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voda 19 september 2019 15:17

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Emirates Steel CEO Mr Al Remeithi calls for fundamental shift in GCC steel Industry

Emirates Steel CEO Mr Saeed Ghumran Al Remeithi said that GCC steel producers should shift their focus towards the manufacturing industry as the manufacturing base will continue to grow in the coming years. Mr Al Remeithi said “The GCC steel producers should shift their focus towards the manufacturing industry as the manufacturing base will continue to grow in the coming years. This means that the current situation where the GCC steel industry is focused on the construction sector should be changed. We need to create further opportunities for downstream manufacturing industries in order to stimulate steel’s demand in the region. We believe that GCC governments have put the infrastructure in place, both in terms of industrial zones and transport investment and also regulations, to support downstream manufacturing industries."

Mr Al Remeithi continued that “GCC Steel producers have to focus on improving the supply chain process, reduce operation costs, improve customer’s service in order to be efficient producers and overcome the market challenges which includes the global protectionism, surge of raw material prices, sluggish demand and drop in selling prices. It is within this context that it is so important that we discuss with colleagues in the iron and steel sector opportunities to mitigate the damage from these potent challenges.”

Source : Strategic Research Institute

voda 19 september 2019 15:17

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Mr Michael J Taylor is New President & CEO of Friedman Industries

Texas US based steel manufacturing, processing, and distribution company Friedman Industries Incorporated announced today the appointment of Mr Michael J Taylor as President and Chief Executive Officer of the Company, effective September 12, 2019. Mr Taylor, age 60, has served as the Interim President and Interim Chief Executive Officer since February 12, 2019 and has served as a director of the Company since December 2016 and as Chairman of the Board of Directors since June 2017. Mr Taylor will continue to serve as a director of the Company and Chairman of the Board.

Prior to joining the Company in December 2016 and his prior retirement, Mr Taylor served as President of Cargill Metals Supply Chain, a large steel processing and distribution company, from 2003 to 2014. The Company believes that Mr. Taylor’s extensive experience and knowledge of the steel industry gained during his previous 33 year career in that industry will be a vital asset in his leadership role and qualify him to serve as the Company’s President and Chief Executive Officer.

Source : Strategic Research Institute

voda 19 september 2019 15:18

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Severstal Starts Worldsteel Global Program to Reduce Greenhouse Gas Emissions

PJSC Severstal has embarked on an active phase of work under the Step up program of the World Steel Association, which aims to reduce its impact on the environment and climate. This project will allow the Cherepovets Steel Mill to conduct a study using the Worldsteel benchmarking system and identify opportunities to reduce CO2 emissions. The association program involves work in four main areas: the optimal selection and use of raw materials, energy efficiency, increased productivity and process reliability.

Worldsteel specialists visited the CherMK production site on September 10-12, 2019. Association employees held a series of meetings with Severstal experts and management in order to determine areas of work to improve process efficiency and reduce greenhouse gas emissions. Interaction with Worldsteel experts allowed Severstal to agree on a methodology for estimating CO2 emissions, identify key drivers for reducing emissions, and develop a program for further work with Worldsteel under the Step up program to achieve industry best practices.

Severstal has been participating in the Worldsteel benchmarking system for several years, providing data on greenhouse gas emissions, and CherMK is currently ranked 16th out of 64 companies with comparable production technology with a result of 2.1 tons of CO2 / t of liquid steel. (coverage areas 1-3). But the company plans to further significantly improve its position in this area. At CherMK, an inventory of the main sources of CO2 has already been carried out, an emission map has been developed, and carbon content in raw materials and slags has been measured to refine greenhouse gas emission factors.

Source : Strategic Research Institute

voda 19 september 2019 15:25

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Steel Dynamics Cuts Q3 Earnings Guidance

Steel Dynamics Inc has provided third quarter 2019 earnings guidance in the range of USD 0.66 to USD 0.70 per diluted share. Comparatively, the company's sequential second quarter 2019 earnings were USD 0.87 per diluted share and prior year third quarter earnings were USD 1.69 per diluted share, which included charges related to fair value purchase accounting adjustments of USD 0.04 per diluted share and a tax benefit of USD 0.04 per diluted share. SDI said “Third quarter 2019 earnings from the company's steel operations are expected to decrease in comparison to sequential second quarter results. The reduced earnings are primarily related to lower profitability from the company's sheet steel operations, as shipments and average steel pricing declined in the quarter, more than offsetting lower scrap costs. Underlying domestic steel demand remains principally intact for the primary steel consuming sectors, with particular strength in construction.”

