of technological process

shall meet and will be sent to dust bin via belt conveyor, after they are ground together

with iron ore concentrate at grinding mill. Spillage (dry Pellets) produced at the

discharge end of traveling grate will be fed into the kiln from the feed chute of the kiln

feed end by bucket elevation. Almost all the dust and spillage are re-circulated and

recovered.

Expansion of Steel Plant Pre-feasibility Report

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Process flow diagram

3.5.2 INDUCTION FURNACE

Semi-finished steel in the form of Steel Ingots & Billets is manufactures through Induction

Furnace with Concast that works on the principle of induction melting of scrap/ Pig Iron

with the help of electric power. An alternating electromagnetic field induces eddy current

in the metal so that the electrical energy converts into heat whose quantity depends on

the resistively of the charge. If the charge consists of the metal scrap, chips other metal

rejections then the eddy currents arise between separate pieces of charge because high

contact resistance. So small charge pieces required increase frequency of current that

feeds the induction heater in order to speed up melting of the charge. Induction furnaces

operate on current of commercial frequencies (50 HZ) or on current of higher frequencies

from 500 to 2000 Hz. Induction furnaces are beneficial in steel making for low melting loss.

Expansion of Steel Plant Pre-feasibility Report

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An Induction furnace constitutes a single larger primary coil made of water- cooled copper

tube. The working voltage impressed across the terminals of the coil. These furnaces have

a great much application for melting of iron, Steel and Nonferrous. This type of furnace

has a rammed lining. The ramming matenal silica mass contains should more then 96%

silica and minimum of Al2O3 & Fe2O3. Before ramming the material a steel template kept

inside the furnace and rammed the material between the template and the insulated coil

of the induction heater. To minimize the consumption of electric power and cut down the

melting period the crucible wall must be as thin as possible. During running the furnace

one must keep watch on the state of lining because it operates under most unfavorable

condition. The inside of crucible lining is in contact with liquid metal while its outside

surface contacts the water-cooled induction.

Charging: -

The pieces of scrap should be kept on the bottom gently to avoiding impacts into a

compact heap. The scrap pieces / Pig Iron should be in small size that provide good

compacting of the batch without leaving spacing between the charge and crucible wall.

This offer an advantage of quick melting of the charge with a minimum power spent in the

stage for the heat.

The zone of a highest temperature during the meet lies in the power part of the crucible

therefore it is practical to place first high melting scrap on the crucible bottom. Large and

high melting pieces should stand parallel and close to the crucible was while low melting

components should be in the middle of the large crucible. Small capacity furnaces are

loaded manually and the large capacity furnaces with the aid of buckets.

Melting: -

At the beginning of the melting the furnace works for 5 to 10 minutes on low power until

the surge of current fed from the generator disappear. The furnace power is then brought

up to a maximum. The charge melts with the crucible held closed. When the charge

approaches the fluid stages then the solid pieces are pressed backed with a crow bar. The

furnaces is then loaded to its capacity by adding small size of scrap as soon as the charge

melted, the stag is formed to protect the metal from oxidation and to avoid reduce the

melting loss. If the slag generate in excess it should be skimmed off periodically, at the last

to deoxidized the metal with Ferromanganese, Silico-manganese and Ferro-silicon. Now

the metal is ready tap for either in ingot or billet casting.

Expansion of Steel Plant Pre-feasibility Report

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Casting in Ingot mould: -

For casting ingot the metal temperature should be around 1560ºC/ 1570 ºC in ladle. Liquid

metal tap from furnace to ladle by the help of crane then the ladle in the centered on the

trumpet metal flows from the ladle bottom and filled the ingot mould. Thus the ingot is

ready.

Casting in B.C.M: -

Steel for making billet, the temperature of liquid metal from furnace to ladle, the final

metal temperature in ladle should be 80ºC. superheat from liquidious. Liquid metal is

storage in tundish through ladle then the tundish metal passes from the various section of

mould jacket that is as per requirement (100 X 100 mm, 125 X 125 mm, 160 X 160 mm,

200 X 200 mm) this is a continuous process, length of billet of is cut as par requirement.

Process flow chart is enclosed.

PLANT FACILITIES FOR CONTINUOUS CASTING MACHINE

Billet caster:

The billet caster shall be complete with ladle stand, mould assembly, strand guide

segments and supports withdrawal and straightening system, mould cooling system, Cut

off equipment including length measuring device, Marking machine etc. Requisite dummy

bar and facilities for Dummy bar disconnecting and a dummy bar receiver will be included.

