April - September 2008 Vol. No. 31 Issue No. 2 - lntecc
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Contents Expanding horizons of the Indian Steel Industry Vol. No. 31 Issue No. 2 4 Steel is Our Strength Stoves at Blast furnance ‘G’ K.G. Hariharan - Steeling the Show Forging relationship with a Steel Major! 16 20 L arsen & Toubro has been in the forefront in the implementation of steel plants since the late fifties when construction contracts were undertaken to build the Blast Continuing saga of a Growing Relationship! 24 furnaces. This was followed by the beginning of the very Blast Furnace ‘H’ Blown in at Tata Steel, Jamshedpur 28 long innings with TATA STEEL (TISCO in those days) which The Largest Indian Blast Furnace at JSW Steels 34 started with a very small package in the Coke Oven By Product Plant and steadily grew to cover the entire gamut RINL-Vizag Steel moving at a fast pace 40 of construction and erection of all the different upstream and Integrated Plant for Bhushan Steel 42 downstream units within the integrated steel plant. EDRC - The Engineering Powerhouse 48 The subsequent years were a period of steady growth for the Sinter Plant for ISP Steel plant in Burnpur 52 steel industry largely contributed through the public sector Kaleidoscope 55 enterprises. While TISCO continued its modernisation of the antiquated plant through the eighties and thereby providing opportunities to L&T for the construction and erection of the various units, decontrol of the industry in 1992 brought about a tremendous surge of activities and the industry was propelled into a phase of high growth. It was during this period that several private steel producers went on I ron & Steel has had a major influence on our lives, from time immemorial. In today’s fast paced world, it is impossible to think of a place or a thing without iron and implementation spree and L&T saw itself involved with several steel plants. Notable among them were the ISPAT group who entrusted upon L&T the construction of the major steel. The homes we live, buildings and factories we work, units of their steel plant in Dolvi including the dismantling and the cars we drive or any other transport you choose to significant player in the Steel Industry for turnkey large plant and providing commissioning and performance rebuilding of the Blast Furnace from Germany. The period commute, the roads and bridges we traverse, we encounter solutions. Since most customers continued to prefer guarantees. This places us in the highest echelons of the between 1992 to the present times have seen a growth in the countless facets of steel in all these structures, objects and the fragmented package approach, L&T’s role in the capability hierarchy and brings with it a responsibility which steel making capacity from 18MT to 60MT and the present myriad applications. construction work remained extensive. However with the needs to be very carefully administered. We are gearing projections are that India will reach a steel making capacity award and successful execution of rebuilding of ‘F’ Blast up our systems and processes to bring our execution Steel is by far the most important, multi-functional and most in excess of 100MT (the second biggest capacity after Furnace of Tata Steel it leapfrogged into a major league capabilities to the highest benchmark. adaptable of engineered materials and the development of China) in the next 5 years. for building Blast Furnaces in EPC with major global While we take pleasure in highlighting the business mankind would have been impossible without steel. For L&T and Minerals & Metals BU in particular the period technologists. It was followed up with other critical projects achievements of the BU through this special issue of between 2000 till date has been very significant. While ECC, the Construction Division of L&T has been associated of ‘G’ BF, ‘H’BF, RSP / ISP Rebuild, JSW 3 and 4, Bokaro ECC Concord, it would be most appropriate to take a L&T had been involved in EPC jobs in the past in certain with development of iron & steel industry in India from its Rebuild, Sinter Plants 3 and 4 of Tata Steel and now with moment’s break and reminisce the towering personalities projects like the Billet Caster of Durgapur Steel Plant, SAIL very beginnings. It has been involved in almost all phases ISP, KPO, Bhushan and RSP. With a purported business who have contributed immensely to the present position in consortium with CONCAST Zurich and Slab Caster of development till the recent modernisation & expansion mix of EPC, discrete EPC and construction in mind, the BU and success of this BU. While Mr. K.G.Hariharan obviously for Bokaro Steel Plant with VAI, Linz, it was still not a very programmes of all Public Sector Steel plants as well as has also continued to pursue major construction packages needs to be largely credited for most of these successes, private players including construction of Greenfield plants. in the steel melt shop and rolling mills for customers like other names that immediately come to mind are those of Today, by virtue of its long experience, expertise and speed Corex Plants at Jindal Steel JSW, Bhushan Steel and others. Mr. A.K. Mukherjee, Mr. S.K. Madhok, Mr. A. Sivasubbu, of construction with high quality, L&T has set world-class The Minerals & Metals BU of MMH&W OC operating out Mr. P.J. Babu, Mr. M.K. Mohanty and more recently standards and new benchmarks in the industry. of Kolkata is firmly in the saddle with very clear Business Mr. N.R. Sudheer and Mr. D.R.Ray. I wish to use this In this issue of ECC Concord, we present to you the Indian Objectives and a perspective of the future. The extent of opportunity to thank all of them for their huge contribution Steel Scenario, the wide variety of projects executed / client confidence is reflected in our order book position in building the Steel industry in their respective eras and under execution in the steel sector including a spotlight on which includes 6 very large capacity blast furnaces and in the process establishing L&T’s brand name in the the ECC’s Steel Man – K.G. Hariharan. Hope, you will find 6 equally large capacity sinter plants and Pellet Plants in industry. this interesting. Happy reading! addition to downstream steel making and rolling projects In conclusion, I would like to state that “Steel is our which are in the pipeline. These projects are contracted Strength” and we will continue to play a more significant in the EPC mode and will encompass delivery of detailed role in this sector, in the years to come. Editor V.S. Ramana engineering based on the process know-how and basic Editorial Team K. Sridharan | Alex Benjamin | V. Ramesh Kumar | engineering of our technology partners, sourcing/ Derek Michael Shah Ashwin Chand | V. Eswar | Subha Anand manufacturing of equipment, site installation of complete Head-Minerals & Metals BU Photography V.S. Natanavelu Design & Layout Srishti Graphics Design, Chennai.
