Ferro Alloy Perspectives for the Steelmaker
Post on 21-Jan-2015
1879 Views
Preview:
DESCRIPTION
Transcript
Manganese Ferro Alloys - Perspectives for the Steelmaker
Prabhash GokarnHead Marketing & Business Development, FAMD
Storyline- Manganese alloys essential for steel making.
- Like all RM even Mn : a) depleting resources in most regions, b) ore controlled & concentrated to a few leading to steeper increase in RM price than steel price profit shifting to RMc) HG ore prices increasing faster than MG & LG Ore prices as more concentrated (geographic) spread of HG ore.
- Way out :- Invest in technology for Mn alloys like steel industry has done for iron ore : viz
beneficiation, agglomeration, pre-reduction and coke : viz washing, stamp charging PCI etc.
- Beneficiation, Agglomeration, Alloy making not using electricity – direct reduction using coal/natural gas.
- Use of lower grades of ferro alloys that can be made from LG Ores which are more easily available.
Storyline Summary
• Steel Production Global + India Going Up• Manganese Alloy Demand Going Up• High Grade Manganese Ore Restricted To Few Countries & High
Consolidation Of High Grade Mn Ore Resource.• Globally Steel Industry Has Tackled Poor Quality Of Principal Raw
Materials – Iron Ore – By Viz Beneficiation, Agglomeration, Pre-reduction.– Coke - Washing, Stamp Charging, Pulverized Coal Injection Etc
• Indian Mn Ore Of Poor Quality, High Grade Ore Price Increase & Electricity Cost Increase + Shortage.
• Hence Need For Steel Industry To Invest In : – Beneficiation – Agglomeration– Alternate Methods Of Production For Mn Alloys
Presentation Flow
Manganese Ferro Alloys - Perspectives For The Steel Maker
CY11 CY12 CY13 CY14 CY15 CY16
649 684 715 747 781 816
973 1,026 1,073 1,121 1,171 1,224
1,622 1,711 1,788 1,868 1,952 2,040
Flats Long
Projected Global CS Growth (Mn MT)
FY12 E FY13 FY14 FY15 FY16 FY17
30 32 34 38 41 45
34 36 3944 48
5264 68 7382
8997
FP LP
Projected CS Growth in India (Mn MT)
Steel Production Global + India Going Up
World over, Manganese is the 4th most used metal in terms of tonnage after Iron, Aluminum and Copper. Total world’s production of Manganese Ore reached almost 47.21 million tons in 2010.
• About 95% of the world’s production of Manganese Ore is used directly or indirectly in steel making and other metallurgical usages.
• Manganese ore and Alloy Industry have historically derived demand from steel Industry and hence is directly related to the volatility and movement of Global steel Industry. World demand for Manganese ore depends directly on the outlook of steel Industry.
Manganese : Driven by Steel
Indian Steel Production Increase is Rapid
2011 2012 2013 2014 2015 2016 20170
1000
2000
3000
4000
5000
6000
1973 2033 2175 2327 2490 2664 2851
734 660 660 680 687 694 701388 328 335 345 355 366 377348 362 376 406 439 474
512
334 310 314323
333343
353
232 241 241260
263266
268
4193 4099 42674513
47474995
5260Global SiMn Demand
CHINA EUROPE JAPAN INDIAAMERICAS SOUTH KOREA OTHERs
2011 2012 2013 2014 2015 2016 20170
1000
2000
3000
4000
5000
6000
1973 2033 2175 2327 2490 2664 2851
734 660 660 680 687 694 701388 328 335 345 355 366 377348 362 376 406 439 474
512
334 310 314323
333343
353
232 241 241260
263266
268
4193 4099 42674513
47474995
5260Global FeMn Demand
CHINA EUROPE JAPAN INDIAAMERICAS SOUTH KOREA OTHERs
Global Manganese Alloy Demand is growing at > 6% yoy
Resulting in a Proportional Rapid Increase in Manganese Alloys Requirement Globally…
FY12 FY13 FY14 FY15 FY16 FY170
100
200
300
400
500
600
700
800
461 489 517560
652 683
SiMn Demand – India kT
FY12 FY13 FY14 FY15 FY16 FY170
50
100
150
200
250
140153
166180
196210
FeMn Demand – India kT
lndian Manganese Alloy Demand is growing at > 10% year on year
….. and in India
FY12 FY13 FY14 FY15 FY16 FY170
2000
4000
6000
8000
10000
12000
14000
4750 4814 5055 54097335 7996
976 1074 1202 1323
14811615
841 860 843910
11001100
1814 1658 978976
451400
8,655 8,685 8,3658,944
10,73411,531
SiMn Supply International kT
China India Ukraine South Africa Others2011 2012 2013 2014 2015 2016 2017
0
1000
2000
3000
4000
5000
6000
2189 2090 2299 2483 2682 2896 3128
416 449494
534576
623672
410 349325
328332
335338
400 365329
329329
329329
314 301 281284
287290
292
425 462 460460
460460
460
4154 4016 41884417
46654932
5219
FeMn Supply International kT
CHINA INDIA EUROPE CIS JAPAN OTHERS
Most Manganese Alloys – made in China
China is the largest consumer as well as producer of Manganese AlloysIndia is also a significant producer & consumer
Ukraine is the largest exporter of Manganese Alloys
FY12 FY13 FY14 FY15 FY16 FY170
200400600800
10001200140016001800
515 585 685 763 829 932
461 489517
560652
683976
10741202
13231481
1615SiMn Supply from India kT
Export Domestic Series3
FY12 FY13 FY14 FY15 FY16 FY170
100
200
300
400
500
600
700
800
309 341 368 397 426 462
140153 166 180 196
210449
494 534577
622672
FeMn Supply from India kT
Export Domestic Series3
India is a Significant Manganese Alloys Exporter
However, it is forecast that the proportion of Mn alloys needed to service the domestic steel industry will increase rapidly, and Mn alloy exports out of India (as
a proportion of production) will fall.
