Primetals Technologies Symposium 2016

Primetals - Long Rolling Portfolio of finished products rod outlet Rolled Product Rod Bar (Round, Square, Hex) Rebar COIL 4.75-26 mm 8-60 mm 6.3-50 mm bar-in-coil spooler line Flat 15-60 mm Rolled Product STRAIGHT Bar (Round, Square, Hex) 8-400 mm Rebar 8-63 mm Flat 15-600 mm Angle (Equal and Unequal) 20-300 mm Tee, Channel and Beam 20-1000 mm Rail (Train, Crane, etc.) 25-125 kgm Special Profiles e.g. sheet piles

Primetals Long Rolling Bar Mills solutions Rebar Mills Merchant Bar Mills SBQ Bar Mills Special Bar Mills 150,000 1,200,000 tpy 150,000 1,000,000 tpy 150,000 800,000 tpy 30,000 200,000 tpy 30 240 t/h 30 180 t/h 30 180 t/h 20 50 t/h Billet Sq/R 130-200mm Rb 8-50mm ; R10-40mm Low/medium Carbon steel Configurations: Semi-continuous/continuous Billet Sq/R/Slab 130-200 Round/Sq 12-80mm Flat/Angle/Chan 30-120 Low/medium Carbon & Low Alloy Steels Billet Sq/R/Slab/Ingot up to 750 mm Rounds/Hex/Sq up to 350mm Flats /Exag/Sq 30-120 Medium/High Carbon/ Quality Alloy Steel Billet Sq/R/Slab <300mm R 12-120mm; Flats /Exag/Sq 30-120 Stainless, Special and SuperAlloys (Ni, Co, Ti) Economy Capacity: Multislitting Capacity: High Speed A/B Trendline: Multislitting / High Speed A/B Configurations: Economy Capacity Trendline Configurations: Base Capacity High Capacity Configurations: Single Line Multi Line

Primetals Long Rolling Section Mills solutions Light Sections Medium Sections/Rails Heavy Sections/Rails Specials Shapes 300,000 800,000 tpy 500,000 1,000,000 tpy 800,000 1,200,000 tpy 400,000 1,000,000 tpy 20 80 t/h 120 200 t/h 10 240 t/h 120 240 t/h IPN / IPE: 60-100mm HE: 40-80mm Flats (<120mm), Angles (<80 mm) Channels (< 100 mm) Low/medium Carbon steel IPN / IPE: 140-600mm HE: 140-300mm Flats, Angles 100-200mm, Channels 140-600mm Low/medium Carbon steel IPN / IPE: 160-1000mm HE: 160-400mm Flats, Angles: 150-250mm, Ch 160-600mm Low/medium Carbon steel Bloom/Round: 300-700mm R/Sq 80-300mm Flats >150 mm Medium/High Carbon / Quality steel Configurations: Configurations: Configurations: Semi-Continuous Mill Continuous Mill Trendline Semi-Continuous Mill Continuous Mill Trendline Option for Rails processing (i.e. idrha+ rail hardening) Semi-Continuous Mill - 1 BD + 3+1 Finish. Stands - 2 BD + 3+1 Finish. Stands Options for Rails processing

number of plants Why Direct Rolling? Number of plants sold in the last 10 years plant sold in the last 10 years The process-interrupted route has been the standard! 40 35 30 25 20 15 New demands: 1. Growth rate of construction steel demand in localized markets 2. Replace need of costly imports with local products 3. Provide green technologies for new Mini Mills 5. Reduce the land requirement 6. Shorten time from scrap to rebar (just in time production) 7. Full day production orientation by hot/direct charging of billets 9. Shorten the time from investment decision till break-even 10 5 0 350-400 450-550 600-700 750-850 900-10001050-1200 annual capacity (ktpy) The seamless production route is becoming the new standard Primetals has developed the patented WinLink Technology EAF melting, LF, casting and rolling are integrated in a high-level technological solution A high-speed continuously feeds a rolling mill with high availability Billet caster strand #1 directly feeds the rolling mill while of meltshop and produces saleable billets. And it serves as backup to improve production flexibility requested by/of the rolling mill (semi-endless operation) The conventional billet reheating furnace is not required any more. It s replaced by a The compact rolling mill ensures a full day production without interruption of production Rolling mill configuration ensures the maximum plant capacity for all rolled products through specific technical solution