Auxiliary equipment :

The auxiliary facilities required for the Billet caster will be included. This will include

operating platform, cooling bed, ventilation system for spray chambers, equipment for

collection and disposal of crop-ends, Repair and assembly facilities for moulds, and

segments, Tundishes, Tundish preparation facilities including tundish drying station,

Hydraulic system and Centralized lubrication system, scale handling system.

Electrical Equipment:

The electrical equipment for the caster will include the drives, HT switchgear, LT

switchgear, control desks, cabling and accessories.

Instrumental and automation:

A modern DCS process automation system shall be provided for control of process

function, sequencing and interlocking and to execute safely controls. Specific features

shall include mould level control, computer aided quality control, and process field

Expansion of Steel Plant Pre-feasibility Report

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instruments comprising measuring units, transmitters, load cells, actuators, Programmable

controllers and PCs ands communication system.

PLANT FACILITIES for LADLE FURNACE

The LF installation will be single station system with provision for arc heating, inert gas

stirring, and addition of ferroalloys and additives. The LF will be complete with

transformer, Ladle stirring system Aluminum wire feeder, Carbon injecting device,

additives storage and addition system, Sampling and temperature measuring device. A

fume extraction and cleaning system consisting of bag filters, ID fan and chimney with the

related ductwork will be provided.

Auxiliary equipment:

The auxiliary facilities required for the LF will be included the transfer cars, slag handling

facility, hydraulic and lubrication systems, Electro nipping station.

Expansion of Steel Plant Pre-feasibility Report

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3.5.3 ROLLING MILL UNIT

Rolling mill unit comprise of Reheating furnace and Bar & round mill.

Reheating furnace

A pusher type furnace has been envisaged for the heating of billets. The furnace will be

end charging and side discharging. It will have single row as well as double row charging

facility. The furnace will be heated with FO. The furnace combustion system will comprise

of air blowers, FO storage, supply and preheating system and other associated facilities.

The product of combustion will leave the furnace at charging end and exhausted through

underground flue tunnel and passed through a metallic tubular recuperator before finally

let off to a self-supporting steel chimney of sufficient height. A set of instrument will be

used for smooth operation of the furnace.

Bar and round mill

A cross country type mill has been envisaged for the plant. The stands have been grouped

into roughing, intermediate and finishing groups. Roughing group will have 4 (four)

stands, intermediate group will have 8 (eight) stands and finishing mill will have 8 (eight)

stands. Roughing group of stands will be driven by one motor. 4 nos. of intermediate

stands will be driven by two motors and balance 4 nos. will be driven by a separate motor.

Each stand of finishing group will be driven by single motor. Necessary guides and troughs

will be provided at entry and exit of mill stands.

One wire rod out let has been provided in the mill. The wire rod line will have 4 stand

block driven by a single motor through gear box. Coil forming and handling of coil is

provided.

Automated tilting, drop type tilter and feeding arrangement will be provided in roughing

group of stands. Repeaters have been provided in roughing / intermediate stands as

necessary.

Design provision has been made for introduction of slit rolling facility in future to roll 8

mm, 10 mm & 12 mm rebars in two strands. The rebars discharged from the mill will pass

through a water cooling system comprising cooling pipes with high pressure water nozzles

for rapid water quenching. At the cooling pipes the bar skin temperature will be reduced

to about 600ºC. The core of the bar still remains hot. This entrapped heat tempers the

bar. This thermo-mechanical treatment of the bars increases tensile strength without

Expansion of Steel Plant Pre-feasibility Report

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adversely effecting weldability and elongation properties. This process eliminates

requirement of cold twisting of bars for production of rebars.

A dividing shear, to cut the products to cooling bed length, will be located immediately

after the water cooling system. This shear will divide all products to cooling bed lengths.

Rake type cooling beds have been envisaged to receive the rolled product. Cooling bed

will be provided with incoming and outgoing roller tables. One cold shear has been

provided to cut the bars coming out of cooling bed into commercial length of 6 to 12 m.

The bar products will be formed into bundles and will be strapped by strapping machine

manually.

The finished products will be removed by overhead EOT crane and stored in the storage

area or dispatched through road vehicles.

