ommercial Metals Co. - CMC, has realized its vision with the newgeneration of Danieli continuous

casting-rolling, compact, micromills (whosebrand name is MI.DA®).The CMC plant, which has been started upslightly over one year after groundbreaking, has a rated capacity of 300,000 shtpy for 12 to 36 mm rebar, although it’s capable of producing bigger sizes up to 57 mm bars. The mill makes use mainly of local scrap, and supplies CMC’s local fabrication shops

as well as the Southwest regional market.Characterized by single-strand continuouscasting-rolling process featuring ultra-high-speed FCC® “PowerMold” caster, in-line barquenching and tempering, and a direct rolling-bundling system organized in an extremelycompact layout, the mill produces qualityproducts at very competitive costs. MI.DA®

completes the range of Danieli minimills and is designed to be competitive in transformationcosts (cash + depreciation) even forproductions from 100,000 to 500,000 tpy.

AUTOMATION 12 DANIELI AUTOMATION CELEBRATES

ITS 40 YEARS OF INNOVATION.

SERVICE18 DANOIL OIL-FILM BEARINGS GAIN

APPROVAL, WORLDWIDE.21 NEW QUALITY SPARES FOR ROLLING

MILLS AND FINISHING LINES.

IRON AND STEELMAKING26 DANIELI INNOVATES SCRAP

SHREDDING TECHNOLOGY.28 STARTUP OF 1-MTPY MELTSHOP

AT VOTORANTIM RESENDE, BRAZIL.32 STARTUP OF MINIMILL FOR SPECIAL

STEELS AT DONGBEI, P.R. CHINA.

FLAT PRODUCTS38 STARTUP OF JUMBO SLAB CASTER

AT JYXC SPECIAL STEEL, P.R. CHINA.40 STARTUP OF 4.9-M, HI-TECH WIDE

PLATE MILL, MIDDLE EAST.

LONG PRODUCTS60 SUPERFLEXIBLE MERCHANT MILL

INAUGURATED AT DUFERDOFIN-NUCOR, ITALY.

62 RH2: THE INNOVATIVE DANIELI RAIL-HEAD HARDENING PROCESS.

TUBES74 DANIELI BREDA PIPE UPSETTING

LINES AT TENARIS TAMSA, MEXICO.

FQM-based seamlesspipe mills: first startup in Middle East and neworder from Venezuela.

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250 tph record productionat ESI Energiron DRI plantand new order for 1 Mtpyheavy section mill.

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ALSO IN THIS ISSUE

The continuous casting-rolling plant at CMC, Mesa, AZ, USA set anothertechnology milestone of Danieli, thee pioneer in the minimill concept with 70 scrap and DRI-based complete minimills supplied worldwide since 1964

Technology >Revolution<Danieli MicroMill to be the mostcompetitive in regional markets

SABIC renews confidencein Danieli: Hadeed ordersnew 1 Mtpy LSTK longproduct minimill.

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DaNews158

Danieli News n.158 February 2010, Danieli Group POSTE ITALIANE PP-ECONOMY-AUT DC/DCUDINE/08/02-DU 13-06-02

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MIDA® MIcromill DAnieli starts operationat CMC Steel Arizona, USA

tarted up in September 2009, CMCMicromill proudly delivered its first lotsof hot rolled products in October. The

new steel complex, the first of this designanywhere in the world, represents a formidablestep forward in technology that, thanks to itsrevolutionary design concepts, appliedtechnologies, and the resulting remarkablebenefits, puts CMC Arizona one step ahead ofits competitors.The Micromill Danieli (MIDA) is based on the“regional-mill / product-focused” concept, andwith its relatively low production capacity, isdesigned to serve a limited market (local orregional), focusing on a specific product andmaking extensive use of local scrap supplies.All of this, along with the continuousuninterrupted production cycle from rawmaterial to finished product, and with theextreme compactness of the technological area,makes CMC’s MIDA, the most cost-efficientrebar production plant available in the worldtoday. The plant, with a rated capacity of300,000 shtpy of #4 to #11 rebars (12.7 to 35.8mm), is basically comprised of:> Steelmaking section, featuring continuousscrap charging with preheating systemConsteel®, 40-t side-charge AC EAF, heatingstation with 40-t ladle furnace, primary and

DANEWSDANIELI MINIMILLS

The new Micromill Danielithat started operation at CMCSteel Arizona (CommercialMetals Co.), marks thebeginning of a new era in production of commercialsteel long products.