SDI added “Third quarter 2019 profitability for the company's metals recycling platform is also expected to decrease when compared to sequential second quarter results, as a result of declining ferrous and nonferrous commodity prices coupled with steady shipments. Third quarter 2019 earnings from the company's steel fabrication business are expected to improve from sequential second quarter results, due to higher shipments and steady metal spread, as demand remains strong. The company continues to experience strong steel fabrication order backlogs and customers remain optimistic concerning non-residential construction projects.”

Source : Strategic Research Institute

voda 19 september 2019 15:25

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SULZLE Stahlpartner Nordhausen Supplies Rebars to Ilsenburger Grobblech

SULZLE Stahlpartner Nordhausen is supplying around 8,000 tonnes of reinforcing steel and 300 tonnes of bored piles for this construction project on behalf of ARGE Neubau Adjustage Ilsenburg. Mr Dork Maushake, branch manager of SULZLE Stahlpartner in Nordhausen said that “We are pleased to accompany this major construction project as a reliable and efficient local partner.”

The new heat treatment plant of Ilsenburger Grobblech GmbH is expected to supply more than 200,000 tonnes of altes to customers all over the world every year. The investment by the Salzgitter Group is currently the largest single investment in Saxony-Anhalt. The ground-breaking ceremony in November 2017 prepared the ground for the Ilsenburg site. The halls were built in the summer of 2018 and one year later, the go-ahead was given for the new construction of the plants. The new heat treatment line includes two roller hearth furnaces, a MultiFlex-Quench® with a water treatment system, a straightening machine and a preservation line. Commissioning is scheduled for mid-2020.

Source : Strategic Research Institute

voda 19 september 2019 15:26

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Moody Completes Periodic Review of MMK

Moody's Investors Service has completed a periodic review of the ratings of Magnitogorsk Iron & Steel Works and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodologies, recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.

Magnitogorsk Iron & Steel Works' Baa2 long-term issuer rating is one notch above Russia's sovereign bond rating of Baa3 with a stable outlook and is on par with Russia's country ceiling for foreign currency debt. The rating reflects the company's strong financial metrics, including very low leverage, diversified product mix with a significant share of high-value-added products, low costs, strong position in the domestic market, and balanced financial policy.

MMK's rating also takes into account the company's exposure to the volatile prices of steel and feedstock, relatively low self-sufficiency in key raw materials, and limited geographical diversification of sales. MMK remains exposed to Russia's macroeconomic, regulatory and operating environment, given that most of the company's steelmaking production facilities are located in Russia.

Source : Strategic Research Institute

voda 19 september 2019 15:33

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Iran First 5 Months Iron Ore Concentrate Output Reached 19 Million tonnes

IRNA reported that production of iron ore concentrate in Iran during the first five months of the current Iranian calendar year (March 21 – August 22) reached 19.725 million tonnes, registering a 4% rise compared to the same period last year. Data regarding the output of major mineral production companies released in the first five months of the current year indicated that in the same period, 17,640,479 tonnes of iron ore conglomerate was produced, showing one percent decline as compared to the last year’s corresponding period. According to the statistics, 2.22 million tonnes of granulated iron ore was also produced in the first five months of the current year, showing a 4% decline as compared to the last year’s corresponding period.

Production of iron ore concentrate in the first four months of the current Iranian calendar year (March 21 – July 21) was reported to be 15.903 million tonnes, three percent less than the figure for the same period last year.

Iran’s export of iron ore concentrate rose 96.6% during the past Iranian calendar year (ended on March 20), compared to the preceding year.

