Detailed Project Report on Steel from Iron Ore (Pig Iron)

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STEEL FROM IRON ORE (PIG IRON)

[EIRI/EDPR/3143] J.C.: 1187

INTRODUCTION

Pig iron is the basic material from which, wrought iron and steels are produced. It is obtained by smelting (chemical reduction) of iron ore in the blast furnace. In addition to iron, Pig iron contains varying quantities of other elements such as carbon, silicon, manganese, sulphur and phosphorus. These may amount to as much as 10% of the weight and 25% of the volume of pig iron.

Pig iron is obtained by smelting (chemical reduction) of iron ore in the blast furnace.

The basic materials used for the manufacture of pig iron are iron ore, coke, and limestone. The coke is burned as a fuel to heat the furnace; as it burns, the coke gives off carbon monoxide, which combines with the iron oxides in the ore, reducing them to metallic iron. This is the basic chemical reaction in the blast furnace;

It has the equation: Fe2O3 + 3CO = 3CO2 + 2Fe.

The limestone in the furnace charge is used as an additional source of carbon monoxide and as a “flux” to combine with the infusible silica present in the ore to form fusible calcium silicate. Without the limestone, iron silicate would be formed, with a resulting loss of metallic iron. Calcium silicate plus other impurities form a slag that floats on top of the molten metal at the bottom of the furnace. Ordinary pig iron produced by blast furnaces contains about 92% Iron, 3 to 4% carbon, 0.5 to 3% silicon, 0.25 to 2.5% manganese, 0.04 to 2% phosphorus and a trace of sulphur.

COST ESTIMATION

Plant Capacity 5,14,800 MT/Annum

Land & Building Rs. 5.15 Cr

Plant & Machinery Rs. 300.50 Cr

Working Capital for 2 Months Rs. 81.48 Cr

Total Capital Investment Rs. 397.44 Cr

Rate of Return 49%

Break Even Point 42%

CONTENTS

INTRODUCTION

CLASSIFICATION OF PIG IRON

USES AND APPLICATION

B.I.S. SPECIFICATION

MARKET SURVEY

PROCESS FLOW CHART

MANUFACTURING PROCESS OF PIG IRON

RAW MATERIAL CHARACTERISTICS

PROCESS OF SINTERING

DIFFERENT ZONES OF BLAST FURNACE

CASTING PROCESS OF PIG IRON

QUALITY CONTROL

PLANT LAYOUT

SUPPLIERS OF PLANT AND MACHINERY

SUPPLIERS OF RAW MATERIALS

APPENDIX – A:

01. PLANT ECONOMICS

02. LAND & BUILDING

03. PLANT AND MACHINERY

04. OTHER FIXED ASSESTS

05. FIXED CAPITAL

06. RAW MATERIAL

07. SALARY AND WAGES

08. UTILITIES AND OVERHEADS

09. TOTAL WORKING CAPITAL

10. TOTAL CAPITAL INVESTMENT

11. COST OF PRODUCTION

12. TURN OVER/ANNUM

13. BREAK EVEN POINT

14. RESOURCES FOR FINANCE

15. INSTALMENT PAYABLE IN 5 YEARS

16. DEPRECIATION CHART FOR 5 YEARS

17. PROFIT ANALYSIS FOR 5 YEARS

18. PROJECTED BALANCE SHEET FOR (5 YEARS)

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