How To Make A Profit From Steel

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ECOLOGY AND ECONOMY Technologies and strategies for metallurgical plants and rolling mills. e 2 X SMS metallurgy FLUID MANAGEMENT AND RECYCLING ENERGY- AND ENVIRONMENTAL TECHNOLOGY ENERGY EFFICIENCY AND ENERGY RECOVERY AIR POLLUTION CONTROL WATER HANDLING CONSULTING AND SERVICES

A GLOBAL CHALLENGE FOR YOUR BENEFIT PROTECTING THE ENVIRONMENT Protecting the environment is a key challenge for this new millennium. Not only are resources scarce but we also have the responsibility to provide a healthy and habitable environment for our children. Steel as an essential material in the global economy plays a crucial role in achieving the global goals of environmental protection. GREEN STEEL THE GLOBAL CHALLENGE Steel is a life-cycle material. On the one hand, as an energy intensive process, steel production accounts for 3 4 % of global greenhouse emissions. On the other hand, the material properties of high strength at minimum weight have saved millions of tons of emissions. For example, light-weight, high-strength steel car bodies can save up to 37 t of CO 2 per car per year. And steel can be recycled 100 %. SMS Siemag has been working with steel manufacturers for over 100 years to improve in both areas of emission and output. Our Compact Strip Production (CSP ), an innovation we launched in 1989, has cut energy consumption in the flat steel process by approx. 42 %. And we are development partners for our customers for new, high-strength steel grades helping them to develop efficient mass production processes. Last but not least, our EAF technology offers one of the most efficient ways to recycle steel. e 2 = ECOLOGY AND ECONOMY Growing population and increasing awareness are driving global improvements in environmental standards. Multi-national agreements such as the Kyoto Protocol outline the way to a cleaner world. In Europe, dust emissions per ton of steel have been cut by more than 90% in the last 30 years. We at SMS Siemag not only offer state of the art technology but develop solutions to support you in your own ambitious targets. Protecting the environment is not only a matter of laws and standards, it is an economic gain. Shortages of raw materials and increasing energy costs make striving for efficiency an imperative to survive in competitive world markets. And this is what drives our product portfolio: x-e² = ecology and economy. Our technologies combine both, high-level environmental protection and maximum value for your production process. Interested? Then read on to find how these developments work together for your benefit. Converter Dedusting 2 3

A CLOSED LOOP CONCEPT OUR APPROACH: INTEGRATED OPTIMIZATION Waste prevention is the most economic way of protecting the environment. That s why we have always focused on process efficiency. And where efficiency can not prevent the generation of by-products, recycling helps to gain value for the production process. The clear benefit for you lies in the integrated process competence of SMS Siemag. We do not only provide you with first class end-of-pipe technology such as filters but analyze your production process to find the best integrated solutions. This starts right at the beginning of the process with optimal machine configuration and input material handling. During the process, our X-Pact automation and monitoring systems control process flow and emission. And our tailor made environmental systems bind or recycle unavoidable by-products like rolling emulsion. Recycling for us also includes solutions to catch and use off-gas energy e.g. at EAF and converter off gas ducts by installing waste heat boilers instead of water cooling systems. Both, efficiency and recycling make production with our machines a benchmark in global competition. EMISSION FREE PRODUCTION PROCESS In the last 10 15 years SMS Siemag has significantly expanded its product portfolio in environmental technologies. This includes developments such as the AirWash-System, trapping evaporated oil in cold rolling applications, or acid regeneration plants recycling almost all hydrochloric acid from the pickling process. Combined with efficiency milestones like CSP -Technology we are heading towards our long-term-goal of an emission free production process. ALL-ROUND SAFETY Our environmental systems are laid out in such a way that puts your workforce at the start of the protection program. The systems are designed to make the environment healthier. Combined with our integrated safety approach (including CE-certification support) we are able to give your colleagues the best environment possible in which to perform. And our training programs help to increase safety awareness. Your benefit is obvious: less off-time and a healthier, more satisfied workforce. E F F I C I E N C Y + R E C Y C L I N G = E M I S S I O N F R E E Casting Platform 4 5

THE EFFICIENCY PROGRAM FOR YOUR ENERGY- AND MATERIAL BALANCE GREEN STEEL PHILOSOPHY A scarcity of resources is driving prices up in many markets worldwide. This also applies to energy and raw materials. New on the scene is an increased demand for highly qualified employees. This means: savings in these areas directly contribute to higher added value. SMS Siemag supplies solutions for manufacturing that go beyond procurement, through the entire cycle of utilization. CSP TECHNOLOGY The trigger for a key development of recent decades was the huge energy appetite of hot strip production. Conventionally the casting and rolling processes are separate. This wastes the thermal energy within the liquid steel after casting, as the steel has to be reheated before rolling to make it workable. INTEGRATED QUALITY IMPROVEMENT In the steel production process, approximately 5 % of the steel produced is lost as scrap. Two factors cause this wastage: Process-related losses (e.g. edge cutting) and quality issues. SMS Siemag is continuously working on both values. Recent innovations include Edge Drop Compensation (EDC). Using a special grind at the work-roll end-zone, edge drop can be reduced lowering edge cutting requirements. This can increase production by up to 3 %. Another technological milestone is the T-roll process model for cold rolling applications. It helps to optimize roll gap lubrication. This increases production speed, improves product quality, saves energy consumption by less rolling forces, and thus significantly increases process efficiency. % 100 Conventional 80 42% Caster 60 40 CSP Furnace Rolling mill Crane, supply 20 Building, foundations 0 Installation, commissioning Acid Regenerator CSP Plant CSP technology reduces investment volume compared to conventional processes 6 7

