First Integrated Steel Manufacturing Facility in GCC · Steel Making Process Flow 1978: Started two 80t EAF’s, 50 MVA each) and two straight mould billet casters ,150mm square,

First Integrated Steel Manufacturing Facility in GCC

Steel Melting By Electric Power

(Electric Arc Furnace)

The Rolling Mill Epitomises Quality & Productivity

Well Equipped Jetty in close

proximity to production facility

World Class Direct

Reduction Facility The Billets Are Cut Automatically By Gas

Cutting Equipment (Continuous Casting)

3

Production Capacities - Qatar & Dubai

Plants Products Capacity

mtpa

QA

TAR

Direct Reduction Plants DR-1 DRI 0.80

DR-2 DRI/HBI 1.50

Steel Melt Shops

EF/CC-1&2

Billets

0.60

EF/CC-3 0.70

EF/CC-4 0.75

EF/CC-5 1.10

Rolling Mill Plants RM-1

Re-bars 0.70

RM-2 0.80

DU

BA

I

Rolling Mill Plants

RM-3 Re-bars 0.30

WRM Wire Rod/ Coiled Rebar

0.24

DR: Direct Reduction, EF: Electric Arc Furnace, CC: Continuous Casting, RM: Rolling Mill, WRM: Wire Rod Mill

Direct Reduction Process 1978: Start-up of 1st Midrex module (400 Series Module with designed capacity 400,000 t/y)

2007: Commissioning of 2nd Midrex Mega Mod Combo (DRI/HBI) module (designed capacity1,500,000 t/y)

82

,63

3

2,3

85

,49

3

0

300,000

600,000

900,000

1,200,000

1,500,000

1,800,000

2,100,000

2,400,000

1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2013

Year

Direct Reduction Plant Production (1978 – 2013)

tons

Steel Making Process Flow

1978: Started two 80t EAF’s, 50 MVA each) and two straight mould billet

casters ,150mm square, (Kobe Steel)

1999: Commissioned SMS-Demag, 80t EAF and Mitsubishi billet caster

(EF3)

2006: Commissioned LF for EF3-line (Danieli)

2007: Commissioned 80t EAF4, LF4 and CC4 (Danieli) along with gunning

robot

2014: Commissioned 110t EF-5 in Q1-14

DRI

HBI

Scrap

Electric Arc Furnace

Ladle furnace

Billets

Continuous Casting

Steel Making Production (1978 – 2013)

127,4

43

2,2

63,6

38

0

300,000

600,000

900,000

1,200,000

1,500,000

1,800,000

1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2001 2002 2004 2006 2008 2010 2013

YEAR

ton

s

Rolling Mill Process 1978: Started tandem type mill (RM1) consisting of

Re-heating furnace, Roughing, inter, and

finishing strands

1996: Commissioned High Speed Finishing Bar

Mill

2003: Implemented the PLC control system in the

Re-heating Furnace, mill motors, and the

auto counting machine

2005: straightening machine installed for

deformed coils of 8-12 mm

2007: commissioned a ultra-modern Rolling Mill

(RM2) from VAI POMINI

Billets

Reheating

Furnace

Roughing Stands

Intermediate Stands Finishing Stands

Cooling bed Re-bars for distribution

Rebar Production (1978 – 2013) 113,9

94

1,6

95,8

09

0

300,000

600,000

900,000

1,200,000

1,500,000

1,800,000

1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2013

YEAR

ton

s

Product Portfolio & Markets

• Feedstock for steel plants.

• Excess production exported

• GCC • International

• From Yr 2014 onwards, Qatar Steel will have shortages of DRI/ HBI. There will be no quantities available for sale

• Used exclusively for Rebar production

•Captive Consumption •Supply to QS FZE •Supply to Open market

• Used primarily in the construction sector

• Qatar • Other GCC

• Predominantly operates in GCC, focused on Qatar (+95% market share)

• UAE market catered through our Qatar & Dubai operations

• End user product • Wide applications,

including usage in the construction industry

• GCC • Others

• Sales on monthly basis • Supplies to Asian countries (India,

Pakistan, & Bangladesh)

DRI/ HBI

Billet

Re-bar

Wire Rod &

Re-bar in

coils

Product Primary use Markets Remarks

QSC’s Direct Reduction Modules

DR-2

DR-1

QSC’s Direct

Reduction Modules

13

QSC - DR Modules

Direct Reduction Modules – Qatar Steel

Selective premium DR grade pellets with low acidic gangue & very low content of undesirable chemical elements are sourced to produce consistently high quality CDRI/HBI product.

Major Suppliers for Iron ore pellets to Qatar Steel

• LKAB, Sweden

• SAMARCO, Brazil

• VALE, Oman

• IOC, Canada

• QCM, Canada

• GIIC, Bahrain

Salient Features of the DR Modules

DR1 Module (1978~2013)

CDRI Quality from 1994~2013

DR2 Module Production (2007~2013) 112%

CDRI Quality from 2007~2013

DR Module Performance

Scheduled Hrs, 1042.82

UnSchedule Hrs, 245.53

Net Operating Hrs, 7471.65

Scheduled Hrs, 491.52 UnSchedule

Hrs, 183.57

Net Operating Hrs, 8084.91

DR-1 Module

Year Reliability Availability Operating hours

2011 97.66 93.92 8227

2012 99.67 92.64 8132

2013 96.82 85.29 7472

DR-2 Module

Year Reliability Availability Operating hours

2011 96.22 86.86 7610

2012 99.42 92.45 8121

2013 97.80 92.29 8085

DR-1 DR-2

1st Quarter Production results

439,916

462,227

193,668

221,155

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

Yr 2013 Yr 2014 Yr 2013 Yr 2014

DR2 DR1

Cummilative Production Q1 (Yr 2013 vs Yr 2014)

DR2 Yr 2013 DR2 Yr 2014 DR1 Yr 2013 DR1 Yr 2014

49,798 tons more production in Q1 2014 vs Q1 2013

DR2 Module consistently producing 5600 TPD against

designed capacity of 4500 TPD

200,000 tons more production expected

Operating cost Model for 1.7 MTPA DRI plant

Natural gas cost 1 US$/MMBTU Natural gas cost 3 US$/MMBTU