Asia accounts for 65% of World Steel Production and 70% of World Manganese Alloy Demand
Five Countries Account for 99% of Asia’s Mn Consumption, with China dominating
China and India have dominated this increase….
Growth of Asian Mn alloy production has been fuelled largely by imported Manganese Ore
Though, low grade Mn Ores are produced in many regions
MN ORE CONCENTRATION High Grade Manganese Ore available in few regions only…
High Grade Mn Ore
High/Med Grade Mn Ore
Low/Med Grade Mn Ore
MN ORE IS HIGHLY TRADED
This is why Manganese Ore is highly traded (fourth after crude oil, iron ore and coal)….
Manganese Ore sea borne volumes have risen sharply, with most manganese ore bound for Asia…China, India, Korea, Japan
South Africa; 6.27
Australia; 4.8Gabon; 2.52
Brazil; 0.8440000000
00001
Others; 5.796
Manganese Ore Exports, in Mn MT
And this high grade Manganese Ore comes from very few countries…. Highly consolidated supply base….
Import of Manganese Ore in India has rapidly increased ….
IFAPA 5 YEAR PLAN DATA
And is likely to increase in future rapidly too ….
Key Conclusions …• Asia is the key region for manganese demand, accounting for two thirds of global
consumption
• China is 70% of Asian consumption. Japan, India and South Korea also significant
• Asia will continue to increase as a percentage of global demand, fuelled by need for structural steels for construction and infrastructure in developing countries
• Asia overall is now consuming >90% of the Mn alloys it produces and is exporting less
• The region’s Mn alloy production is largely non-integrated, and increasingly dependent on imports of Mn ore from outside of Asia
AS HIGH GRADE MN ALLOYS ARE GETTING SCARCE, & IMPORT BASED ALLOY PRODUCTION IS NOT ALWAYS SUSTAINANBLE THERE IS AN URGENT NEED TO DEPEND ON THE ORE AVAILABLE IN INDIA – LOWER GRADES OF MN ORE WITH LOWER Mn/Fe
TECHNOLOGIES ADOPTED BY STEEL MAKERS TO COUNTER INFERIOR RAW MATERIALS :
Inferior Coals : Coal beneficiation by washing Use of semi coking coals by Stamp chargingUse of non coking coal by pulverized coal injection
Iron Ore : Iron Ore BeneficiationIron Ore fines used by sintering & pelletizingFlux input through sinter
Energy Efficient Alternate Technologies :Sponge Iron / HBI using coal & natural gas
Processes that use Inferior Raw Materials :Use of iron ore fines & coke/non coking coal fines in iron making by FINEX, ITKM3 etc.
Secondary Metallurgy :Ladle/runner treatment of hot metal for dePhos, deSulphurizationRH, RH-OB, CAS-OB, MRP, VD/VAD, AOD etc. for Steel refining
Steel Makers have developed technology to counter similar situation in iron ore and coal
NEED FOR SIMILAR ADVANCES IN FERRO ALLOY MAKING
Inferior Mn Ores :Mn Ore beneficiation (specially high Mn/Fe ores)
LAM Coke : Advances in use of alternate reductants : - coal, char, lignite, anthracite, wood
Energy Efficient Alternate Technologies : Advances in Non Electricity based processes for Ferro Alloy Production
- Direct Reduction using coal or gas (like HBI/sponge iron)- Coal based BF like production of FeMn and Spigelsen
Stabilization of DC Arc technology and it adoption in India/China
Ferro Alloy Processing :Post tap refining of ferro alloys – dePhos / deSulphurization / deCarburizeAdvances in direct pig casting of molten ferro alloys eliminating resizing and generation of fines etc.
Urgent Need for Similar Advances in Ferro Alloy Making
Back UpSummary of Technological Advances in Steel Making
Technology Developments(1) : Beneficiation,Agglomeration,Reduction
Technology Developments(2) : BF Iron Making Advances…
Technology Developments(3) : New Smelting Technologies
Technology Developments(4) : Steel Making, Secondary Refining, Continuous Casting
Technology Developments (5) Non Coking Coal Use
top related