TIL Due Diligence and Valuation Report by M N Dastur April 2015

DRAFT
DUE DILIGENCE REPORT

FOR
TRIMULA INDUSTRIES LTD,
GODWALI, SINGRAULI, MADHYA PRADESH
TO
GULF PETROCHEM FZC, UAE
APRIL 2015
M.N. DASTUR & COMPANY (P) LTD

Consulting Engineers
KOLKATA
M. N. DASTUR & COMPANY (P) LTD GULF PE TROCHEM F ZC
Dra ft D ue Dilig e nc e R e po rt
TABLE OF CONTENTS
Page
1 - INTRODUCTI ON
Ba ckground .. 1-1
Obje ctive of Study .. 1-1
Str u ct ure o f the Repo rt .. 1-2
Acknowledge men t .. 1-2
2 - EXISTING FACIL I TIE S & OP ERATION S
Location of the plant .. 2-1

To pography .. 2-1
Brie f over vie w of the plant si te .. 2-1
Major plant configu ration .. 2-2
Infrastruc tu re facilitie s .. 2-3
Availability o f land .. 2-3
Po wer sour ce .. 2-4
Wa te r so ur ce .. 2-4
Transporta tion .. 2-5
Ra w material availability .. 2-5
Product-mix .. 2-6
DR plant .. 2-6
Operational data of rotary kiln s .. 2-8
Operational data of rotary coo ler .. 2-8
Ma jor repair work carrie d out .. 2-9
Day bin s .. 2-9
Rotar y kiln a nd cooler .. 2-9
Off ga s sy stem .. 2-10
Product ha ndling .. 2-10
Ca ptive power plant .. 2-11
Basis fo r power plant de sign .. 2-11
Po wer plant p rocurem e nt su mmar y .. 2-11
Pe rformance indice s .. 2-12
Equipme n t indi ce s .. 2-12
Boilers .. 2-12
Boiler auxiliary sys te m .. 2-13
Turboge nera tor s .. 2-14
Air coole d co nden ser .. 2-15
F uel handling s ystem for AF BC boiler .. 2-15
As h and dus t handlin g sy stem .. 2-16
for AF BC and WHRB
F ire fighti ng sys te m .. 2-16
Utility sys te m .. 2-17
Ste el melt shop (SMS) .. 2-17
Ma jor ex isting fa cilitie s .. 2-17
La yout .. 2-18
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TABLE OF CONTENTS
(CONTINUED)
Page
2 - ASSE SSMEN T O F EXISTING FACIL IT IES

& O PERATI ONS (Contd )
Production plan .. 2-19

Presen t production ca pacit y .. 2-19
De sign basi s .. 2-20
Induction melti n g furna ce (IF ) .. 2-20
Contin uou s cas tin g m a chi ne .. 2-22
Req uireme n t of raw ma te rial and supplie s .. 2-24
Plant material flo w she et .. 2-25
Equipme n t and facilit y for steel mel t shop .. 2-25
Ma te rials ha ndlin g facilitie s .. 2-27
La dle , tundish & mo uld pre paration facilit y .. 2-28
Powe r distributio n s ystem .. 2-28
Gene ral plant electri cs (for a ll plant units) .. 2-29
Switch gea r ro om s .. 2-29
Dri ve mo tor s .. 2-29
Mo to r co n trol ce nt re .. 2-30
Lighti n g .. 2-30
Cabling .. 2-30
Plant water system .. 2-30
Sour ce o f water .. 2-30
Wa te r sy stem for DR plant .. 2-32
ICW syste m .. 2-32
DCW syste m .. 2-33
Wa te r sy stem for powe r plant .. 2-34
Wa te r sy stem for SM S .. 2-34
Pumps .. 2-35
Scale pit .. 2-35
Eme rge n cy o verhe ad tank .. 2-36
Laboratory .. 2-36
3 - MAJOR OBSERVATIONS AND AREAS OF CONCERN
DR kiln .. 3-1
Laboratory .. 3-2
Ca ptive power plant .. 3-2
Po wer plant la yout .. 3-6
As h and dus t dispo sal .. 3-7
Handin g facilitie s .. 3-7
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TABLE OF CONTENTS
(CONTINUED)
Page
3 - MAJ OR OB SERVAT IONS AND AREA S

OF C ONCERN (Contd )
AC and ven tilation .. 3-7

Water s ystem .. 3-8
Wa te r sour ce a nd requireme nt .. 3-8
Wa te r qualit y .. 3-8
F ire protectio n sy stem .. 3-9
F ire hydran t s ystem .. 3-9
F DA sys te m .. 3-9
Powe r distributio n and plant ele ct ri cs .. 3-10
Po wer distribution .. 3-10
Plant elec tri cs .. 3-11
Ste el melt shop .. 3-12
Equipme n t and facilitie s .. 3-12
Capacity .. 3-12
La yout .. 3-13
Stru ctural building .. 3-13
Concrete floorin g .. 3-13
Rea dine ss for plant s ta rt up .. 3-14
Ro ad and drainage sy stem .. 3-17
Do cume nta tion .. 3-18
4 - VAL UATION O F ASS ETS
Productio n fa cilitie s .. 4-1