3.5.4 FERRO ALLOYS UNIT

In Ferro alloy plant, Silico Manganese, Ferro Manganese and Ferro Silicon is produced by

smelting of Manganese ore with coke, coal, quartz and dolomite. The smelting is a

continuous process which will be done in submerged arc furnace with a line voltage of 70-

170V. The raw material premix will be charged into the furnace near the electrodes

through chutes. The electrodes used are of self-baking type in which a series of cylindrical

steel casings welded on the top of each other forms the electrode column in which solid

green carbon ‘paste’ blocks are added periodically from the top of the column. This system

takes advantage of the electric power used for the process to bake the electrodes in place.

The smelting process thus in submerged arc furnace produces the ferro alloys.

Manufacturing Process Flow Chart is as below:

Electric Arc Furnace

Feeders (for proper proportion)

Quartz

Manganese Ore Coal (Coke)

Ferro Alloys

Slag

Expansion of Steel Plant Pre-feasibility Report

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3.6 RAW MATERIAL REQUIREMENT

Raw material required are as followed:

For Pelletisation unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Iron ore fines 663060 Local / Orissa Sector By road through covered road

2. Coal fines 21450 Indonesia / South Africa / Australia

Through sea route / rail route / by road

3. Limestone 9020 Chhattisgarh / Madhya Pradesh

By road through covered road

4. Bentonite 6800 Gujarat By road through covered road

For Induction Furnace unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Sponge Iron 45000 In house generation

----

2. Scrap 6375 Chhattisgarh By road through covered road

3. Ferro Alloys 675 In house generation

----

For Rolling mill unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Billets / Ingots 108300 In house generation

----

For Ferro Silicon unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Quartz 16890 Chhattisgarh / Andhra Pradesh

By road through covered road

2. Pet coke 5600 Chhattisgarh / Bihar

By road through covered road

3. MS Scrap 350 Chhattisgarh By road through covered road

4. Electrode paste 840 Chhattisgarh By road through covered road

For Silico Manganese unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Manganese Ore 31780 MOIL / OMC ----

2. Mn. Slag 18000 In house generation

----

Expansion of Steel Plant Pre-feasibility Report

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3. Quartz 7800 Chhattisgarh / Andhra Pradesh

4. Pet coke 3160 Chhattisgarh / Bihar

For Ferro Manganese unit

S.No. Raw Material Quantity (TPA) Source Mode of Transport

1. Manganese Ore 53400 MOIL / OMC By road through covered road

2. Pet coke 30780 Chhattisgarh / Bihar

By road through covered road

3. MS Scrap 2060 Chhattisgarh By road through covered road

4. Electrode Paste 6160 Chhattisgarh By road through covered road

3.7 WATER REQUIREMENT AND ITS SOURCE

Water required for the proposed expansion project will be 1070 KLD. Water required will

be supplied by C.G. Ispat Bhumi Ltd.

3.8 SOLID WASTE GENERATION AND ITS DISPOSAL

S.No Type of Solid waste Quantity (in TPD)

Disposal Proposed

1. Ash / Dust generated from Pellet plant

54 Will be recycled back into the process.

2. Tar generated from Producer gas plant

4 Will be given to coal tar distillation units

3. Slag from SMS 17 Slag generated from SMS will be crushed and after iron recovery the inert material will be used in road construction/given to brick manufacturers.

4. Mill scales from Rolling mill 17 Reused in SMS

5. Slag from FeMn 100 To be reused in manufacture of Silico Manganese as it contains high MnO2 and Silicon

6. Slag from FeSi 13 To be used in cast iron foundries.

7. Slag from SiMn 103 To be used for road construction / slag cement manufacture

Expansion of Steel Plant Pre-feasibility Report

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Chapter - 4 SITE ANALYSIS

4.1 CONNECTIVITY

The proposed site is well connected with Road – Rail network. The following table gives

brief regarding connectivity of the proposed site:

Component Description

Road : NH – 200 = 1.3 km

Rail : Nearest station – 6.3 km (Mudhera RS) Mumbai-Howrah mail line

Air : Raipur Air Port – 21 Kms.

Sea Port : Vishakapatanam – 500 Kms.

The location has a big advantage in its closed proximate to its market. Traditionally, iron

manufacturing units have tendered to cluster in the eastern zone of India namely in the

state of Jharkhand, Orissa and Chhattisgarh because of easy availability of major raw

input iron-ore and coal. Infrastructural and other utility services are easily available.

Skilled and un-skilled laborers are also available easily.