J N Tata pioneered Steel Industry in India Projecting such investments, capacity and Expanding horizons of the while Pandit Jawaharlal Nehru had a vision growth rates have its own pitfalls vis-à-vis past for the country and iron & steel making for the experiences, inadequate growth of supporting Indian Steel nation’s growth was a priority in his agenda. He sectors, infrastructure as well as the general adopted the socialistic route and government downturn of a booming economy. However, sector organisations were at the forefront of this achieving a target of 120 MT by 2020 and a per developmental effort. It was mainly during the capita consumption of 90-100 kg is a more orderly first and second five year plans that massive and reasonable objective. Even this conservative investments were made in the public sector steel outlook would mean an annual capacity addition Industry plants and the industry grew from around 2 MT to of 6 million tons which is equivalent to adding 2/3 20 MT during 1950 to 1990. This was the period large capacity (3000-4000 cum) blast furnaces which saw the growth of the steel conglomerates and the associated upstream and downstream at Bhilai, Bokaro, Durgapur, Rourkela and facilities for the steel plant every year for the next Vishakapatnam. 12 years or commissioning 2 three million ton capacity integrated steel plants each year. Chart In the Industrial policy announced in July 1991, Vaskar Mukherjee Iron and Steel industry was removed from the list below shows the conservative and ambitious Minerals & Metals BU, Kolkata of industries reserved for the Public Sector and estimates of the growth of the Indian steel industry up to 2020. also exempted from the provisions of compulsory licensing under the Industries (Development & Regulation) Act 1951. With effect from May 24, 1992 Iron & Steel industry has been included in the list of high priority industries for automatic approval for foreign equity investment up to 51%. This limit has been recently increased to 100%. Price and distribution of steel were deregulated from January 1992. Indian steel industry is growing and the present rise whose beginning can be traced to year 2001 seems to have gained critical mass to an extent that its shear momentum would carry it forward for a few more years and would definitely be considered as the longest period of boom for the industry. Today the production capacity level is in the region of 60 MT and a quick estimate on the brown field The World Steel Industry The growth of the expansion projects that are being implemented Indian steel industry USA, Europe, erstwhile USSR and Japan is likely to bring this figure up to 90 MT by 2012. up to 2020 dominated the world scenario in technology Adding the figures of the new Greenfield plants to prowess and production capacities up to the the above, it would touch a figure of 120 MT by seventies. The oil crisis or the ‘energy shock’ 2015. While one would not like to immediately take as it is popularly known during the seventies, the figures beyond this, industry optimism, the the declining post war reconstruction activities, need for growth, the present trend and the quest collapse of the Soviet Union and its economy as for betterment of the infrastructure and socio- well as the environmental consciousness brought economic scenario may justify planning a steel forth negative influences on the steel industry in production level of 180 MT by 2020. This would the industrialized world. bring the annual per capita steel consumption to a respectable level of 130-150 kg with indigenously The growth of the global steel industry during the produced steel. This compares admirably well with last 7 decades have risen from 189 MT in 1950 to the industrialized countries of the world. 850 MT in 2000 and projected to reach 1343 MT by Blast Furnace ‘F’ for Tata Steel ECC Concord | Apr - Sep 08 4 5 ECC Concord | Apr - Sep 08
2010. The last 20 year period of the 20th century Centres bear testimony to the fact that steel is a Smelting Reduction process based plants have have truncated operations like in Neelachal Ispat is considered as a period for rationalization of the product which can be made only with a lot of grit, established their usefulness to a limited extent Nigam Limited (NINL), which is the largest in the Industry, which resulted in closure of many plants. determination, knowledge and financial resources with one major steel manufacturer operating two pig iron spectrum, to a large number of pig iron and Technological developments also played its part and growth in steel making capacity would have to C-2000 Corex units (JSW Steel Ltd.) construction steel manufacturers who are spread and there continued to be excess production with be holistic and all inclusive. across India with a significant concentration in depressed prices that brought about losses to Operations which have short term perspectives The Secondary Sector eastern India. businesses. have no place in the steel industry and soon such The secondary steel and allied industries have There are many definitions for the secondary It was during 1990s that the Indian steel industry operations have to vacate the space for larger and also achieved great resilience and few are in the sector in the steel industry. Generally speaking was liberalized and the new entrants and older more optimized and efficient operations. While threshold of graduating in the higher platform with it encompasses all companies who have non- players witnessed a torrid period of depressed Tata has a 100 year history of excellence, SAIL is their operational and growth performance. Many integrated operations to produce steel & products prices and many of the new and old players were approaching its 50 years with great aplomb. The process flow in a There are other very well established players BF-BOF based route who while having a shorter history have no less integrated steel plant credibility and achievement as the original players. Lime Stone Iron Ore (Source Rourkela Amongst these we can include RINL, Jindal group Steel-SAIL) of steel companies, Essar steel, Bhusan steel and Sinter Plant Ispat industries. Coal The Integrated steel plants in India predominantly follow the Blast Furnace - Basic Oxygen Furnace Coke Ovens Blast Furnance (BOF) route for steel making. The blast furnace in one form or another has been around for over 2000 years. Throughout history, it Pig Casting M/c Pig Iron had to withstand fierce criticism and competition. Despite innovation in the area of smelting reduction technologies and the development of the electric BOF arc furnace, the integrated steel making route The top ten steel on the verge of being referred to the financial remains the only viable option for large scale producing countries reconstruction boards. China with a state controlled economy was silently building the technology, production of steel. Better understanding of the in the world engineering, equipment manufacturing and blast furnace process coupled with the innovations (2006-2007). (Source steel production capabilities and was adding a in basic oxygen steel making and continuous IISI publications) capacity close to 20 MT every year. The net result casting have ensured that this route will guarantee Plate Fill of this growth resulted in the dominance of China. bulk steel production at the lowest cost and the Plates China’s insatiable appetite for steel impacted the blast furnace will tower above all other iron making global steel business and India was no exception. methods. CC Plates The Indian steel industry first witnessed the revival The Indian steel industry has also been experi- of its