Meltshop (EAF & LF) with low operational cost High reliability operator-friendly technology Flexibility with raw materials (scraps,dri,hbi) lower personnel costs. for improved safety and Ladle furnace with shorter refining time before continuous casting High productivity, yield, and quality lead to a reduction of Minimill's total cost

Continuous caster Tundish flow and by slide gate for constant casting speed casting with DiaMold tube for high frequency and large stroke Enhanced Continuous straightening technology for minimized internal stress Advanced automation solutions Extended foot-roller support of thin strand shell at mould exit

Rolling Mill High-efficiency Cantilever or stands SLITRONIC powered slitter for 2-3-4 strands rolling Automatic devices components for full day production Precision for strands balancing and rolls wear monitoring High-pressure PQS quenching system and process stability Possibility of direct cut-to-length of bars

Automation Technological and Mechatronic Packages Optimized Minimum tension control between CCM and mill SLITRONIC powered slitter control Cut-to-length of hot bars optimization with laser application In-line system Bar counting system system

OPEX CAPEX WinLink benefits CAPEX benefits Conventional vs WinLink in the range 280k to 600k Smaller footprint Less equipment Smaller infrastructure (e.g. WTP) Less civil works and buildings Footprint Equipment -40% -20% OPEX benefits Infrastructure -30% Less energy consumption (No fuel for RHF) Higher yield (less scale, no short bar, no head & tail crop) Less personnel Less consumable expenses Lower inventory cost and working capital Lower fluid consumption Civils Natural Gas Consumption -70% Man power -20% -40% Plant area -40% ENVIRONMENTAL benefits Material losses -80% Less land required Lower CO 2 emissions (no fossil fuel furnace) Energy saving (utilization of sensible heat of cast billet) Reduced specific water consumption Softer visual impact (smaller buildings, less equipment) Total Energy Consumption Conventional Winlink -20%

OPEX CAPEX WinLink benefits CAPEX benefits Conventional vs WinLink in the range 280k to 600k Smaller footprint Less equipment Smaller infrastructure (e.g. WTP) Less civil works and buildings Footprint Equipment -40% -20% OPEX benefits Infrastructure -30% Less energy consumption (No fuel for RHF) Higher yield (less scale, no short bar, no head & tail crop) Less personnel Less consumable expenses Lower inventory cost and working capital Lower fluid consumption Civils Natural Gas Consumption -70% Man power -20% -40% Plant area -40% ENVIRONMENTAL benefits Less land required Lower CO 2 emissions (no fossil fuel furnace) Energy saving (utilization of sensible heat of cast billet) Reduced specific water consumption Softer visual impact (smaller buildings, less equipment) Material losses Total Energy Consumption Conventional -80% -20%

Winlink, seamless production CLICK TO PLAY 0:34

Combi Gas-Induction Heating EHS (Efficient Heating Suite) Flexible use of multiple energy sources to balance cost fluctuation and availability Challenge Increase plant yield (i.e. less scale) and optimize opex Grant stable and continuous rolling conditions Multiple billet paths layout with combination of heating sources Solution Evolved material flow management platform to maximize productivity Preferential route with direct feed to IF, alternative routes with hot/mixed/cold billet charge to low capacity RHF integrated by IH Key Features Combined intelligent use of various energy sources (direct feed, hot/mixed or cold billet charge + fossil fuel + IH) Ideal for intermittent production, frequent sizes and steel grade change Green technology (reduced CO2) Typical customer benefit Possibility to access to public funds being EHS classified as green technology Optimized use of alternative energy sources (i.e. residual converter gas, adaptation to electricity cost fluctuation) and CO 2 reduction Minimal material oxidation, +productivity

