August, 09 2005
POSCOs FDI to come after feasibility studies
The Union Government said on Friday it had not received any application from the Korean steel giant POSCO for the proposed foreign direct investment in Orissa, however, a Memorandum of Understanding has been signed between Orissa Government and POSCO on June 22 for setting up a 12 million tonnes steel plant at Paradeep with a proposed investment of around US $12 billion.
Indias largest foreign direct investment of $12 billion by Korean steel major Posco in Orissa is likely to be delayed as it has decided to wait for the outcome of a detailed feasibility study on the proposed plant, which is expected to be completed by early next year, before approaching its board in Korea for approval of release of funds.
The company had originally planned to complete all formalities (including registration of company and FIPB application) leading to the investment coming in by December end. While the project is not under any threat, the company does not rule out a change in its investment plans on the basis of the feasibility study.
POSCO board had given a temporary approval for signing the MoU, which would be re-evaluated after the feasibility study for the Orissa project by the end of this 2005. The delay in bringing in FDI, however, is not likely to affect the overall deadline of completing the phase I of the project of 3 million tonnes by 2010. The entire 12 million tonne capacity is projected to be operational by 2016.
Meanwhile, Posco is going ahead with its plan to set up an Indian entity. Posco India, as it would be called, would be registered in Orissa by the end of August or early September this year.
SAILs DSP to get new caster and rolling mills
The Minister of Steel has announced an investment of Rs28.4bn for Durgapur Steel Plant.
Installation of Ladle Furnace and Bloom Caster, two Medium Structural Mill, New Bar & Rod Mills, New Billet Caster, up gradation of Blast Furnace No.1, Rebuilding of Coke Oven Battery No.4 and Augmentation of Raw Material Handling, are some of the projects identified under this Plan.
Similarly, an investment of Rs12.66bn has been planned for Salem Steel Plant. The major areas of investment include steel making facilities and new cold rolling mill complex depending on their techno-economic viability.
L&T eyeing shipbuilding & port development
Larsen & Toubro is eyeing the booming shipbuilding business and developing non-major ports. It is trying to find a suitable location for the purpose, the L&T Chairman and Managing Director, Mr Anil M. Naik said.
L&T was examining the prospect of developing such ports for handling dry bulk and other general cargo in Tamil Nadu and Andhra Pradesh. There are very few deep water ports in India and unfortunately they are not available as L&T is not looking at captive port facilities.
L&T plans to develop the ports either exclusively or with a joint venture partner. L&T had earlier entered into a 50:50 joint venture arrangement for developing Dhamra port in Orissa.
Steel Strips gets order for Daewoo Matiz
Steel Strips Wheels Ltd has bagged export order for supply of 15200 wheels to Germany for Daewoo Matiz Car, from Kromag Metallindustires GmbH, Europe's second largest Steel Wheel Distributor.
The Company said that, it has secured the order against stiff competition from leading European Manufacturers and it will be able to complete the delivery within the contracted delivery period by October 2005. The Company has further said that, it is having a total export order book of more than Rs1.2bn.
Sathavahana Ispat increases hot metal capacity
Sathavahana Ispat Ltd on Tuesday said that, the installed capacity of the hot metal at the existing site stands enhanced to 210000 TPA from the existing 120000 TPA effective from June 30, consequent to the commissioning auxiliary equipment, forming part of modernization and expansion program.
TopRathi Udyog obtains sanctions from banks
Rathi Udyog Ltd has received sanctions from Bank of Baroda and Syndicate Bank for its upcoming Integrated Steel Plant at Sambalpur, Orissa. Construction activities have already begun and orders for all major plant & machinery have been placed.
About 75 per cent of the total finished goods shall be consumed internally at Ghaziabad plant where the rolling capacity is being enhanced from 1,25,000 TPA to 2,00,000 TPA.
The trial production of value added Stainless and Alloy Steel products at Ghaziabad Unit is likely to start during third quarter of this year.
Gangotri Iron & Steel to set new production facility in Bihar
Gangotri Iron & Steel Company is proposing to set up a new production facility in Bihar. The proposed project is being planned to have 12 x 2 tons induction furnace along with continuous cast billet plant with a 300 TPD THERMEX TMT plant for manufacture of international quality TMT Bars.
The capital outlay towards the proposed project will be approximately Rs 350 million. Land for the proposed unit has already been identified and negotiations for acquisition are in progress.