fortunes in early 2001 and this has been a menting with other technologies and process but HR Plates Shearing Lines Pipe Plants Pipes period of steady growth since then. See chart on a smaller scale and with a mixed bag of suc- above for the top ten steel producing countries. cess. They are briefly referred below: HR Coils for Sale Silicon Steel Mill Major Players Gas based DR-EAF route plants are located in Hot Strip Mill western coast where natural gas is available, while SAIL, Tata Steel and IISCO (now ISP SAIL) are the Annealing Lines CRM a large number of small capacity coal based DR- CRNO three major industry entities who have played a CRCoils/Sheets EAF plants are scattered across the country. pioneering role in the growth and development of the steel Industry in India. Each have demonstrated Hybrid plants using BF-DR-EAF routes are also the ability to nurture and sustain an all inclusive establishing their presence but in smaller scales ET Plates Tinning Line Pickling Lines growth spectrum which is what steel is and today and limited numbers and most of these DR plants the steel townships with their ancillaries, R&D are coal based except Ispat, Essar and Vikram GPGC Galvanising Lines establishments and Management Development who have gas based plants. 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• Relocation of Midrex plant from Emden, Germany matured service provider, offering optimized and to Essar Gujarat. economical plant configurations for various • Civil, structural and mechanical works for Hot customers. Strip Mill, Air Seperation Plant, Steel Melt Shop This consortium has already erected and and Corex modules 1 & 2 including manufacture commissioned two medium sized (204 sq. m) and supply of Reduction Shafts and Smelter sintering plants at TATA STEEL, while two more gassifier for Jindal Vijaynagar Steel (presently similar size plants are under execution at ISP SAIL. JSW Steel Ltd.) This order was received recently against stiff global competition major Chinese and Russian players. EPC and Construction Packages Apart from these medium sized machines, L&T- During the last two decades L&T executed some of Outotec has bagged the sinter plant (496 sq.m) for Kalinganagar Steel project of Tata Steel and ESSAR Sponge Iron the critical EPC/Construction packages for various the recently concluded contracts for the 360 sq.m Plant dismantled at clients. Some of the most important projects machine at Rourkela Steel Plant and 2 X 204 sq m Emden, Germany and include: machines for Bhusan Steel. re-erected at Hazira • 1992: Greenfield billet caster implemented as a part of the modernization and expansion of Durgapur Steel plant executed with Concast AG. • 1992: Reconstruction of BF-1 at Durgapur Steel, a milestone project in terms of speed of Panoromic view related to steel in smaller plant configurations. and Non-ferrous industry in general and steel implementation. The project was completed in 6 of sinter plants at These plants are mainly into pig iron production industry in particular through various tie-ups and months. Tata Steel and many have added downstream value addition collaborations. • 1994: Greenfield Slab caster project of Bokaro processes to produce construction steel and Steel which was executed with well known During the course of the last five decades of pipes. Their combined capacity is in the region European technology provider VAI during the association with Indian steel industry, L&T has of 8 MT. Ferro alloy makers and re-rollers are also last expansion of Bokaro Steel. acquired expertise in providing engineering, included in this group. • 1994: Steckel Mill at Salem Steel with SMS procurement and construction services in consortium with foreign technology providers. It Demag L&T’s Track Record has constructed some of the major steel plants • 2000: Cold rolling mill of Tata Steel executed L&T’s foray into steel plant construction began in and pioneered new concepts in dismantling and with Hitachi L&T’s Share in a modest way during 1950’s when L&T catered to rebuilding of blast furnaces and DR plants in the Today, Larsen & Toubro is playing a challenging building the construction needs of Rourkela Steel Plant in country. role in the growth phase of the steel industry and Sinter Plants – EPC association with GHH of Germany. Since then L&T L&T’s canvas of project operation covers the is fully geared up to meet the industry requirement Route has had a continuous association with the Ferrous entire spectrum of steel plant from ore for the next phase of expansion. It has already Air Separation Plant for beneficiation plants to finishing mills through iron established selective tie ups with technology Jindal Steel at Vijayanagar making and steel making. leaders in agglomeration, iron making and steel making, etc. While some of the associations have Packages Executed blossomed in agglomeration and iron making • Construction of Rolling Mill complex involving resulting in large value EPC projects, associations 44000 MT of structural steelwork and erection of in steel making and rolling are also being worked three 1000 Tons per day capacity blast furnaces out with the best technology companies and will at Rourkela. see further progress in the coming months. • Relocation of the Thyssen Blast Furnace and its successful reassembly and commissioning at Agglomeration Ispat Dolvi. This is one of L&T’s core strength areas and clients • Construction of Blast Furnace ‘Krishna’ at in India are gaining immensely by executing their Visakhapatnam Steel Plant as per design and projects through the Outotec–L&T combine. supply of Gipromez, Russia and HEC, Ranchi. Today this consortium has emerged as a fully ECC Concord | Apr - Sep 08 8 9 ECC Concord | Apr - Sep 08
Proven Strength in BF Steel Making and Rolling The construction of the mammoth 4000 cu.m class L&T’s earlier successes at Bokaro, Durgapur blast furnace brought forth a level of challenge and Salem will soon be replicated in the new unparalleled in steel plant construction. While it generation casters and rolling mills that are now started with the construction of the largest blast in the planning stage. L&T is consolidating its furnace in the 80s at Vizag, dismantling relocation project, technology and engineering strength in these areas to give industry the obvious choice and rebuilding of a large capacity blast furnace at both in project economics and project execution. Dolvi and culminating in the rebuilding of F & G The industry may look forward to our plans that blast furnaces at Tata Steel during the early part of will be unveiled progressively this decade, L&T has been able to display its real strength and establish its expertise today with a The Future widespread engagement in most of the mega size Construction of Iron and steel projects generally blast furnace projects. present several complexities unique to the process L&T is building six of the nine large blast furnaces and seldom seen in other projects. Primarily, presently under construction at Tata Steel, Vizag the very nature of the smelting process with L&T’s Share Steel, JSW, ISP, Bhusan, RSP and BSP. Together very high temperature operations, handling and in building these 9 blast furnaces will add a combined volume transportation of molten metals in bulk over a wide large BFs – EPC of around 36000 cu.m and an annual production area, working in great heights and preponderance Route of 27 MT. They will be progressively commissioned during the next 30 months. Very few companies Continuous Casting Iron Making Tata Steel ‘G’ BF Rebuild: Though a smaller in the world would have achieved as illustrious a Plant at Durgapur package was