EHS, efficient combination of heating sources Hot Charge + IF & Hot/Cold Charge @ GF + IF CCME: continuous casting machine exit - CCT : cold charging table GF: gas furnace - IF: induction furnace - RM: rolling mill IF RM CCME HOT BILLETS TEMPERATURE 600 920 C BILLETS EXIT TEMPERATURE 870-920 C BILLETS EXIT TEMPERATURE 1000-1100 C GF 1. COLD CHARGE @ GAS FURNACE (GF) + INDUCTION FURNACE (IF) & COLD CHARGE @ GF Billets are cold charged into the gas fired furnace, heated to the non oxidizing target temperature and finally heated to the proper rolling temperature into the induction furnace. Billets can also be heated to proper rolling temperature into the gas fired furnace. CCT COLD BILLETS TEMPERATURE 2. HOT CHARGE @ IF & HOT/COLD CHARGE @ GF + IF Billets can be directly sent to induction furnace and heating to the proper rolling temperature or hot charged into the gas fired furnace, equalized and finally heated to the proper rolling temperature into the induction furnace. Billets can also be cold charged into the gas fired furnace, heated to the non oxidizing target temperature and finally heated to the proper rolling temperature into the induction furnace. 3. HOT CHARGE @ GF + IF Billets are hot charged into the gas fired furnace directly form CCM and finally heated to the proper rolling temperature into the induction furnace 4. DIRECT CHARGE @ IF Billets are directly send from the CCM exit to induction furnace and heated to the proper rolling temperature. A 100% synchronization from CCM to RM is required.

ERT-EBROS III Billet welder generation III primetals.com

What s new in generation III Long-life consumables New materials and improved cooling push the life of components up to 50,000 joints Control system Large number of measured data makes Industry 4.0 concepts applicable, for a real time control of all the process variables FNSteel installation had an utilization rate of nearly 95% over the mix. Unsurpassed continuity of operation in 2005-2012, processing different steel grades (tire cord, cold heading, low carbon, welding wire). Outstanding results in terms of quality of the joint, equipment availability, process control and maintenance Active spatter protection Our patented self-cleaning system will be improved using internal coating with ceramic materials (to prevent spatter to stick and reduce the water consumption) Quality checks Inline optical inspection after deburring (chips, cracks), to avoid the risk of joint failure or product rejection. Flexibility The generation III will cover a wide range of billet sizes, with modular electrical system to make possible to adapt the machine to any new plant working condition. Special welding Introducing the possibility of using inert gas protective atmosphere, for welding of special grades (SS austenitic, ferritic, ligh alloys Al and Mg, copper alloys, Nickel and Titanium).

ERT-EBROS generation II CLICK TO PLAY 0:56

ADVANCED ROLLING UNITS primetals.com

EVO Flex Reversible Roughing Groups REQUIREMENTS OF ROUGHING MILLS for common, quality and special grades compactness of installation (both for green- and brown-field application), adaptability to any layout high flexibility of operations to roll bigger and varied feedstocks, including planishing of forged/hammered stocks for inner voids removal and sound metallurgy through reduction/diameter combination... as-forged rolling friendly-use, fully-automatic operations, high accuracy and consistency of rolled stocks, defect-free rolling short downtimes for rolls change, easy maintenance EVO FLEX ROUGHERS ARE THE ANSWER, in different configuration and design concepts: Modules of 1, 2 or 3 (4-5) Stands in sequence, in horizontal and vertical configuration Housing Cartridge Stand (with hyd-capsules or mechanical tierods) or Housingless Cartridge Stand Fixed or Sliding Stand, with/without bar manipulator (mechanical/hydraulic/robotic) Posco Changwon Viraj Marcora BGH Voestalpine Bohler Acciaierie Venete Riva Sellero Scott Forge Sandvik Acciaierie Venete

EVO Flex Rougher Red Ring Housingless Stand Horizontal RR Traversing Stand simplest and most convenient solution for plants from 30 up to 80 tph with several feeds and grades, i.e. finished sizes of small (i.e. 60-100 mm) to mid-large rounds (i.e. 100-200 mm) up to 1/3 DIN tolerance, or small to mid sections (from bloom 200-320mm), semirolled stocks (i.e. billets) Sizes from RR553 to RR493 (dia from 550 to 930 mm) Configuration with 1 or 2 horizontal stands (disjointed) quick roll-change by side-openeable chocks group (inline or offline) 7 8 Combi Hor-Vert RR Fixed or Traversing Stands group for higher production up to 120 t/h, flat barrell rolling for flats and small-mid sections mills or automatic groove change at every pass for max flexibility in case of wider mix References: Simec (Mexico), Asce (Armenia), Joud (Syria), Tifast (Italy), Lorestan (Iran), Sharoud (Iran), Viraj (India), Acciaierie Venete Mura (Italy), Marcora (Italy)

