Technology & Steel Application - News

Posted on 04 Oct 2010

Severstal buys into new ironmaking technology

Russian steelmaker and miner Severstal has bought a 25.6% stake in South African company Iron Mineral Beneficiation Services (IMBS), which holds the patent for Finesmelt technology, a new way to process iron ore fines into metallic iron briquettes, Steel Business Briefing learns from the company.
"New steelmaking capacities are predominantly based on electric arc furnaces, but the limited supply of scrap impedes this development. Steady and reliable supply of metallic iron from Finesmelt plants will provide new impetus to this process," Severstal ceo Alexander Grubman said.

Severstal believes the global steel market is expected to grow by around 18% every five years, doubling in 2030, driven mostly by the increasing demand for steel from the emerging markets of Brazil, Russia, India and China.

The Finesmelt process will enable steelmakers to use the fine ore without costly agglomeration. The process is "significantly more environment friendly over the traditional iron and steel making processes, as waste dumps may be rehabilitated and eradicated, while energy recovery is optimised and utilised," it says.
Finesmelt also uses the cheaper, more available thermal coal and the final reduced powder can be cold briquetted for easy transportation.

Severstal paid $17m for the stake in IMBS, which would help facilitate the construction of IMBS's first plant in Phalaborwa. IMBS will retain rights to market the process in southern Africa, while Severstal's International Iron Beneficiation Group will licence the technology internationally. Severstal may develop its own stand-alone ironmaking facilities worldwide, it said.

Severstal believes the global steel market is expected to grow by around 18% every five years, doubling in 2030, driven mostly by the increasing demand for steel from the emerging markets of Brazil, Russia, India and China.

The Finesmelt process will enable steelmakers to use the fine ore without costly agglomeration. The process is "significantly more environment friendly over the traditional iron and steel making processes, as waste dumps may be rehabilitated and eradicated, while energy recovery is optimised and utilised," it says.
Finesmelt also uses the cheaper, more available thermal coal and the final reduced powder can be cold briquetted for easy transportation.

Severstal paid $17m for the stake in IMBS, which would help facilitate the construction of IMBS's first plant in Phalaborwa. IMBS will retain rights to market the process in southern Africa, while Severstal's International Iron Beneficiation Group will licence the technology internationally. Severstal may develop its own stand-alone ironmaking facilities worldwide, it said.