RECYCLING TO KEEP YOUR COSTS DOWN TECHNOLOGIES, PROCESSES AND VALUES SMS Siemag supplies plants that systematically and completely process auxiliary substances and additives, enabling you to channel them back into production. We fully understand the interactions between the various stages of processing. This has enabled us to arrive at highly sophisticated solutions. Recycling becomes all the more attractive the higher the costs of material procurement and waste disposal. New plant construction is often subject to strict legal requirements. Early compliance, in order to increase public acceptance and local authority support is significant here. This is how our environment technologies combine profitability with social benefits. AIR POLLUTION CONTROL Dust and gaseous emissions from metallurgical plants and rolling mills are unavoidable. SMS Siemag solutions do not only allow for you to prevent pollution of the environment but also help you to recover the valuable content of the off gas. One example is the recovery of CO-converter gases. With our gas cleaning and collecting system you are able to capture the energy-rich process gas for later use in the production of e.g. electrical energy. For every ton of steel produced you can re-capture up to 800 MJ of energy by this technology. Another example is the Airwash-System. The off-air from cold rolling mills contains considerable amounts of oil vapour. With our Airwash Tower you are able to trap the oil vapour and regain up to 200L of rolling oil per hour for your production process. Feasible pay-off times of less than five years show the huge benefit these systems can provide. COOLANT CIRCUITS Many materials that used to be free have become expensive auxiliary goods today. This makes closed water and other coolant systems increasingly attractive, especially from an economic viewpoint. The SMS Siemag range of steelworks water supply systems covers all solutions for closed and open circuits. Everything is included from the systematic processing of naturally-sourced water, to low-cost waste water purification and sludge treatment. RECYCLING OILS AND LUBRICANTS The large quantity of hydraulic oils used in rolling mills represents a great potential for extra value creation. You can choose from a wide selection of tailor-made SMS Siemag technologies to tap into these resources. Just take a look at our MultiPlate filter station for cleaning oils, emulsions and solutions. It has proved its economic and ecological worth time and time again. ACID REGENERATION Steel pickling requires significant quantities of hydrochloric acid. With SMS Siemag acid regeneration plants you are able to run the acid in a closed loop recycling process. Not only do you prevent acid emissions to the environment but you also regain the acid and the iron oxide generated in the process. And the spray-roaster technology helps you to save up to 30 % of energy compared to conventional regeneration processes. m 3 /t 40 30 20 70% 10 The MultiPlate filter station cleans rolling oils 0 1983 1987 1991 1995 1998 2001 2004 2007 Water consumption in steel manufacturing in m 3 per t of raw steel Gas recovery 8 9

FIVE BRANCHES OF SEAMLESS PROCESS OPTIMIZATION X e 2 ENERGY EFFICIENCY AND ENERGY RECOVERY CONSULTING AND SERVICES AIR POLLUTION CONTROL WATER HANDLING FLUID MANAGEMENT AND RECYCLING PROCESS INTEGRATION ENERGY, AIR, WATER, FLUIDS AND SERVICE Our environment technologies are based in five main areas: ENERGY Systems for saving, recovering and external use of energy: converter gas recovery, evaporation cooling systems for utilisation of steam, slag recycling, kinetic energy recovery during rolling, heat exchangers in strip processing, iron oxide recovery, AIR Air pollution control systems: complete primary and secondary dust extraction process wide, especially for electric steel and converter steel production. FLUIDS Systems for regeneration, recovery and purification of coolants, lubricants and acids: air washers, rolling oil and emulsion filters, concentration measuring stations, oil separators, steam generators and compressor stations, acid regeneration plants. SERVICES Services for the coordination and process integration of these technologies. Included in this service package are implementation of environmental monitoring systems, status analyses, recommendations, viability studies and support during the implementation of new plants and overhauls. WATER Water supply systems and water treatment plants for steelmaking, rolling mills and strip processing lines: mold cooling stations, water tanks and purification plants, separators, cooling towers, pump stations, desalination plants, ultra-filtration, reverse osmosis and dosing stations. 10 11

AG Eduard-Schloemann-Straße 4 40237 Düsseldorf, Germany Wiesenstraße 30 57271 Hilchenbach-Dahlbruch, Germany Phone: +49(0) 211 881-5288 Telefax: +49(0) 211 881-4788 E-Mail: environmental.technology @sms-siemag.com Internet: www.sms-siemag.com MEETING your EXPECTATIONS F/314E 03/2009 2.000. MM. Ky. Printed in Germany 12