EVO Flex Rougher Housing Stand Horizontal Housing Stand Fixed or Traversing Mechanical cartridge or Hyd-capsules cartridge design High performing solution derived from Flat Rolling Stands, for plants from 50 up to 200 tph with several feeds, special grades, large stocks (+600 mm) i.e. finished sizes of mid (i.e. 80-150 mm) to large rounds (i.e. 150-320 mm) up to 1/3 DIN tolerance, or small to mid sections (from bloom 200-350mm), semi-rolled stocks (i.e. billets-blooms) Special series for high-reduction capability (>100 mm draft, red. rate>8, inner defects reduced by 80%, xx% energy saving) and for edging rolling of large plates (i.e. 1100 mm width) Hyd capsules series for high-loads, chocks positioning and anti-jamming function Also used for planishing rolling of stocks coming from forging and hammering lines Sizes from rolls dia 650 to 1300 mm, barrel up to 2600 mm Standard configuration with 1 H Stand or 1 H + 1 V-edger for large flats rolling Rolls pack quick extraction (frontal) and automatic change References: Sandvik (Sweden), Voestalpine Bohler (Austria), Scott Forge (Usa), BGH (Poland), Baosteel Shanghai n.5 (China), Dalian Dongbei (China), Cemtas (Turkey), Posco Changwon (Korea), Hyundai (Korea), YongXing (China), ARBZ (Kazakhstan), Acciaierie Venete Camin (Italy)

Flat Block Stands: the solution for flexible Flat Rolling Flat Block simple and solid design configurable in groups of 2-3-4-5 H/V Stands, depending on mix and productivity grooveless rolling in H-V configuration automated reversible movements infinite flat sizes within the range sharp edges for accurate shape high surface and dimensional tolerances product changes in seconds ideal for small lots integrated process system for aut. setting suitable for all steel grades and superalloys solid rolls on horiz. stands, rings on shaft for vertical stands

EVO FLEX ROUGHERS CLICK TO PLAY 2:12

4-STAND REVERSIBLE TANDEM MILL FOR SECTIONS PATENT PENDING WO 2011/067055 rolling direction 4-STAND REVERSING TANDEM MILL First and third stands are Universal Second stand is horizontal Edging stand of smaller size Fourth stand is Universal, it is used once in the sequence, as finishing pass

4-STAND REVERSIBLE TANDEM MILL FOR SECTIONS Dedicated finishing stand for quality and longer campaigns Longer roll life of universal finishing stand Additional production gives ROI shorter than 1 year vs against 3-stand configurations Plant compactness The plant never needs to stop to change grooves, compared to one or two stops in the conventional solution. A single-change system for the stands of the mill and thus more compact roll-shop. Reduced and optimized use of overhead cranes, more rational use of spare parts. Less maintenance staff and shorter mill change times. Common systems for reversing and finishing mill compared with conventional solution. Possibility of in line section and rail quenching thanks to improved thermal path control.

EVO Reducing and Sizing 2+4 Roll Technology primetals.com

Development of 2-roll reducing and sizing groups Primetals has some 40 references of 2-rolls reducing & sizing groups (approx 85% worldwide) The very high pass design flexibility of PSG combined with hydraulic load balancing, are the perfect synthesis of robustness, reliability and extremely reduced operative costs PSG BRSM PRS CGS

Development of 2-roll reducing and sizing groups Primetals has some 40 references of 2-rolls reducing & sizing groups (approx 85% worldwide) Precision Sizing Groups (PSG) enjoy great fame of robustness reliability flexibility reduced operating costs... HOWEVER SBQ market calls for more stringent requirements PRS PSG BRSM CGS Tighter dimensional tolerances Shorter process times Better surface finish Greater reliability and repeatibility of process Sound metallurgic quality (uniform grain size) 2- and 4- roll combination is the answer