Source : Tehran Times

voda 19 september 2019 15:34

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Panhua Group to Start Works on Steel Plant in Philipines

Philippine Star reported that Chinese firm Panhua Group Co Ltd plans to start works on the USD 3.5 billion first phase of its integrated steel plant in Misamis Oriental before the end of the year following the signing of a memorandum of agreement with the Philippine Economic Zone Authority. Apart from Panhua’s MOA with PEZA, eight other agreements between Chinese and Philippine firms were signed. Panhua Group chairman Mr Xinghua Li told reporters that the company intends to start construction of the first phase of the steel integrated plant as soon as it secures land in the PHIVIDEC Industrial Estate. He said that “We would like to start as soon as possible, probably by the end of this year.”

Mr Li said the plant would have the capacity to produce 10 million tons of products like steel slabs and galvanized steel annually, to be sold in the domestic market and exported to the European Union, US and Russia.

Panhua Group needs 300 hectares for the first phase of the steel plant, which should be operational after three years from start of construction. The first phase of the project would employ between 20,000 to 30,000 workers, but total employment could go up to 50,000 when the three-phase project is completed.

Source : Phil Star

voda 19 september 2019 15:34

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Residents of Kuils River Concerned Over Air Emission by Cisco Steel Mill in SA

IOL reported that Residents of Kuils River are concerned that the steel company, which they say are polluting their air, will now have the right to do anything it wants after their provisional atmospheric emission licence expired and they now have a permanent air emission license. Community leader Earl Polman said that “We are waiting in anticipation for the way forward, although we know what is going happen; no considerations for residents health, clean air or rights to noise-free residential areas. It’s just all about money and no reflection of dignity towards people and the rights of residents in Kuils River. The law is not being upheld, despite all the evidence that has been provided. We are dumped in this monster saga of metal contamination in and around Kuils River and our officials ignores it for the sake of revenue and so called job creation.”

Cisco had an emission licence to minimise the impact of operations. It is a probationary license issued to first-time applicants for two years. Cisco was established in the 1960s and operated until 2010. During the company’s shutdown period, housing developments began in Kuils River in areas such as Vredelust, Jagtershof, St Dumas, Highbury and Silver Oaks.

According to residents, when they purchased their homes they were under the impression the factory would no longer be operating. However, in October 2012, the industrial plant was purchased by DHT Holdings, which continued trading as Cisco.

Source : IOL

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voda 19 september 2019 15:35

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MMK invests in Occupational Safety Management

Magnitogorsk Iron and Steel Works representatives took part in the Second Congress of the Russian Steel Association on labour protection, industrial and environment safety held in Stary Oskol. MMK invests around RUB 2.5 billion in occupational safety every year. The event was held on 10-11 September on the site of the Oskol Electrometallurgical Plant (belonging to Metalloinvest group). It brought together representatives from leading metallurgical companies and other sectors of the economy, such as scientific, educational and governmental bodies and other expert institutions.

Director for Occupational Health and Safety and Environmental Protection Grigory Shchurov and Head of the Department for Labour Protection and Industrial Safety Alexei Beltyukov represented MMK at the forum. MMK has been successfully implementing a comprehensive programme to improve safety at work for a number of years, which has led to a significant reduction in injuries.

Mr Alexey Beltyukov said during the forum. "The analytical indicator LTIFR (Lost Time Injury Frequency Rate), which is accepted internationally, has reduced by 15% for the specified period. The LTISR (Lost Time Injury Severity Rate) has reduced by 44%."

Source : Strategic Research Institute

voda 20 september 2019 16:18

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Baowu Completes Merger with Magang to Become 2nd Largest Steel Maker Globally

Chinese state owned Baowu Steel Group inked an agreement with Magang (Group) Holding Co Ltd to secure a 51% stake in the latter. Mr Chen Derong, chairman of Baowu said the partnership was a continuation of the long-term cooperative relationship between the two, as well as a major move in pushing for the supply-side reform of the industry.

The merger is a big step in China's ongoing consolidation of its steel industry and will help build a world-class steel mill with global competitiveness. Baowu is expecting its annual steel production capacity to increase from 70 million tonnes to 90 million tonnes by absorbing Magang. Formed by the consolidation and restructuring of former Baosteel Group Corporation and Wuhan Iron & Steel (Group) Corporation in 2016, Baowu is now the world's second-largest steel producer.

