Rautaruukki Corporation Stock exchange release 9 April 2014 at 9.00am EEST
Ruukki to improve cost efficiency at the Raahe steel mill by new blast furnace
Rautaruukki is to replace the blast furnace oil injection system at the Raahe
steel mill with a new pulverised coal injection (PCI) system. The aim is to
improve steelmaking cost efficiency by reducing raw material costs. The total
investment will be around EUR 65 million and will be spread over slightly more
than two years. In addition, work is underway on replacing the converters in the
steel plant at the Raahe Works.
Pulverised coal injection (PCI) will replace the existing oil injection system,
which has been in use in the blast furnaces since 1987. With PCI, finely
pulverised coal dust is injected into the blast furnace through the hot blast
tuyeres. The coal will replace more expensive injection oil and coke. Injection
coal is the most commonly used additional reduction agent in blast furnaces to
Claudius Peters Projects GmbH, which is part of the Claudius Peters Group, has
been selected to supply the injection system. Claudius Peters Group designs and
manufactures innovative material handling and processing systems for many
industrial sectors, as well as coal pulverisation and injection systems for the
cement, steel and aluminium industries and for power production Claudius Peters
Group GmbH is a wholly owned subsidiary of Langley Holdings plc, a privately
owned multi-disciplined UK engineering group.
The new system will be brought into use during the second half of next year. The
new technology will have no impact on the workforce. Also the environmental
impacts will be minor - carbon dioxide emissions will decrease, whereas dust
emissions will increase slightly and also electricity consumption will grow.
The project involves coal storage, handling, drying and pulverising systems,
which will be located in the immediate proximity of the blast furnaces.
Construction work associated with the project can take place whilst production
is running. The degree of domestic origin of the investment will be around 65%
and design, construction and installation work will have a direct impact on
employment in Finland of around 430 person-years.
Work is also underway at Ruukki's Raahe Works on replacing the converters in the
steel plant. The existing converters are 26 years old and will be replaced by
modern, more cost efficient converters. The project is worth about EUR 22
million and is scheduled for completion by the end of 2015.
For further information, please contact:
Olavi Huhtala, EVP, Ruukki Metals, tel. +358 20 592 9157
SVP, Marketing and Communications
Ruukki specialises in steel and steel construction. We provide customers with
energy-efficient steel solutions for better living, working and moving. We have
around 8,600 employees and an extensive distribution and dealer network across
some 30 countries including the Nordic countries, Russia and elsewhere in Europe
and the emerging markets, such as India, China and South America. Net sales in
2013 totalled €2.4 billion. The company's share is quoted on NASDAQ OMX Helsinki
(Rautaruukki Oyj: RTRKS). www.ruukki.com
NASDAQ OMX Helsinki