Sandvik Capital Markets Day 16 August
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1 Profitable Growth Through R&D Case - Sandvik Steel Tomas Thorvaldsson Vice President R&D, AB Sandvik Steel Growth Areas Medical technique Electronics Oil & Gas Petrochemical Energy production and conservation Environmental Composite tubes for waste incineration plants - An important niche product 1
2 Waste - one of the worst environmental problems of today! Facts! In the western world 1 kg of waste is produced per person and day Legislation prevents dumping in many countries Waste incineration is a mean of reducing physical size and regaining energy from waste Environmental aspects Renova waste incineration plant in Gothenburg incinerates 15 tonnes of waste per hour The thermal energy from the refuse is used for energy production and district heating Renova s three boilers generate enough electricity to: supply 60,000 households keep 100,000 households in heating and hot water 2
3 Furnace for disposal of waste Used in an aggressive corrosive environment Gas temperatures up to 1100 C Demanding Tube application m of composite tubes per waste incineration plant Used in the waterwall and superheaters Market potential over 500 MSEK/year A combination of materials can solve conflicting material requirements! Flue gas Why composite tubes? Carbon steel tube Pressure vessel approval Composite tube SCC (inside) Structure stable Thermal conductivity Thermal expansion SCC (inside) Thermal conductivity Thermal expansion Stainless steel tube Flue gas A wide product range for different locations in the process Waterwall installation in Högdalen, Stockholm 2 to 5 times increased life compared to carbon steel tubes Product program for different parts in the process Sandvik 3R12/4L7 Sandvik Sanicro 28/4L7 Sandvik Sanicro 38/HT8 Sandvik Sanicro 63/4L7/HT8 Sandvik Sanicro 65/4L7/HT8 Patented alloys 3
4 Waterwall tests Metal loss (mm/year) (Log scale) R12/4L7 San28-38/4l7 San63-65/4L7 carbon steel Composite tubes have superior resistance compared to carbon tubes Corrosion bonus 0, Saturated steam pressure (bar) Production of composite tubes The highest alloyed claddings applied on billets prior to extrusion via the patented Osprey process Bonding zone in a composite tube A metallurgical bond is required for optimum product properties Carbon steel Corrosion resistant layer 4
5 Fabrication - Bending Reliable fabrication is necessary for economical construction Waste incineration Patented alloys, production process and application Corrosion resistance bonus for customer Product program for different parts in the process Sandvik 3R12/4L7 Sandvik Sanicro 28/4L7 Sandvik Sanicro 38/HT8 Sandvik Sanicro 63/4L7/HT8 Sandvik Sanicro 65/4L7/HT8 Tomas Thorvaldsson Birth year and country: Present position at Sandvik: 1953, Sweden Vice President R&D Sandvik Steel Employed since: 1984 Career: Researcher and teacher Chalmers University of Technology, Sweden, Visiting scientist Massachussetts Institute of Technology, USA, 1983 Various R&D positions AB Sandvik Steel, Responsible for R&D since 1994 Vice President AB Sandvik Steel, 1999 Hobbies: Golf, history, summer house in Värmland 5
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