Source : Strategic Research Institute

voda 20 september 2019 16:23

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JSW Steel Promoters Repay Debt

JSW Steel Ltd informed BSE that it has repaid debt of INR 1,148.59 crore to take a release of 5.07 crore of its pledged shares, representing about 2.09% of its share capital. The debt was repaid by three promoter entities that got their pledged shares released. These were, JSW Techno Projects Ltd. that repaid about INR 500 crore to release 2.2 crore encumbered shares, Sahyog Holdings Pvt Ltd repaid INR 391 crore and released 1.73 crore pledged shares and Vividh Finvest Pvt Ltd release of 1.14 crore shares for INR 258 crore.

As of quarter ended 30 June, JSW Steel had pledged about half of its 42.27% holding in the company by pledging about 50 crore shares. Of this, JSW Techno Projects had pledged 77.7% of its 10.23% stake in the firm, Sahyog Holdings had also created lien on 77.5% of its 4.6% holding and Vividh Fivest had encumbered 48% of its 5.9% stake in JSW Steel.

Source : Strategic Research Institute

voda 20 september 2019 16:23

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Primetals Technologies & Tata Steel Europe complete Remote Commissioning of Continuous Caster

For the first time in over 50 years of cooperation, Primetals Technologies and Tata Steel Europe have commissioned a Level 2 system for a continuous caster completely online. In mid-July 2019, the newsystem from Primetals Technologies successfully replaced the existing automation on continuous casterCC21 of Tata Steel Europe in IJmuiden, the Netherlands. At the same time, Primetals Technologies isconstructing continuous caster CC23 for Tata Steel Europe in IJmuiden, which will also be equipped withthe Level 2 system. This harmonization of the automation solutions will simplify the control andoptimization of the production processes. One advantage of the new solution is that the calculationalgorithms and software models have additional potential to improve strand cooling, speed- & widthcontrol and thus improve production performance and right first time casting.Step-by-step remote commissioning with online support in real time.

In July 2019, Primetals Technologies and Tata Steel Europe successfully completed the entirely remotecommissioning of the Level 2 system for continuous caster CC21 in IJmuiden, the Netherlands. Thecorrect coupling to the Level 1 system and the existing IT environment at Tata Steel Europe hadpreviously been tested in several cold-runs with on-site support of Primetals Technologies. All 10 hot-runs and commission were supported on-line, resulting in the successful casting of 140 Heats with a totalof 1900 slabs in mid-June 2019.

The experts from Primetals Technologies were continuously connected online to the team from TataSteel Europe in IJmuiden and their system throughout all the hot runs, and they supported the operatorat the plant in real time a premiere for both companies. This successful commissioning was based ondefining all relevant interfaces in detail in advance, and the intensive preparations of the experts of bothcompanies, which was characterized by mutual trust and the highly complementary technical andmetallurgical know-how of both sides.

Source : Strategic Research Institute

voda 20 september 2019 16:27

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BlueScope Allegedly Tried To Rig Prices - Report

WA reported that Australia’s largest steel company BlueScope in 2013 elevated Mr Jason Ellis, the son of former BHP chairman Mr Jerry Ellishim from a regional divisional manager in Thailand to one of the most senior positions in the company the general manager of sales and marketing. Within months of assuming his position, one that could have ultimately groomed him to lead the company, Ellis allegedly masterminded a plan to boost the company’s ailing profit. It was a plan which court documents now assert involved an attempt to engineer a cartel with several local and overseas competitors to raise the price of steel. The alleged price-fixing plan devised by Ellis took place in the aftermath of the global financial crisis. During this period, steel prices were severely depressed and were putting pressure on steel companies’ earnings.

Back in 2013-14 this was a AUD 2.8 billion market in Australia and one which was, and still is, vitally important to our infrastructure and construction markets.

The attempts to establish a cartel were intended to raise prices and remove effective price competition. The effect of which would be large-scale, serious and ongoing economic harm in the nation's steel industry, according to a court filing made by the Australian Competition and Consumer Commission and obtained by The Age and Sydney Morning Herald.

The filing details an elaborate web of meetings between Ellis (alongside a coterie of his colleagues) and 11 of BluesScope’s competitors held over a series of months, which traversed numerous states and spanned three countries.