Jindal Saw Ltd accounts for more than 30% of L SAW pipes in India
Jindal Saw Ltd previously known as Saw Pipes has announced 175% increase in net profit during the last quarter. However, gross sales in this quarter reduced primarily on account of lower revenues from its US operations, where the company sells steel plates and pipes that are used in repairs and maintenance of pipes and pipelines.
Jindal Saw Ltd derives most of its revenues from the domestic operations and has completed the capacity expansion. The company is using around 50% of its capacity of its large diameter pipes and 40% of its seamless capacity.
Out of 1.5-2mn tons of L Saw pipes being manufactured in India 0.75mn tons are manufactured by Jindal Saw itself. The company has invested Rs400mn into its seamless business, to widen its product portfolio and improve its value added products. It plans to produce 40,000 tons of seamless pipes during the year, which will be then increased to 60,000 tons.
Both seamless as well large diameter pipes are used mainly by the oil and gas industry, which is in a major growth phase.
Scrap prices on the global rise, Steel prices to follow
Over the last couple of days, various grades of steel scrap in a number of markets have soared. Chicago scrap price rose from $170 a gross ton early this week to a current price of $230 a ton. HMS1 went from $140 a ton to $195 a ton during last week.
The current soaring of the scrap price could be more of a reflection of reduced scrap supplies during the summer and not an increase in demand, although Turkish scrap users have been in the market in a big way.
With the higher scrap prices the volumes of steel orders has already picked up as steel users anticipate higher steel prices even though there has not been any improvement in steel consumption. The steel mills are expected to announce higher steel prices for September rolling.
No Slowing in Australian Iron Ore demand
Australian iron ore exports were 20.4Mt in June, just below the March record of 20.8Mt. Year to date, exports are up 19% on a year-on-year basis although press reports have suggested Chinese steel mills have been deferring shipments. Coking coal exports were 7.1Mt in June, which was down 7% month-on-month. Thermal coal exports were 8.1Mt in June, down 8% month-on-month.
UBS reports that BHP and Rio Tinto have said they are seeing no signs of demand slowing. UBS suspects the Indians may be losing tonnage due to their high spot price.
UBS does not expect much variation on exports over the next 12 months given that the major ports have capacity restrictions and are now operating under allocation systems.
BHP said at a UBS June 2005 conference that demand was still extremely strong for coking coal and would be driven in the future by India. This is not necessarily a sign of market weakness, says UBS, as the market has seen producers preferentially produce semi-soft coals rather than thermal coals where possible to benefit from higher margins. This has actually tightened the thermal market and could continue to support the price above US$50/t for thermal coal.
Despite the UBS forecast for a 20% price decline for iron ore and a US$15/t decline for coking coal, the analysts now see upside risk due to continued evidence of tight markets.
Kriviorogs starting price increased to $2B from $1.6B
Ukraine's cabinet is set to approve the terms of the re privatization of OAO Krivorozhstal after a state agency announced that it has increased the starting price for the 93% stake in Krivorozhstal to $2 billion from the recently announced $1.6 billion. Some assessments put the worth close to $3.6 billion. The tender commission will accept bids from interested parties between Aug. 10 and Oct. 17, and a final decision will be made Oct. 24.
The resale of Krivorozhstal is the biggest attempt by the reformist administration of President Viktor Yushchenko to redress the murky privatizations carried out under the previous regime of Leonid Kuchma when it was controversially sold last year to a firm controlled by the former president's son-in-law for an $800 million.
The highest bidders at last year's disputed auction were US Steel - Mittal Steel combine with a bid of $1.5 billion, followed by a $1.2 billion offer from a consortium of Evraz, Severstal, and Arcelor. These bids were not accepted as the rules of the auction were formed in favor of Kiev-based Investment Metallurgical Union, controlled by Viktor Pinchuk, Kuchma's son-in-law, and Rinat Akhmetov, Ukraine's richest man.
Krivorozhstal produced 7.1 million tons of steel in 2004, which makes it the fourth-largest mill in the former Soviet Union.
Steel's volatility makes auto makers look for long term contracts
Where the price of steel is going appears to be anyone's guess, but auto makers and other large steel customers appear to be bracing themselves for potentially higher costs. Indeed, steel's volatility in the last year has created an uncertain environment for steel buyers. Some analysts are forecasting a $50-a-ton rise in steel prices by year end, and auto suppliers and others have already reported feeling the pinch from higher steel costs.
