The Hindu Business Line : Vizag Steel signs pacts with German firm

The Visakhapatnam Steel Plant (VSP) Chairman and Managing Director, Mr P.K. Bishnoi (left), and Mr Matthias Bollman of SMS Group, Germany, exchanging documents after agreements were signed for the supply of LD converters for the VSP’s expansion project.

Our Bureau

Visakhapatnam, Aug 17 The Visakhapatnam Steel Plant signed two major agreements on Friday with the SMS Group of Germany for two LD converters and ladle furnace (LF) and RH degasser as a part of the project to expand the capacity of the plant from three million tonnes per annum (mtpa) to 6.3 mtpa.

A company release said that the converters are for converting hot metal into liquid steel and the LF and degasser for refining the steel to make high-quality steel products.

Converters project

The converters cost Rs 753 crore, involving a forex component of €33.3 million, and are to be completed in 30 months.

SMS-Demag, along with SMS-India, will execute the project with the Indian consortium partners of BHEL for the electrical components and Bridge & Roof for site erection.

The order for ladle furnaces (two no.s) and RH degasser (one no.) has also been placed with SMS-India; the cost is Rs 165 crore, involving a forex component of £3 million and the work is to be completed in 25 months.

SMS-Mevac of the UK is the collaborator for supply of technological equipment and process design.

The agreements were signed on Friday in the plant by Mr A.K Banerjee, Director (Projects), in the presence of the Chairman and Managing Director, Mr P.K Bishnoi.

Mr Matthias Bollman and Mr John Haas of SMS-Demag, Ms Jeannet of SMS-Mevac, Mr B.K Mittal of SMS-India, and Mr Debasish Paul of Bridge & Roof were the other signatories.

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