September 06, 2008
MMK Atakas JV orders for all major equipments
MMK has announced that it has awarded a contract to Danieli which will supply equipment for both of the JV's production sites in Iskenderun and Istanbul.
Danieli will supply following major equipments
1. 2.4 million tonne per year electric arc furnace
2. Twin ladle furnace unit
3. Twin vacuum degasser
4. A CSP complex comprised of a two strand near net shape slab caster
5. A hot rolling mill
6. A continuous pickling line
7. Two stand reversing cold rolling mill
8. Two galvanizing lines
9. Two color coating lines.
In May of 2007 the Magnitogorsk Iron and Steel Works OJSC and the Atakas Group decided to build a new steel making plant in Turkey, signing an Agreement of Participation of OJSC MMK in the authorized capital of MMK Atakas Metalurji Sanayi, Ticaret Ve Liman Isletmeciligi AS. In June of 2007 OJSC MMK became the owner of 50.0000045% of shares in the JV. The new plant will be located on two sites, with the core production to be installed in Iskenderun, and a second site in Istanbul. A sea port will also be built directly at Iskenderun for receiving ships of up to 80,000 tonnages.
The production capacity of the new JV will include 2.3 million tonnes pear year of hot rolled flats, 750,000 tonnes pear year of cold rolled flats, 900,000 tonne per year of galvanized coils and 400,000 tonnes pear year of color coated products. There are plans to set up two service centers in Inskenderun and Istanbul.
The Iskenderun installation will include an electric arc furnace, ladle furnace, vacuum degasser, thin slab caster, hot rolling mill with a nominal capacity of 2.3 million tonnes of HRC from 1mm to 20 mm thickness and 800mm to 1570 mm width and a continuous pickling line with an capacity of 1.2 million tonnes and cold rolling mill with capacity 0.75 million tonnes, hot dip galvanizing line with capacity 0.45 million tonnes, color coating line with capacity 0.2 million tonnes.
The Istanbul installation includes a hot dip galvanizing line facility with a capacity of 0.45 million tonnes and color coating line with capacity 0.2 million tonnes.
The production facilities will be commissioned in stages. The first stage will include the service centers in Iskenderun and Istanbul, followed by the continuous pickling line, the cold rolling mill and the galvanizing and color coating lines on both sites. The last to go on stream will be the EAF division in conjunction with the CSP complex in Iskenderun. During the staged commissioning of all the facilities will be supplied with input steel from MMK or other international suppliers. The implementation of the project is expected to take three years, at a cost of approx. USD 1.7 billion.