U.S. auto makers are reportedly working to nail down long-term steel contracts early to try to beat an increase. The auto industry wants to sign contracts early this year and have them wrapped up by end of August as against normal practice of finalizing contracts in November and December.
Morgan Stanley analyst Wayne Atwell has issued a report upgrading the steel sector to in-line from cautious, saying excess inventories have been worked off and prices have bottomed. Orders are picking up, backlogs are stretching out and customer inventories appear to be at, or are approaching, normal levels.
Whereas Standard & Poor's, in its semi-annual metals survey said that decreased demand and higher imports will lead to lower overall spot steel prices in 2005 compared with 2004.
SA Government aims to eliminate import-parity pricing
Users of steel and chemicals as industrial inputs could have their prayers answered soon, thanks to the government's new set of policy proposals aimed at eliminating the import-parity pricing (IPP) model, which is under fire for unfairly inflating prices.
IPP is the practice of selling locally produced goods on the domestic market at a price that customers would pay if they were importing the same products. In the end, downstream industries pay a price that includes imputed import tariffs and transport costs as if they imported the product.
As part of the proposals, the government is considering a multi pronged approach, which could result in the scrapping of import duties, use of incentives to force IPP practitioners to lower prices, and reforms in competition legislation.
The government has been running out of patience with firms practicing IPP amid growing resentment of the model by downstream players, which say it raises their production costs. At the end of June, trade and industry minister Mandisi Mpahlwa vowed to eliminate IPP as it was stifling development in downstream sectors.
Mittal Steel South Africa and Sasol have been at loggerheads with downstream companies over the perceived high prices brought about by the IPP model. Steel and chemicals are used by downstream firms in industries such as mining, car manufacturing, construction, plastics, rubber and paint.
Nigerian labor plans massive assault on Indian firm Parco
There are strong indications that the nation's organized labor might seal off and paralyze business operations of an Indian company, Parco Enterprises Nigeria Limited, owners of Afro-Asian Impex, Diamond Bicycle, Ispat Steel, African Technical, Navcon Oil and Gas, Overman Commodities, African Steel Mills, African Fertilizer among other subsidiaries, for an alleged anti-union posture and embarking on massive sacking of workers for joining union.
Ispat Steel Nigeria Limited, one of the subsidiaries of Parco Enterprises, operating most of the public Steel companies in the country including Ajaokuta Steel Company, is said to have terminated the employment of not less than 18 workers in the last few days and has threatened to sack more this week unless the workers renounce union membership.
Trouble started after the workers held election to elect the company's chapel union executive on June 3rd and NUSDE wrote to the management to start deducting 3 per cent check-off from their monthly salary from June and also intimated the management that the union would like to formally introduce the new unit executive to the management on Wednesday June 15.Instead, the management allegedly drafted a letter for workers to sign in which they were asked to renounce their membership of the union.
Government signs contract for sale of Vitkovice Steel to Evraz
Representatives of the Czech state and Russian steel and mining group Evraz Holding signed a contract for the sale of 99 percent in Vitkovice Steel for CZK 7.05 billion Friday. The price must be paid fully and the shares transferred within 20 working days after conditions precedent is met. These include approval of the transaction by the European Commission which must state that it is in line with EU regulations concerning state aid and rivals' alliance. The Russian side has already paid a deposit of CZK 500 million.
Deputy Industry and Trade Minister Martin Pecina told a press conference the new owner is a serious partner and has provided evidence of its ability to pay the price. Pecina said it is an advantage that the company operates in the sector and is not merely a financial investor.
The state bought Vitkovice Steel a few years ago for roughly CZK 3 billion and launched its privatization in November of last year. Vitkovice Steel, with some 1,600 employees, ended last year with a profit of CZK 1.6 billion. The firm exports two thirds of output chiefly to the European Union.
Mittal Steel picks Broner for global MES
Broner Metals Solutions, Watford, England, was chosen by Mittal Steel as its standard for Production Scheduling and Manufacturing Execution Systems. Broners solutions will include production-scheduling software for whole plants, from casting and hot rolling through to cold rolling and finishing.