Source : WA Today

voda 20 september 2019 16:28

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US Steel Kosice Unionists Present Petition to Save Steel Industry

TASR reported that labour unionists delivered a petition signed by employees of US Steel Kosice to Prime Minister Peter Pellegrini urging the Government to take action to help save steel industry jobs in both Slovakia and Europe. The petition was launched at US Steel Kosice on July 22. OZ KOVO company labour union head Juraj Varga said that “It lasted seven weeks and was signed by 8,834 employees along with daughter companies.”

Also chipping in with signatures were more than 200 employees of Orava ferro-alloy facility and unionists from Krompachy factory, Podbrezova metalworks and Ziar nad Hronom aluminium factories.

The signatories call for fair business practices in the European steel industry, with an emphasis on social impacts for employees and their families. It was prompted by the US Steel Kosice management announcing mass lay-offs of 2,500 by the end of 2021.

Source : TASR

voda 20 september 2019 16:29

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Steel industries Need to Focus to Meet on Future Mobility- worldsteel

The trend toward connected, self-driving, shared and electric vehicles is quickly moving from concepts to commercial viability. Self-driving vehicles will introduce a new kind of freedom both for the driver and its occupants. Vehicles will no longer be designed around the driver but designed to serve the needs and comfort of the occupants. With the rise of mobility services such as Uber, Didi, and a host of others, it will become more and more appealing to subscribe to a monthly ride share service for all transportation needs instead of owning a vehicle.

In this new interconnected world, will steel still be the material of choice.

1. Durability and cost advantage

Fleet owners who provide ride sharing services will need to manage the total cost of ownership. To be profitable, they will want durable, lasting vehicles that are affordable to own. Steel is cost effective and lasts a long time.

2. Environmental advantage
In a world where climate change is in the forefront of people’s concerns, autonomous vehicles will meet the highest environmental requirements. Steel is the only material that is fully recyclable and that has the best environmental performance over its entire life cycle compared to aluminium and carbon fibre.

3. Safety protection
Because it will take some time before all vehicles on the road are fully connected, the need for passive safety will remain for the foreseeable future. Steel will still be needed to provide the unique properties of both crash energy absorption and deflection. Battery housings made from steel will provide structural integrity for crash management, while also preventing battery pack damage and leakage.

4. Flexibility of design
Steel’s design flexibility and unique formability help designers use their creativity to the full. With the removal of the steering wheel, foot pedals and conventional dashboard, designers will have more space to use their creativity. Steel can provide the needed strength while keeping the material thin, which leads to more room in the passenger cabin for new seating arrangements. Steel will manage the loads associated with passengers in multiple and diverse seating configurations.

5. Lightweighting
Lightweighting will continue to be important to balance smaller battery sizes with maximum range. The steel industry has been and will continue to develop products, such as the ever-growing family of Advanced High-Strength Steels (AHSS), to meet both the mass reduction and the safety targets, affordably.

6. Electrical steels
Electrical steels are essential material in the construction of generators and motors for electric vehicles. In fact, there would no electric mobility without steel. Learn more from two of our member companies ArcelorMittal and thyssenkrupp.

For all these reasons, we’re confident that steel will be central to this revolutionary change due to its durability, strength and environmental advantages.

Source : Strategic Research Institute

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voda 20 september 2019 16:33

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Vietnamese Steel Sector under Pressure - VSA

VNA reported that escalating trade tensions and rising protectionism have caused a formidable pressure on Vietnamese steel sector. The Vietnam Steel Association has said local steel producers faced difficulties in the first months of 2019 when prices averaged just 650 USD per tonne, a fall of 12 percent compared to the same time last year, driven by trade tensions. VSA Vice President Mr Trinh Khoi Nguyen said abundant steel supply and cheap steel and iron products originating from China have exerted intense pressure on local steel industry.

VSA recommended that the Government should not approve or grant license for new steel projects, especially products with abundant supply such as cold/hot rolled steel, structural steel and galvanised steel products. Meanwhile, local firms are suggested not to expand investment at this time.

In addition, competent authorities need to raise technical barriers for imported products while policies and measures should be put in place to prevent the shift to Vietnam, including from China, of the investment and production that has unsuitable technology, consumes much energy and cause environmental pollution.