2+4 rolls EVO reducing sizing group EVO 2+4 Bar Reducing and Sizing Mill

EVO 2+4 Bar Reducing and Sizing Mill 3 stands with 4-rolls low reduction precise tolerance 2 stands with 2-rolls high reduction fine grain formation Under-load gap adjustment with hydraulic capsules

2+4 rolls EVO reducing sizing group EVO 2+4 Precise form, easy control 4 rolls zero spread effect

SINGLE FAMILY 2+4 rolls EVO reducing sizing group EVO 2+4 Single family and free sizing (infinite no. sizes) = rolls change = gap adj. only FREE SIZING TMT ROLLING 750 C (1380 F) 800 C (1472 F) 14 49 65 ½ 2 2 ½ 920 C (1700 F) 3

2+4 rolls EVO reducing sizing group EVO 2+4 Reduced pass wear, longer campaigns -20%

3000 mm 2500 mm 2+4 rolls EVO reducing sizing group EVO 2+4 Compactness and easy access Small excavation works Short equipment height rolling direction Compact installation and footprint Interchangeability of 2-roll stands Interchangeability of 4-roll stands

EVO 2+4 Stand changes in less than 5 minutes CLICK TO PLAY 0:42

THERMO METALLURGICAL CONTROL primetals.com

Water cooling applications portfolio (bar and wire rod)

Thermomechanical rolling for flats (QINDAO PRC) 600,000 tpy TMR for flats and rounds Cooling system for flats and rounds in 3 cooling sections 3 rd 2 nd 1 st Sizing Pre-finishing 2 intermediate 1 intermediate Steel grades: Carbon, Quality, Special (e.g.: Spring steels 51CrV4, 50CrMnSiVNb, and other grades of spring steels for automotive industry, Forklifts, structural steels) Provision for pack annealing Rounds Flats wxt Diam. 29 to 90 mm (TMR<50) 60-160 mm x 6-70 mm Temperature automatic control Close loop control Anti scratch design Productivity High surface product quality 120 tph

Pack Annealing for spring flats Application Usually applied to spring steel (e.g. spring for automotive market) Targets To get material with a certain hardness (e.g. 280-300 HB), so to avoid fragility when cutting to commercial length To eliminate/relief post rolling annealing treatment (personnel,nc up to 5 /t) Process Control starting temperature and cooling rate Pack annealing use thermal inertia of bars

High Alloy temperature control (BAOSTEEL PRC) 100,000 tpy for flats, rounds and squares Reversible rougher contimill Induction reheating furnace Modular and extremely flexible cooling sections installed before the contimill and modular Venturi s pipes cooling system installed after it. Steel grades:ni-based alloy, titanium alloy, high speed tool steel, die steel Rounds/ Flats f 14 to 85 mm / 28x8-75x20 Squares 20 to 50 mm Temperature automatic control High surface product quality Productivity 25 tph

Stainless Steel 180 ktpy (VIRAJ - India) Rounds, RCS, hex, angle, flat, channel, I beam Reversible sliding rougher Induction furnace Contimill by cooling ramps Rounds/ Flats f 35 to 214 mm / 19x3-153x38 Squares (sharp and round corner) Hex / EA UE / Tee Channels 12 to 150 mm 12-73/19x3-152x16 50x30x5-153x102x13 / 25x3-80x9 51x25x3-150x50x9

Rail Head Hardening idrha+ Rail production: installed capacity >15 Mty but current production is about 12 Mty Baogang Rail Mills n.1 rail production base in China and in the world 1.4 Mty rails, 0.4 Mty treated by idrha+ Rail Hardening lines: (in-line & off-line) are about 20, but very few have advanced level of industrial operation, total production < 1,0 Mty There is a large gap in technology-productivity-efficiency levels among the various lines Modern Rail Hardening lines must be designed to treat in-line with the rolling mill a large mix of rail sizes and shapes up to 25 rails/h and more of +100 m and is equipped with active temperature control, anti-bending devices and variable cooling rate setup Aktobe Rail and Section LLD Works the new state-of-the art rail production hub of Kazakhstan 0,2 Mty treated by idrha+ (startup in 2015) The PLUS of idrha+ +30% hardness, +300% wear resistance +50% productivity - 30% energy consumption + premium price for Producers Hardened rails have a potential y-to-y double-digit market growth for at least 10 years are becoming the new standard requirement in more and more areas of the world are expected to reach the 75% of the replacement market continue to grant a premium price vs. normal rails (+8-15%) are branding top-producers

