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| Iron Ore Pelletizing Plant – The ideal Investment. |
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With reference to the above subject, we would like to highlight the following points which gives broad comparison of two technologies available for Iron Ore Pelletizing. |
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Straight grate process originally developed by Dravo-Lurgi, being offered by Aker Solutions is rather versatile and can handle all types of pellet feed whether 100% hematite, 100% magnetite or a blend of both. The grate-kiln process originally developed by Allis-Charmers and being offered by the Chinese is so far proven only for pellet feeds of 100% magnetite or blend of magnetite and hematite. |
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| 2. |
Grate-kiln process is not an option at all to pelletize 100% hematitic iron ore with an LOI more than 1.5%. |
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Straight grate process is superior to grate-kiln process for most applications. For small and merchant plants, required to produce a variety of fired pellets, straight grate process is the only choice. |
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Potential of straight grate process to pelletize Indian hematitic iron ore has generally been well over design capacity in all plants, whereas, the same has been less than 50% of design capacity in case of even those very few units with grate-kiln process, started early this year in India. |
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| 5. |
Straight grate process with several pairs of burners in the firing zone facilitates flexibility to adjust the temperature profile to suit an inevitable variation in the feed characteristics and still maintain the product quality. Whereas the same is not possible at all with the grate-kiln process, for with a single burner at end of the kiln there is hardly any flexibility of operation. |
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Straight grate process comprises just one travelling grate for entire process and no rotary equipment. Whereas the grate-kiln process comprises three stages viz., straight grate, rotary kiln and an annual cooler. |
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A summary of the capital and operating costs of straight grate and grate-kiln processes pertinent to 0.6 MTPY & 1.2 MTPY design capacity pellet plants is attached herewith for comparison. Data projected for grate-kiln process are rather optimistic and better than those indicated by Chinese. A meager 15% higher capital cost of straight grate process offered by VT Corp compared to the grate-kiln process offered by Chinese, would be more than offset in the very first year of plant operation. |
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| 8. |
Grate-kiln process offered by Chinese requires much higher heat input. It consumes nearly 9.35kgs furnance oil (approx Rs.30/kg), 28kgs of Anthracite (approx Rs.20/kg) and 12kgs Coke Breeze (approx Rs.20/kg). Against this, straight grate process, requires heat input of only 18kg of furnance oil (approx Rs.30 / kg) and 12kgs of Coke Breeze(approx Rs.20 / kg) (The heat input is considering the plant running on full capacity. In case, if plant is running at less than full capacity, the fuel requirement per tonne will go up). |
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| 9. |
Grate-kiln process offered by Chinese to Indian clients till date has at best been able to operate at 50% of the design capacity. Further, the plants are unable to operate more than just a week continuously due to the inevitable ring formation in the rotary kiln, an inherent disadvantage while handling hematitic iron ore. As a consequence, the plant is shut down after every week of operation to clear the ring formation in the rotary kiln. Hence a meaningful comparison of capital costs and operating cost of the two processes is possible only when we consider the potential of each process. |
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Based on prevailing market price of pellets at Rs 3840 (US$ 80) per tonne, there is a profit margin of Rs. 1480 per tonne. On an investment of approx. Rs. 200 crores, towards pelletizing facility of 1.2 MTPY design capacity, the pay back period is less than 2 years. |
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| 11. |
“Aker Solutions – V T Corp” offers you the well proven “Straight – Grate” technology in India. It is the best that money can buy. |
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Lastly, with the recessionary trend prevailing world over, this is the right time to install the pelletising plant “Now” the prices of plant and machinery are at the rock bottom. You will reap the richer harvest when the pellet price move north wards after 2 years, when you start producing the Pellets. |
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