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Siemens and Midrex to build direct reduction plant for voestalpine in Texas

16.07.2013, 19:18

 


• Plant will produce two million metric tons of hot briquetted iron (HBI) per year
• Order volume in the three-digit million euro range
 
Siemens Industry Inc., USA, and consortium partner Midrex Technologies, Inc. received an order from the Austrian voestalpine group to build a direct reduction plant in the USA. The Midrex plant will be constructed near the city of Corpus Christi, Texas. It is designed to produce two million metric tons of hot briquetted iron (HBI) per year, making it the largest single module of this type world-wide. The order value for the consortium is in the three-digit million euro range. The plant is due to begin operations in late 2015.
 
The consortium of Siemens and Midrex will provide engineering, supply of mechanical and electrical equipment and advisory services for the direct reduction plant. “With Siemens and Midrex, we will have highly competent partners with a proven technology at our side.” stated Wolfgang Eder, CEO and Chairman of the Management Board of voestalpine AG. At the Quinta Trade Gateway site near Corpus Christi in San Patricio County, voestalpine will invest around Euro 550 million. This also includes comprehensive infrastructure improvements for the project location, particularly the necessary port facilities.
 
The direct reduction plant will provide voestalpine ́s Austrian steel production sites in Linz and Donawitz with access to cost-effective and environmentally-friendly HBI. About half of the annual production will be shipped there. The remaining half will be sold to partners interested in longer-term contracts. In May this year, Altos Hornos de México (AHMSA), Mexico’s largest steel manufacturer, signed a memorandum of understanding with voestalpine. AHMSA intends to source several hundred thousand tons of high quality HBI from the new voestalpine location annually.
 
The Midrex facility will produce high-quality HBI from iron ore pellets, which is comparable to the highest quality scrap or pig iron. In contrast to using mainly coke in the blast furnaces, the planned direct reduction plant will only use natural gas as the reducing agent, which is much more environmentally friendly. This improves the carbon footprint of the voestalpine Group and will be an important step in the achievement of the Group’s energy efficiency and climate protection objectives.
 
The voestalpine Group is a steelmaking, processing, and technology group that operates worldwide and manufactures, processes, and develops high-quality steel products. With 500 production and sales companies in more than 50 countries on five continents, the Group has been listed on the Vienna Stock Exchange since 1995. With its top-quality flat steel products, the Group is one of the leading partners to the automotive and domestic-appliance industries in Europe and to the oil and gas industries worldwide.
 
The voestalpine Group is also the world market leader in railway switch technology, special rails, tool steel and special sections. In the 2011/12 business year, the voestalpine Group reported revenue of more than EUR 12 billion and an operating result (EBITDA) of EUR 1.3 billion. It staffs roughly 46,500 employees worldwide. For more information, visit www.voestalpine.com/group/en
 
The Siemens Industry Sector (Erlangen, Germany) is the world’s leading supplier of innovative and environmentally friendly products and solutions for industrial customers. With end-to-end automation technology and industrial software, solid vertical-market expertise, and technology-based services, the Sector enhances its customers’ productivity, efficiency, and flexibility. With a global workforce of more than 100,000 employees, the Industry Sector comprises the Divisions Industry Automation, Drive Technologies and Customer Services as well as the Business Unit Metals Technologies. For more information, visit www.siemens.com/industry
 
The Metals Technologies Business Unit (Linz, Austria), part of the Siemens Industry Sector, is one of the world’s leading life-cycle partners for the metallurgical industry. The Business Unit offers a comprehensive technology, modernization, product and service portfolio as well as integrated automation and environmental solutions covering the entire life cycle of plants. For more information, visit www.siemens.com/metals
 
Midrex Technologies, Inc. is an international process engineering and technology company providing steelmakers with commercially proven solutions for greater profit ability and has been the leading innovator and technology supplier for the direct reduction of iron ore for more than 40 years. The company offers eco-friendly technologies for ironmaking that provide high productivity, outstanding product quality, and cost competitiveness. Midrex has built its foundation upon the MIDREX® Direct Reduction Process that converts iron ore into high-purity direct reduced iron (DRI) for use in steelmaking, ironmaking, and foundry applications. Each year, MIDREX® Plants produce about 60 percent of the world's DRI. For more information, visit www.midrex.com

Based on Siemens (Industry Sector, Metals Technologies) information

 

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