Iron ore and Coal

The problem of raw materials in steelmaking units

The problem of raw materials in steelmaking units
Mining News Pro - According to the chairman of the Zob Ahan Alborz, the lack of raw materials has become one of the major challenges facing steel makers.
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We use 35% of sponge iron and 65% of scrap metal in steel ingot production lines for our products, which we face with a serious problem," said Amin Saadi, chairman of the Alborz Melting Board of Directors.

He added that apparently the producer received raw materials at $ 4,000 and $ 200 and distributed the product to $ 8,000 tomans free of charge. According to the statistics available this spring, more than 10,714 tons Iron, steel and cast iron scrap was exported from the country, whose value of these scrap was 3 million 20 thousand and 214 dollars, which is 30 percent higher than in the spring of 1396.

He added: "This desire for scrap exports, except for the achievement of the producer`s views at a price difference of 4200 USD and the unofficial dollar of more than 8 thousand tomans, has no economic and logical justification that caused the exporters of scrap only during the first three months of the year and abusing The difference in the price of the government and free currencies is rendering billions of Rials of Rents, and they will have a broad agenda to continue their work in the coming months, without the concern of the regulatory bodies.

The chairman of the Alborz West smelting board said that the price per kilogram of scrap is 3 thousand tomans, said that this year, compared with the same period last year, it has been facing a 100% increase. The price of the world price of scrap is from 360 to 370 The dollar was announced in each tone and added that it was offered at the end of last year at 1700 USD per kilogram.

Saadi pointed out the price increase for steel bars in recent days: Currently, global steel wire prices range from $ 510 to $ 515 per ton, which is fluctuating with dollar rates in the country. He believes that as long as the dollar exchange rate in the market We will not find stability inside, we will still see daily fluctuations in bullion prices in the market.

The chairman of the West Alborz Melting Board said that fluctuations in electricity, water shortages, and extreme price fluctuations were one of the company`s future challenges. "The current fluctuation has caused some of our production units to face a burn problem, and in the current situation, Imported them. He emphasized: We currently need to import parts, but in the current situation, we need to pay a few thousand dollars to pay for a $ 1,000 piece.

Saadi said, "Today, we produce 400,000 tons of ingots and 250,000 tons of barrels and stairs," he said. He announced the launch of a production unit with a capacity of one million tons, but added that the unit would be launched to 1500 billion USD The director of the Alborz West smelting board also announced the purchase of 150 megawatts of electricity, he said, but has not yet been launched due to peak traffic and fluctuations.

He also cited the shortage of graphite electrode needed by steelmakers in the country and noted that this strategic material is currently only produced in China, India, Germany, Japan, and the United States, whose imports are subject to many barriers. The amount of the country`s need for graphite electrode is 70 Up to 80 thousand tons annually, adding that steel makers face a serious challenge due to lack of domestic production and the need for imports.


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