Broner explains that Mittal is standardizing its information technology at all levels, and Broner will contribute standardized "solutions" for Production Scheduling and MES. In its statement it says "this will enable Mittal Steel to improve production efficiencies throughout their plants and deliver wide-ranging benefits."
Leon V. Schumacher, chief information officer for Mittal, said, "After an extensive review of suppliers, we chose Broner because of their experience and depth of their solutions for the metals industry. We will progressively deploy Broner as the standard solution for MES and Scheduling throughout Mittal Steel and look forward to a long and productive cooperation with Broner".
David Mushin, CEO for Broner Metals Solutions, said, "This new agreement provides a significant endorsement of Broners position as one of the leading providers of scheduling and MES solutions to the metals industry. We are delighted to be working closely with the worlds largest steel group and to be part of implementing best practices throughout their global organization."
China's Anshan to Supply High-Strength, Weather-Resistant Steel
Anshan Iron and Steel Group Corp. (Angang) has become a high-strength and weather-resistant steel supplier to five railway rolling stock producers, according to the result of the recent open bidding.
This indicates that in a short span of only a little more than one year, Anshan Steel has become the biggest high-strength and weather-resistant steel maker in the country. The steel works began to develop such steel in September 2003. The product was tested in February last year and it passed the certification by the Ministry of Railways on June 29.
Mexican Nor Mex Steel & Global Steel Holdings Ltd extend timelines
Nor Mex Steel Inc announced today that it has extended a Letter of Intent with Global Steel Holdings Ltd. to enter into a Joint Venture. Global Steel Holdings Ltd. will provide Financing and the Management for operations of the world-class NKS steel mill foundry located at Lazaro Cardenas, Michoacan, Mexico. This mutual extension will allow sufficient time to conclude and finalize contractual documentation. Further details will be announced once a closing date has been established, on or before September 1, 2005.
TopShougang Concord to up stake in associate plate mill
Chinese steel product maker Shougang Concord International Enterprises Co. Ltd. said on Monday it will increase investment in a steel plate maker, which will become a subsidiary of the company.
The move constitutes a major transaction and the company's shares will be suspended on the Hong Kong stock exchange on Monday, Shougang's company secretary Carmen Cheng told Reuters. She would not disclose the additional investment amount or the name of the associate company, which is engaged in the design, manufacture and sale of steel plates.
Arcelors Belgo looks for Colombian acquisition for expansion in LA
Brazilian long products maker Belgo Mineira may complement its current capacity expansion plan with acquisitions in Colombia where domestic steel demand is growing.
Last week Carlo Panunzi, president of Belgo, part of the Arcelor group, confirmed during an event to mark the creation of holding company Arcelor Brazil that Belgo is analyzing a 3.7 million TPY increase in its Brazilian crude steel capacity to 6.3 million TPY and also go for regional expansion of up to 2 million TPY of long products capacity via acquisitions of steelmaking operations elsewhere in Latin America.
Colombia also imports around 1 million TPY of steel products from countries neighboring Venezuela due to insufficient local production.
US steel industry face retaliation against protection
Japan ramped up the pressure on US Steel Industry by imposing tariffs on some steel products imported from the United States. The tariffs are in retaliation against U.S. tariffs on some steel imports, designed to curb unfair trade practices engaged in by steel makers in several other countries. Similar retaliations have been imposed by the European Union and Canada also.
Retaliatory tariffs are intended to force the United States to repeal the "Byrd Amendment," a law allowing the United States to use tariffs to safeguard US steel industry against unfair trade practices. Japan, the EU and Canada have pointed out that the World Trade Organization last year insisted that the "Byrd Amendment" had to be repealed.
President Bush and other U.S. leaders seem determined to safeguard US mills and by not allowing the WTO to dictate terms.
Irans Khuzestan steel exports up
Since the beginning of the current Iranian year, starting March 21, Khuzestan Steel Company (KSC) has exported over 326,346 tons of various steel products as compared to last year's figure of 196,534 tons in the same period
The company exports its products mainly to India, Saudi Arabia and South-East Asia. Khuzestan steel company is one the most active raw steel production companies in Iran which produces only eight million tons of the product per year and has to import five to six million tons annually.
Steel production target has been set at 14 million tons and could top 25-30 million tons with the implementation of the country's development plans. Private sector in Iran holds a share of more than 10 percent in steel production and share is slated to rise to about 50 percent or 10 million tons in future.