Source : VNA

voda 20 september 2019 16:37

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Mr Paolo Rocca of Tenaris Speaks at Saudi Iron & Steel Conference

Mr Paolo Rocca, Tenaris Chairman & CEO, participated in the first Saudi Iron & Steel Conference in Riyadh. Speaking on the panel ‘Saudi's Potentially Pivotal Role in Global Steel’, he focused on the investment in steelmaking and processing capacity in Saudi Arabia as the country focuses on becoming more self-sufficient. During his speech, Rocca tackled three major points required to develop the industrial sector in Saudi Arabia. First he addressed the willingness of the Saudi government to protect local content and take concrete actions to promote the growth of local manufacturing, in order to support the energy and construction sectors. Rocca cited the example of the new United States–Mexico–Canada Agreement. Previously, the US proposed that only vehicles with 62.5% US content by value be allowed to enter the US duty-free. However, under current North American Free Trade Agreement rules, vehicles must have at least 75% regional value content to enter the US duty-free – with at least 70% of steel produced in the region- in order to have access to the intra-trade.

Second, Rocca made a point on the regional approach to grow manufacturing in GCC countries, building on the strong oil and gas value chain.

Lastly, Rocca highlighted the investments that the Saudi government has been promoting in education, as well as how it has been strengthening the human resource base within the Kingdom. “Youth accounts for approximately 70 percent of the country’s population. These are the people who are willing to learn and to drive the transformation and the growth of the local industry,” he said.

The two-day conference, organized by Saudi Arabia’s National Committee for Steel Industry, brought together a large group of global industry leaders attending exhibitions and workshops about the transformation of the Kingdom’s economy and opportunities for steel.

Source : Strategic Research Institute

voda 20 september 2019 16:38

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Toyota Tsucho America & Modumetal form JV for Nanoaly Alloy

Toyota Tsusho America and Modumetal have announced an agreement of a non-binding MoU for the establishment of a joint venture to deploy Modumetal’s patented nanolaminated alloy product NanoGalv, which can be used for industrial fastener and bolting applications. The joint-venture company will be known as ModuTAI, which plans a new production facility in Houston Texas in US. Final legal documentation is expected to be completed in 30-45 days

TAI is a wholly owned subsidiary of Toyota Tsusho Corporation, a Toyota Group company, located in Nagoya, Japan. Modumetal is pioneering the manufacture of a new class of nanolaminated metals with applications spanning energy, infrastructure, marine and automotive.

Source : Strategic Research Institute

voda 20 september 2019 16:38

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SSAB, LKAB and Vattenfall to Advocate for Zero Emissions in Iron & Steel Industries

SSAB, LKAB and Vattenfall, the owners behind the HYBRIT initiative, will participate in the Climate Week NYC and UN Climate Action Summit in New York. The message they will bring is that it is possible to reach net zero emissions in the iron and steel industry and energy sector. UN Secretary-General Antonio Guterres has invited the world to a Climate Action Summit on September 23 to present concrete, realistic plans to reduce greenhouse gas to net zero emissions by 2050. There is still a window of opportunity to achieve a hold in the increase of global average temperature to well below 2°C and even, to 1.5°C above pre-industrial levels. The Summit will bring together governments, the private sector, civil society, local authorities and other international organizations to develop ambitious solutions

To demonstrate the importance of the industry for the transition to a sustainable and fossil-free society, the owners of the fossil-free HYBRIT (Hydrogen breakthrough ironmaking technology) initiative, SSAB, LKAB and Vattenfall will participate in an events prior to the Climate Action Summit and during the Climate Week. SSAB President and CEO Martin Lindqvist was invited to speak at the climate meeting on September 23.

One of the prioritized action areas identified by the UN is the transformation of industry, and especially the so-called hard-to-abate sectors, such as steel. The steel industry is one of the highest CO2-emitting industries, accounting for 7% of CO2 emissions globally, 10% in Sweden. The HYBRIT mining-iron-steel-energy value-chain aims to develop the world’s first fossil-free ore-based steelmaking technology. By replacing coal with fossil-free electricity and hydrogen, HYBRIT technology will eliminate CO2 emissions, thus creating high potential to curb emissions and help the world to mitigate climate change.

Source : Strategic Research Institute

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