built in 2005, it is nevertheless a pedigree as L&T, in engineering and construction L&T-Paul Wurth combination is an established Steel Plant landmark project in terms of having exceeded the EPC consortium in India with a string of recent of complex iron and steel plant units, specifically mission objectives. successes in Greenfield and Rebuild projects in large capacity blast furnaces. the blast furnace area. They are briefly highlighted Tata Steel ‘H’ BF, Greenfield: The largest blast The success of engineering, procurement and below: furnace implemented through the EPC consortium construction projects lie in its timely completion as route in India. This was commissioned on May 31, Tata Steel ‘F’ Blast Furnace Rebuild: Built and well as carrying out all trials and commissioning 2008. commissioned in 2002, the ‘F’ Blast Furnace was runs with a stringent safety record and thereafter Blast Furnace a landmark project in terms of size, specifications RINL BF-3, Greenfield: Similar to Tata BF-H, this the vertical take-off on commissioning. However, ‘Krishna’ at and speed of execution. Even today, this has been project is under execution and this has taken off the acid test lies in the Project Manager’s ability to Visakhapatnam serving as an ideal reference for all present and very well and is progressing as per schedule. fulfill all these project objectives within the shortest Steel Plant future blast furnace rebuilds projects. Rourkela BF-4 Rebuild: Executed in 2005 has possible time. This is the dream of all Project already found a place in the record book of SAIL Managers and L&T has built a team of young as a major venture, successfully completed in Project Managers who can take on the mantle of Blast Furnace re-constructed at DSP, Durgapur record time. mega projects with ease as exhibited in all these Bokaro BF-2 Rebuild: The consortium of L&T- critical project. To achieve this all-round success, Paul Wurth recently bagged this prestigious L&T structured several consortium arrangements project of SAIL and project activities have already with the best technology companies to give commenced. the unique advantage to the client should they Bhusan Steel BF-2, Greenfield: This is similar to choose to have it. With a variety of project award the Vizag and Tata ‘H’ blast furnace and presently mechanisms in place in this country, the best under planning and mobilization stage. projects are with steel makers who choose to Tata Steel ‘I’ BF, Greenfield: Based on the give due weightage to all the contributing factors successful execution of ‘H’ blast furnace, Tata that go to make a project benchmarked against Steel has reposed faith again in the L&T-Paul the best – globally tested technology, superior Wurth combine to build the equally challenging ‘I’ equipment, optimized engineering and rapid and blast furnace. safe execution. ECC Concord | Apr - Sep 08 10 11 ECC Concord | Apr - Sep 08
of lower cost but will definitely not stand to scrutiny generally had a short term view which prevented on overall benefit. them from nurturing technology development. The result is the abysmal level reached in patent Tendering and Project Award registration and technology development which even surprises overseas technology providers who There is a wide array of methodologies which are are repeatedly approached by Indian companies adopted for tendering and project award across for every small developmental effort. the spectrum of integrated steel companies. While many have evolved and exhibit an elevated level of We do need to look at China to see how they picked transparency to bring forth fair competition, proper up from where the Russians let off during the post benchmarking of offered technologies and better cold war era in the mid eighties. While India’s initial economics for the owner/employer, certain other technology development base in the public sector methods in vogue leave elements of subjectivity. was very sound and well focused, the recession In all cases the time frame for award of contract in the steel industry in the nineties coupled with an upswing in the IT industry gave a severe blow engineering with technology oriented functions and Exterior view of is extensive, often extending to more than one to the sector. It is during the last 10 years that the shall have a firm plan in place in the coming years. Sinter Plant No.4 year, which often contribute to escalation of costs steel sector has transformed and surged ahead in at Tata Steel and other influences during the tendering process. The technology companies in the iron and steel Blast Furnace ‘F’ of toxic and explosive gases present very high Necessary measures need to be taken to reduce engineering and project management. However sector went through several reorganizations over at Tata Steel risks. the time taken for the bidding process and award the technology scenario remains forever weak and the last two decades in tune with severe upheavals Therefore, successful implementation of these of contracts to facilitate faster implementation of dependence of overseas technology is increasing in the iron and steel sector, the world over. projects call for an appreciation of these hazards projects and achieving the production targets. with every passing day. Technology companies in USA declined along and having foolproof protocol and procedures in with their steel industry while the behemoths of A recipe for change could be in the form of patrons place to minimize their impact. Technology Scenario Russia got fragmented and dissipated. Japanese willing to take the mantle as financial mentors and Global players and consortia with well experienced India is dependent to a large extent on overseas allow bright and young people to be deployed companies well known for their excellent methods and established partners are playing a major role technology providers in many areas of the iron for technology development. To begin with all turned non-competitive in the face of growing in the construction and modernization of steel and steel making process chain due to the steel companies need to have a technology competition from European, Korean, and to a lesser plants bringing in attributes of modern technology, singular fact that entrepreneurs, organizations development mission with a sizable funding and extent Chinese companies who were emerging in economic operation, with simpler, faster and safer and patrons have not betted on the capability of motivated individuals at the helm. Short term results the upstream technologies. It was in this scenario execution methodologies including optimum client Indian technologists/engineers in the Iron & Steel should not be the guiding principle but a holistic that L&T went about selecting technology partner interface essential for the future of this growth sector. It was the public sector which could instill system oriented approach with incremental growth in early 2000 initially in the upstream technologies 204 sq.m sinter phase. Disintegrated project packages with some sense of pride and glamour in iron and steel targets should be put in place. L&T has looked and progressed into steel making and rolling machine at Tata multiple agencies may give the apparent benefits plant technology development while the industry at the possibility of backward integration of its technologies. Steel Tata Steel at Jamshedpur showing Sinter Plant No.3 with raw material conveyor ECC Concord | Apr - Sep 08 12 13 ECC Concord | Apr - Sep 08