Rail Head Hardening idrha+ from R&D to industrial production 2012 2013 2014 Development of concept engineering Basic design and full process simulations Validation tests in pilot unit and lab tests Design and process engineering Plant implementation, commissioning systematic progression Data gathering and analysis, process tuning FAC industrial operations

Rail Head Hardening idrha+ CLICK TO PLAY 0:28

Section controlled cooling Quenching and tempering generate a combination of martensite skin with fine perlite core Improvement of mechanical characteristics Weldability is preserved (low C Eq ) The final mechanical characteristics can be predicted by considering the contribute of the mechanical characteristic of each microstructure phase in terms of % on the overall section s area. % of the phases can be controlled by adjusting the cooling intensity and steel s composition. The result is a multiple-phases hot rolled product with big potential market at the beginning of its lifecycle curve. Quenching limits the precipitation of chromium carbides, which favors intergranular corrosion (austenitic stainless)

Section controlled cooling Nozzles are mounted on modular plates for easy replacement and maintenance Plates are adjustable in distance from the target 1 6 Angle of incidence of nozzle dedicated to web/flange link is adjustable All movement of plates are made with actuators controlled in position for automatic line set-up 1 2 Top frame Side frame 2 4 5 Guiding rolls are present to align the section with the cooling modules 3 4 Bottom frame Suction sledge 3 Modules can be equipped with different type of nozzle (flat jet, full cone, high/low capacity) for sine tuning of cooling capacity 5 6 Guiding rolls Main frame Special suction ducts remove the water from top web HE 100 M HE 500 M HLZ 1100 C

QUALITY ASSURANCE primetals.com

Advanced tools to follow the process progression Proscan Gauge: Size and Surface-check Process Tools Reduced mill setting time (-50%) Early out-of size/shape/defect detection Less declassed/rejected products (-60%) Proscan Surface-check the advanced tool for in-line quality certification Preventive simulation and optimization of rolling and processing steps Optimized operations with reduced setup times and quality issues Crucial complement for know-how development and operational optimization

Dimensional & Surface Inspection System SurfaceCheck is an optical system, based on hot artificial vision technology, installed directly on the production line, performs real-time surface inspection of the full range of rounds, beams, rails and special profiles varying in size from small to large class. It can be coupled with a section gauge measuring system. Defect details and image % of NC in SBQ could easily reach 10% of the rolled material, NDT facilities require high CAPEX and high manpower, moreover the control is not in-line and it is not compatible with an early detection of the defects. Scale Intripments Roll Marks Roughness Long Sleves Defect finder

BOOST PACKAGES FOR REBAR PRODUCTION primetals.com

REBAR Process Optimization / Product Nobilitation Multi-slitting Robotic for sampling Opti-cut and shorts removal Process Optimization + Top operational efficiency + De-bottlenecking Billet Hot or warm charging Threaded Rebar Combined gas+induction heating of billets Seamless production by billet welding Multi-slitting+4 (+5) Powerslitting rolling MassFlow PowerSlitter / Slitronic guide Ultra-life parts Mass flow gauge for multi-slit control Motorized rest bars and digital guides alignment Ultra-life parts Robotic for shorts removal, for bar sampling, for bundles labelling Condition Monitoring System Opti-cut Ultra-life parts Premium products + Differentiation + Product branding Slitronic Shorts removal digital counting Sized Rebar Threaded Rebar Fine Grain Rebar (low T rolling) Special proprietary Rebar chemistry and trademark Ultra high-strength Rebar (Grades 800-1000) Stainless Steel Rebar Coated Rebar (wax, laque, sylicon oxides, zinc coating) Improved bundles presentation (digital counting, no-twisted bars-inbundles, bundles strapping, inline wrapping

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