Ontario Govt rejects Stelco restructuring move
The Ontario government rejected the Stelcos restructuring plan delighting the United Steelworkers union and leaving Stelco management fuming. The government joins the United Steelworkers, salaried employees and salaried retirees in opposition to the plan.
Our advisers informed you on July 27, 2005, that the plan outline does not meet the province's stated objectives for a successful Stelco restructuring and therefore is not acceptable to us, Ontario Minister of Finance Greg Sorbara said in a letter to Mr. Pratt that was filed with the Ontario Superior Court Monday.
The Government wants a recapitalized and refinanced steel maker that is healthy on a long-term basis and secure pension plan benefits for retirees and current employees. Whereas Stelco's massive pension solvency deficiency and would leave it financially weaker.
Ontario's move is a major setback for Stelco as it tries to come up with a formal restructuring plan for stakeholder groups to vote on as early as next month.
Pakistan meeting scrap and billet demand through imports
Karachi Steel Mills (PSM) Pakistan Steel Mills has reduced supplies of billets to the local steel industry for some time due to repair work and the steel users have been importing huge quantities of billets and scrap from Ukraine and Romania to meet their demand
Pak Steel Mills contributes 24 to 30 percent of total billets consumption and the industry gets the rest of the supply from either local sources or from international market.
An Islamabad-based steel industrialist said that if the government had not taken bold step to allow import of raw material to private sector during the last two years, when Pak Steel supply was non-existent the country would have been in serious crisis on account of steel. They appreciated government move to cut down duty on import of scrap and billets to provide an additional channel to the manufacturers when Pak Steel suspended supply.
The steel industry has recorded 22 to 25 percent increase during last two years and its going to maintain upward growth in the coming years to meet the demand of housing and construction sector. The demand for the steel has gone up considerably due to quick surge in construction and housing sector over the last few years.
Blast at Coruss Teesside works
Two workers were hurt when a vessel containing molten metal exploded in the basic oxygen steelmaking (BOS) area of the plant in Lackenby. One of the injured steel workers has been released from hospital. Corus said an inquiry was underway and that steelmaking would resume at the plant on Monday night.
TopAztec study of Koolan iron ore project positive
Australian mining company Aztec Resources PLC said the results of the bankable feasibility study it carried out on its Koolan Island iron ore project off the coast of Western Australia have been positive. The company said it expected to see annual production of 4 million tonnes of ore at the mine when it reached its full production capacity. The first shipment of iron ore from the project is scheduled for the second half of 2006.
The initial capital costs of the project are seen at 108 million aud. Based on production of 29.1 million tonnes of saleable ore, the project returns, before interest and tax, a net present value of 217 million aud at a 10 pct discount rate.
Taiwanese State firm CSC develops new lighter steel
Taiwanese China Steel Corp a state run enterprise has successfully developed a new generation of steel for Taiwan's automotive industry to produce cars with reduced weight without compromising performance.
A spokesman for China Steel said yesterday that the high-strength, hot-dip galvanized steel with dual phase can not only reduce the weight of the vehicle, but also make the frame of the car stronger and safer. The spokesman pointed out that against the backdrop of rising international oil prices, more and more new car buyers are setting their eyes on cars that are more fuel-efficient, and that one way to produce such cars is to reduce the weight of the car. He said that China Steel's new product is an answer to the market's changing needs and that a number of auto companies have given favorable evaluations to the product and decided to use it for their new cars.
The high-strength steel, designed to resist corrosion by being zinc-coated, is easier to form and weld. It allows designers to use less material in critical components without compromising performance. Lighter cars can reduce fuel consumption by up to 10 percent, the China Steel spokesman claimed.
Vinashin wins contracts for $1.5 billion for ship-building
The Viet Nam Ship Building Industry Corporation (Vinashin) signed ship-building contracts worth 1.5 billion USD until the end of 2009, with much demand from European and Asian countries for Vinashin-built ships. To raise its capacity, Vinashin has signed three contracts totaling 700 million USD with Chinese partners to improve technique and technology.
Vinashin has cooperated with the Yunnan Import and Export Machinery Corporation in expanding the Ha Long Ship-Building Plant and set up a joint venture to manufacture large cranes for Vietnamese ship-building plants. It also signed another contract with the Chinese Metallurgy Corporation to build a factory to produce ingot steel with a total capacity of 2 million tonnes per year.