manufacturing capability development and could cater to a steel capacity addition of up to 2 MT Various technology companies along with their peers. growth of construction capabilities. What China annually. Concurrently other small manufacturing L&T’s partners in the technology space are highlighted may have missed in software or business process facilities catering to steel plant equipment was outsourcing was more than amply compensated set up in Rourkela, Bhilai and locations in North Blast Furnace Sinter Plant Coke Oven in growth of infrastructure and manufacturing India and western India. Together these facilities - Paul Wurth - Outotec - TPE capability which has catapulted the country to the have the capability to service the steel sector for - Siemens VAI - Siemens VAI - Paul Wurth big league. There is no short cut in growth and capacity addition of 4-5 MT per year. Yet many of - POSCO E&C - POSCO E&C - MCC we have understood that a nation goes into the the critical and core equipments including heavy - Danieli Corus - TPE, Russia - Sino Steel knowledge economy phase only after creation of a duty cranes, critical castings, large diameter - MCC, China - MCC, China - SSIT proper manufacturing and infrastructure base. technological valves, grinding equipment, have - Shougan - Kawasaki - Udhe GmbH to be sourced from China and Europe which - Shoughan, China Construction Plant & Machinery have built the manufacturing infrastructure to service their own growth and which has a surplus Heavy plant & machinery and haulage equipment capacity. are the order of the day as higher levels of precast, Steel Making Casters Rolling (Flat) prefab and engineered pre assemblies will be L&T has been a traditional steel plant equipment - TPE - SMS Demag - SMS Demag used to declutter construction sites and speed up manufacturer and Kansbahal works have been - SMS Demag - Siemens VAI - Siemens VAI processes. Project planners and engineers as well supplying critical steel plant equipment. However - Siemens VAI - Danieli - Danieli as layout architects and logistic specialists will the extended recession of the 1990s and early - J.S. Plant tech need to see the trend and the logical requirements 2000 gave reasons for re-evaluating the potential while planning the projects at the concept stage. of growth in the steel sector. Today, L&T is taking a More rebuilds and retrofits will be the norm to keep comprehensive view of the steel plant equipment the existing ageing plants in proper trim. sector and hope to participate in even greater measure in the expansion stakes. CRM/Galvanising Rolling (Long) Manpower training - SMS Demag - Morgan, USA Environment impact Indian labour and construction supervisors - VAI - SMS Demag will need advanced levels of training for which This is a specialized subject particularly in the - Hitachi - Siemens VAI construction companies need to have their captive context of steel making. World needs steel and - Andritz, GmbH - Danieli Group schools for training labour and supervisors in the it has to be made either in China, Korea, Japan, - Sendzimer - Davy Morgan, UK advanced methods. L&T runs its own workmen South Africa, Brazil and India amongst others. training initiative which is boosting its capabilities Many of the developed countries have abandoned further to take up the challenge. bulk steel making in favour of high end value addition. Moreover coal and coke usage will be Engineering Scenario an enormous amount of work in keeping the Project management in the forefront in steel making. Matters related to engineering industry well serviced with their L&T has a robust engineering set up and realizing carbon emission and use of superior technology products. With the declining fortunes of many Project management will be the cornerstone in the potential of the sector, we are persuading fresh to reduce levels of energy input per tonne of such old workhorses, we have to have new execution of such mega plans and each steel engineers from civil, mechanical, metallurgical, steel making is not the subject matter here. But mothering units in the private sector who are able plant owner will have to device their own strategies electrical and structural streams to join engineering technologists and project personnel would do well to look beyond short term goals and nurture an based on their own specific conditions. Steel plants work which is more fulfilling, prestigious and in evaluating projects also from the framework of engineering pool for the future. have treated their project functions differently contributes to the nation building. The existing future environmental requirements. L&T on its part depending on their execution methodologies. productive engineers are ageing and we need to L&T has been very actively involved and making would like to work with technology companies who Moreover project personnel are much more mobile see young engineers taking up the mantle in larger a significant contribution to this sector with its carry the mantle of environmental sensitivities. than operational personnel. Hence plants which numbers who are willing to work in engineering engineering bases and office networks spread have long term growth perspectives need to have offices and project sites. across the length and breadth of this country. No L&T’s preparedness a captive project function to be available through The modern day engineering offices will be IT/ITes doubt, L&T is also gearing up further for the next this entire growth phase. L&T is fully established to be the most visible and enabled which will be located in knowledge zones round of growth. successful enterprise in the development of the of bigger planned cities in progressive modern Manufacturing infrastructure China’s growth in steel making capacity up to steel making infrastructure. Our present portfolio states. declared levels of 490MT has been possible only Robust manufacturing capabilities were built up in of projects and our future engagement will bring Moreover, engineering capability building is through institutional development of technological the early sixties like L&T, HEC & MAMC to cater to greater rewards to the stakeholders and bring restricted to few enterprises that have done & engineering capabilities; a demand based the Mining and Steel sector. The facilities created India at par with world players in steel. ECC Concord | Apr - Sep 08 14 15 ECC Concord | Apr - Sep 08
With more than Rs. 6000 crore worth of orders from steel industry pouring in to the portals of L&T during the last few years, ECC has been in the limelight. However, one person is sitting pretty cool on these hot ovens and continuing to bag more and more orders, least perplexed and least hyped up. He is the “Steel Man” of ECC and the rock anchor of steel & metallurgical sector business. This acronym, he has been labeled for his high resoluteness and firm determination. Moreover his association and long innings in the steel industry is deep rooted like the rock anchor. There is no parallel for him in the industry when it comes to construction of major steel plants, establishing long- standing good customer relationship or securing high value orders for mega steel plants – be it repeat orders from a single client or new orders for the construction of Greenfield steel projects in the country. To top it all he has the unique distinction of having executed the maximum number of blast furnaces in the country with new benchmarks in project execution. With his experience and expertise gained over a long period, he has proved himself an authority and a force to reckon with in the steel industry. With his inimitable style of people friendly leadership and project management capabilities, he has been stealing the show from the entire steel industry, not only from India but technology suppliers, the