February 01, 2002

'18'

/BACKGROUNDER/

ROMELT- SAIL (INDIA) LTD.

    Iron making is one of the earliest discoveries of man. During the last century the knowledge base of iron and steel making has undergone a sea change. Today mega-blast furnances have replaced the small ones. The blast furnaces require better quality coke. Due to non-availability of quality coke in India, we have been importing coke from foreign countries.

    A sustained effort for finding out relevant alternatives to coking coal have resulted in discovery of two new processes for producing steel. The Corex process has been developed in Austria. But it cannot be accepted as an improvement over the blast furnace except that this process uses non-coking coal. The other one is the Romelt Process developed by Professor Dr. V.A.Romenets of the Moscow Institute of Steel and Alloys (MISA), Russia.

    The process can utilize iron bearing materials including iron ore fine, slime, iron dust or mill scale. Coal and flux can be used in fines form. The flexibility of use of basic raw materials in fines form and producing a hot metal with the least silicon load (0.1 per cent) is the novelty of Romelt process. It does not require coking coal for generation of power.

    Steel Authority of India Ltd. (SAIL) recognized the merit and future of Romelt process as soon as it achieved success in industrial application. It went into a Promoters Agreement in May, 1997 with Russia that formed the foundation of the Joint Venture Company Romelt-SAIL (India) Ltd. (RSIL). RSIL formally came into being on October 6, 1997 with the registration of the company with Indian Registrar of Companies.

    RSIL entered into a Licence Agreement with MISA with the right to sub-licence use of the process. Initially, at the time of registration, SAIL held 40 per cent of the equity, the balance 60 per cent equity was shared by the Russian Companies. Later National Mineral Development Corporation Ltd. (NMDC) became the Joint Venture partner by acquiring 25 per cent equity from SAIL. At present the equity holding is 60 per cent by Indian Companies and 40 per cent by foreign Companies.

    Under the Licence Agreement with MISA, RSIL holds the right to market the Romelt process and grant sub-licence for use of the process in the entire territory of Asia, Africa and
Europe except CIS countries (Republics under the erstwhile USSR).

    Being convinced by the success of the Romelt process, the premier ferrous mining company The National Mineral Development Corporation Ltd. (NMDC) of the Steel Ministry has decided to set up an Iron & Steel Plant I - 1.5 million tonnes per annum (MTPA) capacity based on this process. To start with it will set up of a 0.3 MTPA Plant in a greenfield site . The site is Nagarnar near Jagdalpur of the Bastar District of Chhattisgarh State. The work for preparation of plant, general layout scheme and soil testing has been initiated and the plant is scheduled to be commissioned in 2003.

    In the meantime, many steel makers within India have shown interest in utilising the Romelt process. Jindal Strips Ltd. has prepared a feasibility report for setting up a 0.3 MTPA Romelt unit in their Raigarh Works. The Report has brought out attractive techno-economic benefits of the proposed Romelt unit. Final decision to initiate the project is yet to be taken by the Jindals. Bhilai Steel Plant (BSP) has planned to install a Romelt Unit in their open heart furnace shop for processing iron bearing wastes.

    There was earlier a talk of installing a Romelt unit at the Burnpur Works of Indian Iron and Steel Company Ltd. It is an ideal location because of easy availability of ore fines, good non-coking coal and coke breeze within the Plant. Vietnam Steel Corporation evince interest in the technoloty.

    Tata Special Steel Ltd. (Tata SSL) is keenly interested in the installation of one 0.1 MTPA Romelt unit at their Tarapur Works near Mumbai. Technological parameters are being worked out for which Tata SSL has provided the required feedback.

    There is scope of useful application of Romelt process in non-ferrous metal industries. National Aluminium Company Ltd. (NALCO) intends to apply the Romelt process for extraction of aluminium. Under an agreement with MISA, a Joint Research Project (JRP) has been taken up for testing and establishing technological parameters for use of the red mud in Romelt furnace for extraction of iron.

    Sterlite industries has shown interest to utilize Romelt Technology in their Tuticurin Copper Plant as it has a bright prospect of application in copper works as well. The Chromite Overburden (COB) has high percentage iron (above 50 per cent ) and the Romelt process is a worthwhile method for application for weaning out iron from COB. Hindustan Zinc Ltd. (HZL) is also considering to utilize Romelt process to treat COB residue. Besides, Romelt process has got an important role in the fields of research.