Below mentioned table gives brief regarding environmental setting of the project site

S.No Particulars Distance from the site

1. National Park = No national Park is situated within the 15 km radial distance periphery

2. Wild life sanctuaries = Nil

3. Eco Sensitive Areas = Nil

4. Forests = Nil

5. Surface water bodies = Kharun River – 3.2 Kms. Kulhan nala – 9.0 Kms.

6. Costal Regulation Zone [CRZ] = Nil

7. Industrial Area = Siltara Industrial area within close vicinity

4.2 Land use

Existing plant is located in the Siltara Industrial Growth Centre. The terrain of the land is

almost plain.

Expansion of Steel Plant Pre-feasibility Report

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4.3 Topography

The topography of the land is flat without undulations.

4.4 Existing land use pattern

MSPL is an existing plant situated in Siltara Industrial Growth Centre. Land is converted for

Industrial purpose. 35.0 acres of land is in possession of management and proposed

expansion will be taken up in the existing plant premises.

There are no ecologically sensitive places like national park, sanctuary, biosphere

reserve, reserve forest etc. around 10 Kms. radius of the site. There is no route of

migratory animals within the project site. The site satisfies the criteria stipulated by the

Ministry of Environment & Forest, Government of India for setting up of industries.

4.4 Existing infrastructure

Water supply in most of the villages is available. Inter-village transport facility is available

only for the selected villages. While educational facilities & health facilities are not

encouraging in most of the villages. There is well established road connection.

4.5 Climatic data from secondary sources

Raipur has a tropical wet and dry climate, temperatures remain moderate throughout the

year, except from March to June, which can be extremely hot. The temperature in April–

May sometimes rises above 48 °C (118 °F).These summer months also have dry and hot

winds. In summers, the temperature can also go up to 50 °C. The city receives about 1,300

millimetres (51 in) of rain, mostly in the monsoon season from late June to early October.

Winters last from November to January and are mild, although lows can fall to 5 °C (41 °F).

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Chapter - 5 PLANNING BRIEF

5.1 Planning Concept

Mahendra Sponge & Power Ltd. is existing steel plant at Plot No. 76 & 77, Phase # 2,

Siltara Industrial Growth Centre, Raipur District, Chhattisgarh. Now as a part of expansion,

we are planning to enhance the capacity of Pellet plant and establish new unit of Rolling

mill and Ferro alloys.

5.2 Population Projection

The project will be providing direct employment to nearly 100 workers. The local persons

will be given preference in employment as per the qualification and technical

competencies. Necessary training will be given to train the unemployed youths of the

nearby villages as per the qualification and technical competencies. Indirect employment

opportunities will be created in the periphery of the project automatically as the

project started operation in the region. In order to operate and maintain the plant

facilities, including its technical general administration needs, the manpower for the

proposed expansion will be 100. The above manpower covers the top management,

middle and junior level executives and other supporting staff including workforce.

5.3 Land use Planning

MSPL is an existing plant situated in Siltara Industrial Growth Centre. Land is converted for

Industrial purpose. 35.0 acres of land is in possession of management and proposed

expansion will be taken up in the existing plant premises.

Item Area in Acres

Built up area with ancillaries 10.5

Internal roads 1.5

Storage yard (Raw material & Product) 6.0

Greenbelt 14.0

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Open area 3.0

Total land 35.0

5.4 Amenities / Facilities

Facilities like canteen, rest room and indoor games facilities has already been provided in

the existing plant as basic facilities to workers. No other additional facilities are proposed.

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Chapter - 6 PROPOSED INFRASTRUCTURE

6.1 INDUSTRIAL AREA (PROCESSING AREA)

The main plant area comprises of iron ore handling area, storage area, crushing sizing

area, iron ore beneficiation unit etc.

The major equipment and facilities envisaged for the pelletizing plant are described below

The pelletizing plant will mainly consist of the following sections:

Storage and handling of iron ore fines

Storage, handling and preparation of binder and additive

Iron ore improvement

Proportioning and mixing

Balling, in duration and cooling

Finished product storage

6.2 RESIDENTIAL AREA (NON PROCESSING AREA)

No colonization is proposed; however facilities like canteen, rest room and indoor games

facilities will be provided in the proposed plant and one Admin building is also proposed.

6.3 GREEN BELT

More than 1/3rd of total land availability is reserved for plantation i.e. greenery.

Greenbelt development plan

Local DFO will be consulted in developing the green belt.

Greenbelt of 33% of the area will be developed in the plant premises as per CPCB

guidelines.

15 m wide greenbelt is being maintained all around the plant.