Currently, Vinashin has about 30 customers in the country and abroad with the biggest coming from the UK.
Nickel Eyes Focused On Inco
The Q2 was outstanding for Ni prices as the metals average price for the period of US$7.44/lb represents one of the highest quarterly average prices the metal has ever recorded.
Firstly, stainless steel production boomed, led by China with a 50% increase. The broker estimates world production grew 6% in the June half-year. At the same time, demand for non-stainless steel alloys was also strong, with the aerospace and energy industries leading the way. Finally, China experienced what the broker describes as a phenomenal increase in demand for nickel, though it suggests a portion of the countrys imports were used to re-stock inventories. These strong demand factors pushed down nickel stocks significantly, swinging the market into a supply.
The second half of the year has not started on as bullish a note though, as nickel prices have endured a sharp sell-off. This has been attributed to China supplying stainless steel in excess to its domestic requirements, so dampening domestic demand and causing production cuts in the rest of Asia.
European conditions have mirrored this, with excess supply leading major producers to cut output forecasts for the current quarter. The broker suggests the supply/demand balance could quickly be rectified though, with Inco estimating excess inventory of 500kt would be offset by forecast production cuts of about 600kt. This sets the stage for a recovery in nickel prices in the fourth quarter.
Thai Major steel importers ready to cooperate says DPM
Major operators in the steel industry are ready to cooperate with government efforts to address the country's trade deficit, Deputy Prime Minister and Commerce Minister Somkid Jatusripitak said today.
Speaking after a meeting with 37 major steel importers, he said that all had understood the cause of the trade deficit and were willing to cooperate with the government by importing steel in reduced amounts to meet production goals only and refraining from keeping steel in stock.
He said the Commerce Ministry would accelerate the export of locally made steel overseas in a bid to ease the deficit.
Sawasdi Horrungrueng, President of the Thai Industrial Estate Association, said the 37 steel importers are willing to work out a plan to identify how much steel they would import in the second half of this year and submit the exact import figure to the ministry for acknowledgement.
German July crude output down 10.4 pct, pig iron down 13.4 pct
Crude steel production in July fell 10.4 pct year-on-year to 3.49 million tonnes, while pig iron output declined 13.4 pct to 2.22 on a month-on-month basis, crude steel production fell 4.6 pct in July, while pig iron production declined 4.7 pct, the office said.
Adjusted for seasonal and calendar effects, crude steel production fell 0.7 pct in July from June, it added.
Malaysian Pipe maker Hiap Teck delays new plant to accommodate API
Steel pipe manufacturer Hiap Teck Venture Bhd has delayed the commissioning of its new ERW mill for producing oil and gas pipes by three months to September
The delay was to modify the expansion to incorporate facilities needed for producing oil and gas pipes in coming years.
Production at the new mill, which would start in early FY06, would boost earnings per share by 45% with a conservative utilization rate of 20% (5,000 tonnes a month) in the first year of production.
The new plant would allow Hiap Teck to produce larger-sized products that command a higher average price premium of 14% over its existing products, giving better margins. The plant is designed to boost production to 700,000 from 400,000 tonnes annually.
Founded in 1987, the Hiap Teck Group, headquartered in Klang, traces it origins as one of Malaysias prime manufacturer of steel scaffoldings and accessories, and supply of iron and steel related products.
The subsidiaries of the Hiap Teck group are Alpine Pipe Manufacturing Sdn Bhd, Huatraco Industries Sdn Bhd, H.T. Scaffolding Manufacturing Sdn Bhd, H.T. Steel Manufacturing Sdn Bhd, H.T. Property Sdn Bhd, Hiap Teck Hardware Sdn Bhd, Tiek Hong Hware (Bworth) Sdn Bhd and Briliant Decade Transport Agency Sdn Bhd.
Kobe Steel develops a coating believed effective against SARS
According to Kobe Steel, Tokyo, laboratory testing conducted by Iwate University Associate Professor Norio Hirano found Kobe's nickel-alloy coating Keni Fine reduced the growth of mouse hepatitis virus (MHV, or mouse corona virus), which is in the same family as the SARS (severe acute respiratory syndrome) corona virus (CoV).
Experiments examined the coating's effectiveness in decreasing the growth of MHV on stainless steel, as well as the effect of room temperature on incubation time.