world over, with regard to meeting stringent time frames and other project deliverables. Everyone knows him popularly as KGH. Meet Mr. K.G. Hariharan, Senior Vice President & Chief Mentor of Industrial Projects & Utilities (IPU) Sector, catering to Minerals & Metallurgical, Bulk Material Handling and Water Project operations at ECC Division of L&T. G reat leaders have achieved the impossible with great teams, it is said. Forging alliances, bringing up teams, nourishing and nurturing them with collaboration, care and trust as well as Team Building is one of the most important roles of a leader. This is very much true of Mr. Hariharan, who says concentrated team efforts and results are two sides of the same coin. During his tenure as Head of the IPU business sector, he had the unique distinction of executing some of the major multi-disciplined engineering projects in M&M, BMH and Water & Effluent treatment business units. It is also a fact that KGH’s association with the steel plant construction is almost synonymous K.G. Hariharan with L&T‘s foray into this area of business. Be it Steeling the LD shop at Tata Steel - Jamshedpur, Billet Caster for DSP-Durgapur built on EPC basis with himself, KGH has been able to successfully With Mr. Ratan Tata, Concast, relocation of Thyssen Blast Furnace from develop similar vision and forethought among his Chairman of the Duisburg Germany to ISPAT Dolvi which marked team members. The Tirumala water supply pipeline Tata Group and ECC’s foray into expanded business in Iron making project was the crowning glory and landmark of Mr. A. Ramakrishna, then or the Slab Caster for Bokaro Steel Plant, the IPU KGH’s immense faith in his people where passion Deputy Managing Director, sector of ECC led by KGH brought accolades to the Show... worked far beyond money and status. Similar urge L&T during the presentation the organization. and strong drive led by KGH in the teeth of extreme of special memento to Achievement motivation has been a guiding difficulties led to the successful completion of a celebrate 25 years of philosophy of KGH. Being an outstanding leader 17 km long overland conveyor for Lafarge Cement L&T-Tata association. R.P. Das Minerals & Metals BU ECC Concord | Apr - Sep 08 16 Bhubaneswar 17 ECC Concord | Apr - Sep 08
KGH along with At the time of signing the strategic alliance with Paul Wurth Dr. J.J. Irani, Mr. Ratan Tata and Mr. B Muthuraman at Tata Steel the Minerals & Metals Business Unit of ECC has effective solutions to the Indian Steel Industry, L&T-ECC Workshops cut down on the delivery time for blast furnace and selection and nurturing of long term relationship near Chennai is the sinter plant construction as well as blast furnace with technology partners in equal terms is a vital brain child of KGH. rebuild, bettering the best standards set by area of interest, emphasized Mr. Hariharan. The He is seen with Plant in Bangladesh, one of the longest single in his college days that he developed his distinct international technology and construction majors. successful partnership with Outotec, Germany Mr. A.M. Naik, flight belt conveyors in the world. skills in human resource management. After a The rebuild of Blast Furnace ‘F’ at Tata Steel was is a shining example which reaped rich dividend Chairman and short stint with couple of other organizations, KGH an example of his formidable achievement to set a in booking a record six consecutive Sinter plant Managing Director Hailing from the former princely state of joined Engineering Construction Corporation new global benchmark for such projects. Against orders for L&T. at the time of Trivandrum, Karamanai Gopalakrishna Hariharan Limited (ECC), then a wholly owned subsidiary contractual shut down period of 150 days, KGH inauguration of the (KGH) obtained his Diploma in Mechanical The secret of my success is ‘My People’ says of L&T in 1971. During 1984, in due recognition was approached by top management of TATAs workshop Engineering, in 1963. It was as a student leader KGH. They have been nurtured by motivation, trust of his outstanding performance at many of the to reduce the shutdown period by 30%. KGH in and support, kindled by the spirit of innovation, projects he was involved, KGH was elevated to his characteristic style took up the challenge and commitment to time and quality. become the youngest Regional Manager of ECC at personally guided the Planning and Mobilization Kolkata. It was during his earlier tenure as ECC’s teams to reach the seemingly impossible target. However, “All work and no play” is a view KGH Construction Manager at Tata Steel - Jamshedpur The result was unprecedented. Providing does not subscribe to. He strongly believes that and subsequently as Regional Manager – Kolkata stupendous challenge to the project management happy families make happy workers. People have Regional Office (KKRO) that KGH carefully nurtured capability of L&T-Paul Wurth teams, the Blast to be taken care before they can take care of their L&T’s relationship with Tata Steel. Over a period, furnace was blown in 104 days creating a record assignments. the relationship grew very strong and blossomed in the steel industry. In the midst of his busy schedule, Mr. Hariharan to such an enviable position that L&T is executing is a family man at heart. With both daughters Although partnering L&T is a first choice for almost all of Tata Steel’s prestigious projects. settled in life, Mrs. Hariharan and songs from Hindi foreign technology suppliers to offer cost ECC set its first foot at Tata Steel Jamshedpur way movies of yesteryears rejuvenate him after a hard back in 1978 and today it has touched 30 years. day’s work. A well known name in the steel industry, KGH at a steel Moreover, this association is continuing to grow workshop along with Mr. Sajjan Jindal Given the present boom in the economy, the stronger and stronger with ECC securing many new and bigger projects year after year. This steel sector has thrown open huge opportunities is certainly a remarkable achievement attributed and challenges for project engineering and purely to the customer relations bondage construction. Under these circumstances while all developed and nurtured by KGH. major players are basking in the glory of huge order inflows, KGH makes a typical cautionary note. He Mr. Hariharan has identified himself so closely opines “While actions are limited, possibilities with the metallurgical sector that his colleagues are immense”. The management style of KGH and contemporaries refer to him as the ‘Steel is quite different from others. As the saying goes Man’ of L&T. KGH strongly believes that records successful people don’t do anything different but are meant to be broken. Under his able guidance they do things differently. ECC Concord | Apr - Sep 08 18 19 ECC Concord | Apr - Sep 08