The tree species to be selected for the plantation are pollutant tolerant, fast

growing, wind firm, deep rooted. A three tier plantation is proposed comprising of

an outer most belt of taller trees which will act as barrier, middle core acting as air

cleaner and the innermost core which may be termed as absorptive layer

consisting of trees which are known to be particularly tolerant to pollutants.

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6.4 SOCIAL INFRASTRUCTURE

Social infrastructure will be developed as per need based in the Villages of the close

vicinity of the project.

6.5 Connectivity:

The proposed site is well connected with Road – Rail network. The following table gives

brief regarding connectivity of the proposed site:

Component Description

Road : NH – 200 = 1.3 km

Rail : Nearest station – 6.3 km (Mudhera RS) Mumbai-Howrah mail line

Air : Raipur Air Port – 21 Kms.

Sea Port : Vishakapatanam – 500 Kms.

The location has a big advantage in its closed proximate to its market. Traditionally, iron

manufacturing units have tendered to cluster in the eastern zone of India namely in the

state of Jharkhand, Orissa and Chhattisgarh because of easy availability of major raw

input iron-ore and coal. Infrastructural and other utility services are easily available.

Skilled and un-skilled laborers are also available easily.

6.6 DRINKING WATER MANAGEMENT

It is estimated that 8 KL/ Day of water will be required for domestic purpose during

operation of expansion project. The desired amount of water will be drawn from Kharun

river.

6.7 SEWERAGE SYSTEM

Domestic effluent collected through toilet blocks and other areas will be collected through

well designed sewer network and send to Septic tanks followed by soak pits. No effluent

will be left-out after Soak pits.

6.8 INDUSTRIAL WASTE MANAGEMENT

Closed circuit system will be adopted in the proposed expansion project. Hence zero

effluent discharge will be maintained. Only waste water generated will be sanitary waste

water, which will be treated in septic tank followed by soak pit.

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6.9 SOLID WASTE MANAGEMENT & ITS DISPOSAL

S.No Type of Solid waste Quantity (in TPD)

Disposal Proposed

1. Ash / Dust generated from Pellet plant

54 Will be recycled back into the process.

2. Tar generated from Producer gas plant

4 Will be given to coal tar distillation units

3. Slag from SMS 17 Slag generated from SMS will be crushed and after iron recovery the inert material will be used in road construction/given to brick manufacturers.

4. Mill scales from Rolling mill 17 Reused in SMS

5. Slag from FeMn 100 To be reused in manufacture of Silico Manganese as it contains high MnO2 and Silicon

6. Slag from FeSi 13 To be used in cast iron foundries.

7. Slag from SiMn 103 To be used for road construction / slag cement manufacture

6.10 POWER REQUIREMENT & ITS SOURCE

Power required for the proposed project will be sourced from captive and nearby grid.

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Chapter - 7 REHABILITATION & RESETTLEMENT (R & R) PLAN

No rehabilitation and resettlement is required as there are no habitations in the in the

Project site, as proposed project site is situated in Siltara Industrial Growth Centre.

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Chapter - 8 PROJECT SCHEDULE & COST ESTIMATES

8.1 PROJECT SCHEDULE

The plant will be implemented in 18 months from the date of receipt of Environmental

Clearance from the Hon’ble MoEF & NOC from CECB.

8.1 PROJECT COST

The estimated cost for the proposed project will be Rs.175 crores.

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Chapter - 9 ANALYSIS OF PROPOSAL

9.1 FINANCIAL AND SOCIAL BENEFITS

With the implementation of the proposed project, the socio-economic status of the local

people will improve substantially. The land rates in the area will improve in the nearby

areas due to the proposed activity. This will help in upliftment of the social status of the

people in the area. Educational institutions will also come-up and will lead to

improvement of educational status of the people in the area. Primary health centre will

also be developed by us and the medical facilities will certainly improve due to the

proposed project.

9.2 SOCIO-ECONOMIC DEVELOPMENTAL ACTIVITIES

The management is committed to uplift the standards of living of the villagers by

undertaking following activities / responsibilities as the part of Corporate Social

Responsibility.

Health & hygiene

Drinking water

Education for poor

Village roads

Lighting

HEALTH & HYGINE

Personal and domestic hygiene,

Maintaining clean neighborhood,

Weekly health camps offering free-check up & medicines

Ambulance services

Education & drug de-addiction, aids.

DRINKING WATER

Making drinking water available at centralized locations in the village,

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SUPPORTING EDUCATION

Providing books to all poor children,

Conducting annual sports festival in the village schools,

Providing amenities like fans, lavatories,

Maintain play ground etc.