The company has licensed the technology to six companies, and five other firms are using it on a trial basis. In the appliance market, the coating currently is being used in air-conditioner parts and refrigerators.
Heidtman Steel's Cleveland Service Center fully operational
Heidtman Steel Products Inc., a flat-rolled service center network, has announced that with the commissioning of a 0.625 slitter, its Cleveland processing facility now is fully operational. The facility has both slitting and continuous pickling capabilities
Heidtman Steel is the largest privately held flat-rolled steel service center network in the U.S offering oiled and pickled HRC and cut to size HR, CR and coated steel products to a large cross section of steel consumers.
Heidtman Steel was formed in 1954 by F. William Heidtman and started offering leveling and shearing services in 1962. Over the next few decades the Ohio-based company gradually expanded its capabilities, investing in equipment and acquiring or building additional service center facilities in the nations leading industrial centers.
Throughout the 80s and 90s, Heidtman dramatically expanded the size and scope of its operations. Today the company operates facilities within Indiana, Illinois, Michigan, Maryland and Ohio, serving over 1200 customers across a variety of industries from automotive, truck and bus manufacturers to furniture, appliances and HVAC to other steel service centers.
Iron resources key to Ha Tinh growth
Developing a steel industry that can draw on the provinces rich iron ore resources will be the key to sustaining the economy in the northern central province of Ha Tinh in Vietnam, said Tran Dinh Dan, secretary of the provincial Party Committee. Taking full advantage of its potential for mineral mining, the province has been coordinating with the Ministry of Industry to formulate a plan for exploiting iron ores at the Thach Khe mine.
The plan would be submitted to the Prime Minister for approval.
Iron mines in the province are estimated to hold ore reserves of 544 million tonnes, with iron content in excess of 60 per cent.
The provincial Peoples Committee and relevant agencies, meanwhile, have considered forms of investment suitable to the Vung Ang Steel Factory project, including joint venture and wholly foreign-invested options.
Argentines Siderar H1 profit up 33% on higher sales & prices
Argentine flat steel producer Siderar reported 758mn pesos (US$264mn) in net profit during the first half of 2005, up 33% from 1H04 thanks to high metal prices, the company told the Buenos Aires bourse.
During the period sales value grew 44% to 2.36bn pesos and EBIDTA jumped 44% to 1.01bn pesos. Sales volume totaled 1.2Mt and hot-rolled production came to 1.27Mt compared with 1.09Mt and 1.15Mt year-on -year respectively.
Domestic sales volume totaled 775,000t, down 3% from 1H04, and exports grew 46%, with 43% of shipments going to Europe followed by Latin America (27%) and North America (22%).
During the half, costs of input materials such as iron and coking coal plus shipping prices squeezed margins.
Construction and industrial projects in Argentina will keep steel demand strong for the rest of the year, Siderar said in its outlook. But the global perspective, with price weaknesses in the US and Europe, have caused multinational producers there to announce production drops. As such Siderar will carefully monitor the market's supply and demand scenario and work to enhance efficiencies, the company said.
Controlled by the Techint group, Siderar is the largest steel company in Argentina and produces coke, cast iron and steel for the manufacture of hot, cold and coated sheets.
Kumba Resources Raises Ticor Takeover Bid by 10%
Kumba Resources Ltd., the world's fourth-largest iron ore producer, increased its initial offer for Australian mineral sands miner Ticor Ltd. by 10 percent to A$462 million ($355 million) to win agreement from Ticor's board.
Kumba, which owns 51.5 percent of Ticor, is offering A$1.875 a share for the remainder, Perth-based Ticor said in a statement to the Australian Stock Exchange. Pretoria, South Africa-based Kumba in May proposed offering A$1.70 a share.
Global growth is fueling demand for paint and paper, driving titanium dioxide pigment prices up 10 percent in the past year. Rio Tinto Group, the world's third-largest miner, last week said it will spend $775 million on a titanium dioxide project.
Ticor, which gets 51 percent of its sales from pigment, jointly owns the Tiwest venture in Western Australia with the Oklahoma City-based Kerr McGee Corp.
Israel steel imports up by 15% in Q2
Even though the imports of raw materials for industry were unchanged at $4.3 billion in the second quarter, the imports of iron and steel inputs were up 15% to $357 million indicating a high growth in steel sector and good demand from construction segment in the country.
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