Forging relationship with a T ata Steel and L&T – two names that enjoy a foundations, underground cable tunnels, electrical special place in the corporate firmament of and other service buildings, etc. The quantum of Steel Major India are well set to carve a niche for themselves work involved 3,10,000 cu.m of excavation, 58,000 in the growing stakes of the iron and steel industry. cu.m of concrete , 1,50,000 sq.m of shuttering and The two private sector companies, established in 3,400 t of reinforcement and it was completed the pre-independence days, have contributed in within a period of 4 months. To meet this massive a major way to the industrial development of free volume of works, ECC had to install a centralized India and continue to be significant players in the batching plant with a capacity of 60 cu.m for country’s all-round growth. In their own unique supplying concrete and also had to deploy earth R.P. Das ways, they have proved to be builders of modern excavators and other heavy machinery like crane, Minerals & Metals BU India. dumper and dozers. Bhubaneswar L&T’s Engineering Construction & Contracts The following are some highlights of ECC’s work (ECC) Division has an unbroken association for this projects at Tata Steel: with Tata Steel since 1978 when it opened its site • ECC had to design, fabricate and erect 40 t of office at Jamshedpur. ECC has been Tata Steel’s structural steel framework of 16 m height to partner and has executed a number of projects for make room for continuous casting of 450 cu.m Coil storage area in the steel major. of concrete for each foundation of 130 t capacity the Bar and Rod Mill L&T-ECC’s association with Tata Steel started LD converters. at Tata Steel when it was awarded the contract for construction Electrostatic Percipitator for of new coke ovens by-product plant and since then waste gas at Sinter Plant ECC has been continuously carrying out large and small orders for the upgradation / maintenance of its various facilities at Jamshedpur. The unbroken client-contractor relationship is a typical example of customer delight begetting customer loyalty. Thus, ECC is associated with all ambitious plans and modernization programmes of Tata Steel right from phase I, which began in 1980s to the current expansion plans. First Modernization Recently Tata Steel celebrated the silver jubilee i.e. 25 years of completion from the first modernization programme. Tata Steel undertook its first modernization in 1980-83 at an estimated cost of Rs. 220 crores. This comprised setting up a 1.1 million tons oxygen steel making plant (better known as LD shop or Basic Oxygen Furnace Shop) to replace the outmoded duplex process at steel melting shop No. 1, introduction of one six- strand continuous casting and one 130 t vacuum arc degassing and refining facility. Against very stiff competition from leading companies, ECC bagged the entire civil works and major portion of the structural works of the steel melting shop, tar dolomite calcining plant and at a later stage received the electrical installation contract also for the same project. ECC’s scope of work in the LD shop involved construction of heavy column and equipment ECC Concord | Apr - Sep 08 20 21 ECC Concord | Apr - Sep 08 Low tension switchgear control panels
plant, but it overcame them with a high sense of Cold Rolling determination, hard work and team spirit resulting Mill in completion of the contract very much ahead of schedule and Tata Steel was able to commission this project on March 23, 1983. The successful completion of this challenging project ahead of schedule is a record for Tata Steel. In coping with the tight schedule of the time- conscious and result-oriented client, Tata Steel, ECC faced a number of hurdles, initially in operating in a highly congested, hazardous, round-the-clock operating steel plant. ECC staff and workmen had to get conversant with the hazards of steel plant Inside view of • Massive and deep excavations up to 17m like movement of cranes, wagons, locos, electrical Sinter Plant No.3 below ground level with L&T-Poclain hydraulic bus bars, molten metal, gases, etc. However, it excavators. took very little time to overcome this problem with a high sense of determination and hard work • Laying of a 2km road and 7km of railway tracks by carrying out routine works on set procedure in the shop. and customers, cooperation and team spirit by • Very high degree of accuracy in fabrication and each individual from engineers to supervisors fixing of steel embedments and bolts in various and workers. All this was achieved by the then structures. Construction Manager, Mr. K.G. Hariharan’s • A record pour of 400 cu.m of concreting in a versatile vision and forward planning, overall single day and a running record of 5,300 cu.m control, alert watch on performance, periodical of concrete in a month. review and monitoring, timely achievement of The mechanical works involved 13,000t of targets coupled with dynamic leadership, drive, fabrication and erection of steel works and 54,000 help and support. The determination of Mr. Erection in progress Plant #2, 2.4 mpta Sinter Plant #3, Blast Furnace sq.m of sheeting in a period of 24 months. This Hariharan in holding the whole team together, ‘H’ and 2.4 mtpa Sinter Plant#4 also involved testing, flushing, thermal insulation, keeping tension under surface and above all his painting and commissioning of LD gas and other human touch and relationship boosted everyone’s Global Benchmark utility works for gas recovery system of LD. morale and made it possible to complete the project well ahead of schedule, helping to create ECC provided the sinews for Tata Steel’s 1.2 The entire structure was made of heavy build-up of a new record for Tata Steel. This was the turning mtpa state-of-the-art Cold Rolling Mill (CRM) at steel columns averaging 40 t in weight consisting point in our association with Tata Steel and there its Jamshedpur works. The CRM plant was Tata of trusses, crane girders, monitors, etc. One has been no looking back for ECC since then. Steel’s top-most priority in the face of global notable achievement was fabrication and erection recession in steel market in 1998. L&T-ECC’s role of fully riveted (consisting of about 4.5 lakh rivets) Further Phases in setting up the 1.2mtpa plant included erection, crane girder. This 42 m span crane girder has a commissioning of a coupled pickling line and The second phase (1985-1992), saw a 0.3 mtpa width of 6 metres and weight of 175 tons. tandem cold mill, along with civil, structural and (million tonne per annum) bar and rod mill, a underground piping works, equipment erection Another milestone was fabrication of 1,000t of 2.5-mtpa sinter plant, power house, raw material and commissioning of the CRM. structural steel and erection of 1,100 t of structures bedding & blending plant and coal handling in a month’s time. plant. In completing the project, L&T-ECC set up several records in structural steel, fabrication and The tar dolomite brick plant involved fabrication The third phase (1988-2000) saw the rising up of concreting. Most outstanding of all was a global and erection of 1,600t of structural steel and 6,800 energy optimizing furnace (EOF), lime calcining benchmark for supply and commissioning of the t of sheeting. The electrical work involved 300km plant, billet caster, blast furnace ‘G’, hot strip mill, plant in a world record time of 27 months, a whole of cabling, 45km of earthing, 21,000 terminations slab caster and LD shop – 2. month ahead of the previous record for a similar and 430t cable trays. The fourth phase (2000 onwards) saw the 1.2 mtpa plant held by POSCO of South Korea. It was a ECC faced a number of hurdles working in a big Cold Rolling Mill, Blast Furnace ‘F’ upgradation, crowning moment in the Tata Steel-L&T Saga and way, in Tata Steel’s highly congested operating Blast Furnace ‘G’ augmentation, 2.3 mtpa Sinter augured well for the future. ECC Concord | Apr - Sep 08 22 23 ECC Concord | Apr - Sep 08
