The Hindu Business Line : BHEL in talks with Sheffield, Kobe for nuclear forgings facility

“There is a big shortage of facilities manufacturing critical equipment for nuclear power stations. The move to set up our own dedicated facility is aimed at addressing this problem.” – Mr K. Ravi Kumar

Mr K. Ravi Kumar

Anil Sasi

New Delhi, Nov. 19 Amid a shortage of critical equipment for nuclear plants globally, Bharat Heavy Electricals Ltd (BHEL) is planning to set up a greenfield manufacturing base in India for nuclear forgings.

The state-owned equipment major is in talks with UK-based Sheffield Forgemasters International Ltd and Japan’s Kobe Steel for a possible joint venture. Bharat Forge, the world’s second largest forging company, could also be involved in the new venture.

“We are looking at a nuclear forgings facility in India in light of the new orders on the anvil. Talks are on with Sheffield (Forgemasters) and Kobe Steel. Bharat Forge could also be part of the venture and we are talking to them,” BHEL’s Chairman and Managing Director, Mr K. Ravi Kumar, told Business Line.

‘Huge shortage’

Currently, nations setting up nuclear capacities are faced with a big crunch in sourcing critical components for nuclear stations, particularly the large forgings used for reactor vessels and steam systems.

“There is a big shortage of facilities manufacturing critical equipment, including forgings and castings, for nuclear power stations. The move to set up our own dedicated facility is aimed at addressing this problem,” Mr Kumar said.

BHEL had earlier signed a joint venture with Ranchi-based Heavy Engineering Corporation for making forgings for nuclear power equipment.

Players in the Space

Reactor manufacturers mainly line up at two foundries — Japan Steel Works (JSW) and French nuclear major Areva’s group firm Creusot Forge — for main reactor vessels and related equipment. The Russian atomic energy industry has its own forging facilities. While JSW is seen as the leader in large forgings, Korea’s Doosan Heavy Industries and Japan’s Mitsubishi Heavy Industries also manufacture some critical components.

UK’s Sheffield Forgemasters is among the world’s largest independently-owned forgemaster and specialises in a broad range of heavy steel forgings and steel castings, including nuclear-grade steel components. Kobe Steel, Japan’s fourth largest steelmaker, is also a big player in nuclear steel castings and forgings.

Besides the established players, Chinese firms Harbin Boiler Works, Dongfang Boiler Group and Shanghai Electric Group are reported to be in talks to enter the very large forgings market. Private sector engineering major Larsen & Toubro is also stepping up its activity in the forgings sector in light of the potential orders from new reactors being planned in the country.

Nuclear Park

State-owned Nuclear Power Corporation of India Ltd is looking to set up “Nuclear Parks” or reactor clusters, each with a capacity to house up to eight new generation reactors of 1,000 MWe (mega watt electrical) or six reactors of 1600 MWe at a single location.

Preliminary work on a couple of sites — Jaitapur in Maharashtra and Koodankulam in Tamil Nadu — is likely to be off the block first.

The other locations where imported light water reactors are expected to come up are Pati Sonapur in Orissa, Saurashtra in Gujarat, and also in Andhra Pradesh and West Bengal.

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