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secondary fume treatment plant system, plusother associated auxiliary plants and systems.> Conticasting section, featuring a single-strand, high-speed continuous casting machine,directly connected to the rolling mill foruninterrupted production cycle.> Direct link to the rolling mill, includinginsulated conveyors, descaler and inductionheater for billet temperature equalization.> 16-stand ultra-compact rolling mill, made upof cantilever and housingless stands, andfeaturing the innovative DRB-Direct Rolling &Bundling system for production of superiorquality bar bundles without the use of thetraditional long cooling bed for bar multiples.The mill also includes the Quenching andTempering process for Bar products (QTB),which allows for the production of low-costbillets with considerable savings of alloys usedin the meltshop. Following the first heat, theplant has quickly gone through performancetesting and started what may be considered avery steep learning curve for a plant of thiskind. The learning curve is expected to becompleted by early summer of 2010 as the millstaffing is completed and full hours of operationare achieved. In the meantime, in terms offinished product quality, extremely good resultshave been already achieved, with production of“…superb rebar bundles, …by far the best in theindustry, …setting a new standard in themarketplace,” as recently stated by CMCcustomers ■

Passionately create a state-of-the-art Micro-mill that exceeds objectives using highly motivated, disciplined, and multi-

skilled internal and external teams coupled with leading edge practices and processes to safely construct, commission,operate and serve regional markets with quality products.

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MIDA® - MIcromill DAnieli:the breakthrough innovationin rebars production

oyal to its long-standing tradition as a front-runner in technologydevelopment, Danieli has introduced

to the market its latest innovation in rebarsproduction: the Micromill. The Micromill’sregional-mill/product-focused concept is adevelopment of the traditional minimill that,along with its relatively low output (250,000 /300,000 tpy), makes it possible to transformlocal scrap into finished products for local ornear-by end-use markets, resulting therefore inthe ideal production unit for local or regionalrebar markets with full availability of local scrapresources. The first Micromill plant startedoperation successfully at Commercial MetalsCo. (CMC) Arizona-USA in Autumn 2009. The Micromill Danieli is based on the ECR®

Endless Casting Rolling process, meaning thatmelting, casting and rolling are carried out inone continuous and uninterrupted productionprocess, from scrap to finished product. Basedon the present, most advanced and consolidatedprocesses and components, the MIDA plantfeatures, among others, unique innovativecharacteristics, such as:> The Direct Casting & Rolling process (ECR),involving the direct connection of thecontinuous casting strand to the first rolling millstand, with the “endlessly cast” billet ofindefinite length fed directly to the mill throughan induction furnace for temperatureequalization before rolling. The traditionalreheating furnace and all associated entry/exit

facilities and auxiliaries are therefore definitelyno longer necessary, with all consequentsignificant savings in investment, consumption,and operating costs. > The Direct Rolling & Bundling system(DRB), the revolutionary innovation that hasmade the traditional long-type cooling beds formultiple-length bars and the cold cut-to-lengthservices no longer necessary in bar mills. Thepatented DRB system enables cutting to finalcommercial length of high-tensile rebarsdirectly at delivery side of the finishing mill andright before the bundle forming and tyingstation, with significant savings in investmentand production costs.This low-cost mill (CAPEX and OPEX) conceptfinds ideal application for greenfield sites, butalso for existing mills with excess liquid steelcapacity.

MIDA main highlights:

> Market-oriented plant, to cover regional orlocal market demand;> Product range focused on a single-typeproduct;> Typical capacity of 250,000-350,000 tpy;> Typical finished product range: 8 to 36-mm-dia straight or spooled rebars (equivalent roundand square bars), with production campaignsdedicated to a large amount of a single product,resulting in minimized changes.> Ultra-compact arrangement: covered areaapprox 11,000-mq (less than half the spacerequired by a traditional minimill ofcorrespondent capacity)> Minimized investment> Reduced manning> Energy saving> Environmental friendly> Higher yields in melting and rolling> Reduced storage space when compared totraditional minimills.> Superb quality of the finished product, eitherin bundles or coils (thanks of the DRB or SPOsystems)> Shorter construction time and fast ramp-uptime > Faster return of investment.

As a result, remarkably lower production costscan be expected by MIDA versus conventionalminimills of similar capacity ■

DANEWSDANIELI MINIMILLS

Cost Advantages

vs.Competing Mills

> Lower labor cost.> Lower natural gas cost.> Higher yield due tocontinuous/continuousprocess.> Lower cost of alloys due to use of quenching system.> Lower cost of inventory.

The idea of such a small-scale,low-cost production unit born20 years ago is now a realitythat combines high-tech andultra-compact design with reduced investment,to achieve extremely lowtransformation costs withextremely low environmentalimpact.

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305 m

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1 Scrap yard2 Fume dedusting plant3 Electric Arc Furnace 4 Ladle furnace5 Meltshop maintenance area6 Continuous casting plant7 Induction furnace

8 16-stand rolling mill9 QTB line10 DRB-Direct Rolling & Bundling

system11 Finished product collecting

services12 Rolling mill maintenance area