Continuing saga of a T ata Steel’s growth into the future has been temperature of 400oC and is provided with a through both organic and inorganic routes. waste heat recovery system. Growing Today, Tata Steel is the world’s 6th largest steel • Nitrogen based CPI system is provided for company with an existing annual crude steel the blast furnace to achieve a 150 kg/thm capacity of 28 million tonnes. Asia’s first integrated level of injection. One 60 tph vertical roller steel plant and India’s largest integrated private mill is provided. Pulverised coal fineness is sector steel company is now the world’s second designed at 80% below 90m with surface Relationship most geographically diversified steel producer, moisture less than 1.5%. with operations in 24 countries and commercial The project broadly involved a total of 60,000 presence in over 50 countries. Tata Steel completed cu.m of civil work, 1500 nos. of bored cast in-situ 100 glorious years of existence on August 26, piles, 28,000 tons of structural work, 20,000 tons 2007 following the ideals and philosophy laid of equipment erection, 22,000 tons of refractory down by its Founder, Jamsetji Nusserwanji Tata. work,1.5 km of rail track and 1500 km of electrical The first private sector steel plant which started cabling. with a production capacity of 1,00,000 tonnes has Anupam Kumar transformed into a global giant. Its 5 million tonnes Challenges Project Manager per annum (mtpa) Jamshedpur Works plans to double its capacity by 2010. L&T has played a The plant was configured in a limited land area in the significant role in Tata Steel’s expansion process existing slag and skullyard. Installation of 1000mm Panoramic view at every stage. Recently it helped Tata Steel dia piles on complete slag filled strata needed of cast house commission India’s largest blast furnace ‘H’ and Sinter Plant No.4 in their plant at Jamshedpur. Salient Features The capacity of the ‘H’ blast furnace is 2.5 mtpa with daily production of around 7850t. The hearth diameter is 13m with 38 tuyeres and an inner volume of 3814 cu.m. The furnace has four tap holes in two cast houses. The blast furnace has few special features, which can be listed as follows: • Low thickness (95mm) copper stave collers in the bosh, belly and lower stack for enhanced thermal exchange efficiency • Double cardan type tuyere stocks for high temperature and pressure operations. • Compact design INBA cast house slag granulation plant with low energy consumption, high reliability and minimum maintenance with very low operating manpower. • Compact internal combustion chamber stoves (48m high and 10.7m dia) with a mushroom dome for better stability of dome bricks. Dome temperature designed for 1450oC with a maximum blast temperature of 1250oC with a blast pressure of 4.5 bar(g) and maximum blast volume of 3,60,000 Nm3/h. The hot blast system is designed for a max top gas pressure of 2.5 bar(g). • The stoves operate on a maximum waste gas Night view of Blast Furnace ‘H’ Hot metal at cast house ECC Concord | Apr - Sep 08 24 25 ECC Concord | Apr - Sep 08
Salient Features of Blast Furnace – H Furnace BF inner volume : 3814 cu.m Daily production : 7150 ton /day Hearth Diameter : 13 m Number of tuyer : 34 nos Daily Production (Avg) : 7150 tons / day Furnace oprtg top pressure : 2.5 bar g Fuel Rate : 540 kg / per ton Cast House No. of cast houses :2 No. of Tapholes : 4 nos Hot stoves under several modification to designed pile location at Hot Blast Stove operation various stages of the execution process. Hot blast flow : 360000 Nm3/h Furnace productivity with high annual hot metal Hot blast temperature : 1250 deg C start to finish, absolute safe working conditions suction pressure of 170 m bar. The stack emission Control room of production and 15-20 years campaign life was Stoves for all construction, erection, operation and level is 50 mg / Nm3. the Sinter Plant one of the top prerequisites of this project. All (internal combustion type) : 3 nos maintenance were given top priority. A powerful Blower three dimensional modeling of H-Blast furnace was Major Quantities operational and logistics constraints were taken Electric blower : 2 nos developed for optimum use of space, visualization in to account at the time of planning, design and L&T’s scope involved 6000 t of mechanical supply cap 190000 Nm3/hr engineering. Major challenges of accommodating for easy maintenance and safety of operating Motor MW for each blower : 23 under and 800t from Outotec, 6800 t erection, all necessary auxiliary and support facilities within people and identify the problems in accessibility, Blast pressure : 5 bar g 37000 cu.m of RCC, 8000 t of structural steel work boundary limits was achieved through meticulous maintenance and erection plans. The quality of Gas Cleaning and more than 36000 sq.m of sheeting work. layout planning. BF gas flow rate wet : 550,000 Nm3/h equipment manufactured was controlled from the BF gas pressure : 2.5 bar g beginning of the project. The quality department The project consumed 25000 tonnes of steel Salient Features Coal Injection at the Headquarters and the site team worked structure, 59000 cu.m of concrete, 22000 tonnes Some of the salient features of this project Average injection : 160 Kg/thm together to maintain the quality standards. of equipment and more than 21000 t of refractory. include installation of sophisticated systems like Peak injection : 200 kg/thm Handling such a massive volume of materials As usual, L&T was committed to the welfare BF cooling Automated Distributed Control System (DCS), within the limited space was a major challenge of more than 4000 strong workforce with the Hearth cooling : Cast iron staves Intelligent MCC for direct control from DCS, and it was overcome with meticulous planning. Shaft cooling : Copper & Cast iron establishment of labour colony, training for safe waste heat recovery system and VVVF (Variable staves working environment and adequate healthcare Voltage Variable Frequency) electrical energy Safety and Quality Automation : DCS based Level-1 measures tailor-made for the workforce. saving system. For the lowest fuel consumption, automation The safe and quality construction within a The project work, which commenced in August short ignition furnace was used and CCTV control Optimisation by Sinter machine at stipulated time frame has always been a major level-2 automation 2005 was completed in 31st May 2008 with the monitors were installed for monitoring. Other Sinter Plant No.4 challenge for all brownfield projects. From blow in of the blast furnace. features include deployment of infra red scanners for furnace monitoring and vibration isolation Sinter Plant #4: system for fans to reduce foundation size. Sinter Plant # 4 has been built by the joint The major challenge during the project execution consortium of L&T and Outotec GmbH (formerly was stabilizing and pre-conditioning the soil Outokumpu Technology) on an EPC basis. to avoid piling and save time. The detailed Valued at Rs. 350 Crores, this project was started procedure was worked out by the Foundation in July 2005 with a contract duration of 24 months. Engineering Department of L&T to achieve the According this was completed in November 2007 desired bearing capacity. Tower crane was used and production commenced thereafter. for erection of structures as well as equipment The product capacity of sinter plant # 4 is 2.3 right from the initial stage of construction. A well mtpa with the designed machine productivity of co-coordinated system helped to procure quality around 34 t per sq,m per day. The suction area equipment at the right time. The documented of the machine is 204 sq.m and the pallet width is learning experienced during the construction of 3m with bed height of around 700 mm. The sinter Sinter plant #3 was implemented from the design cooler area is 202 sq.m. The sinter plant has got stage onwards to ensure smooth implementation the waste gas fan capacity of 170 Nm3/sec with and commissioning of the project. ECC Concord | Apr - Sep 08 26 27 ECC Concord | Apr - Sep 08
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