Methodology of evalua tion .. 4-1
Ba si s of evaluatio n .. 4-2
La nd .. 4-2
Building and stru cture s .. 4-2
Plant and machine ry .. 4-2
Ele c tri cal in stallation s .. 4-3
Utilit y in stallation s .. 4-3
Va lua tion .. 4-3
5 - FUTURE EXPAN SION SC HEM ES
Existing facility .. 5-1

Expansion schemes .. 5-1
Phase-I .. 5-1
Scheme .. 5-1
Expansion of steel melt shop .. 5-1
Production capability after expansion .. 5-2
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TABLE OF CONTENTS
(CONTINUED)
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5 - FUTURE EXPAN SION SC HEM ES (Con td )
Ladle furnace .. 5-3

Rebar mill .. 5-3
Product-mix .. 5-3
Reheating furnace .. 5-3
Mill equipment .. 5-4
Phase-II .. 5-4
Scheme .. 5-4
Option-1 .. 5-5
DR plant .. 5-5
Power Plant .. 5-5
Steel melt shop .. 5-7
Option-2 .. 5-7
Steel melt shop .. 5-8
Wire rod mill .. 5-8
Phase-III .. 5-10
Power distribution system & plant electrics .. 5-10
Power distribution system .. 5-10
Plant electrics .. 5-10
Plant materials flowsheet for phase-I & .. 5-12
phase-II (both options)
Plant general layout .. 5-15
Order of magnitude estimate for additional .. 5-15
capital expenses for the existing plant
alongwith Phase-I & Phase-II expansion
TABLES
Table 2-1 - Brief overview of plant site .. 2-1

Table 2-2 - Estimation of number of furnaces .. 2-21
Table 2-3 - Estimation of heat size of IF .. 2-21
Table 2-4 - Rating of static inverter generator (SIG) .. 2-22
Table 2-5 - Average casting time for billets .. 2-23
Table 2-6 - Production capacity of billet caster .. 2-23
Table 2-7 - Annual requirement of raw materials and .. 2-24
major supplies for steelmaking
Table 4-1 - Valuation of assets .. 4-4
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TABLE OF CONTENTS
(CONTINUED)
Page
APPENDICES
App 4-1 - Asset valuation of Trimula Industries Ltd .. 1-4

App 5-1 - Order of magnitude estimate for additional .. 5-1
capital expenses for the existing plant
along with phase-I & phase-II expansion
FIGURES
Fig. 2-1 - Plant materials flowsheet .. 2-25

Fig. 5-1 - Materials flowsheet after phase-I and .. 5-13
phase-II (option-1) expansion
Fig. 5-1 - Materials flowsheet after phase-I and .. 5-14
phase-II (option-2) expansion
DRAWINGS
Dwg No. 11348-97A-000-LTL-0001 - Conceptual Layout of

0.5 MTPY Steel Plant
Dwg No. 11348-97A-000-PRS-0001 - Steel Melt Shop Layout
Dwg No. 11348-97A-000-ELE-0001 - Single Line Diagram for
Phase II Option 2
Dwg No. 11348-97A-000-ELE-0002 - Single Line Diagram for
Phase II Option 1
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C O M P A N Y(P)( PLTD
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1 - INTRODUCTION
BACKGROUND
Trimula Industries Limited (TIL) was built with 2 Nos.
350 tpd coal based rotary kiln for production of sponge iron. The
1st kiln was commissioned in 2007 followed by the 2nd kiln in
2011. In 2013, the WHRB boilers were installed and commissioned.
Those boilers were under operation for about 1 year till July 2014
while both the kilns were operating. To utilize char from DR plant,
TIL has installed the AFBC boiler. However, the AFBC boiler has
not been commissioned yet.
The steel melt shop is an Induction Furnace (IF)-Continuous

Caster based long product shop which is in advanced stage of
erection. SMS equipment & facilities were procured in 2011/2012.
Reportedly, the melt shop erection was kept under HOLD pending
Environmental Clearance (EC). The EC has now been obtained and
balance erection and commissioning activities is planned to
commence soon with a target date of commissioning in December
2014 as reported by TIL. The steel plant was to produce steel
through the direct reduction and induction furnace steel making
route.
Due to shortage of input material, production was suspended

in the year 2014.
OBJECTIVE OF STUDY
The report aims at reviewing the existing facilities at
TILs plant at Godwali , Singrauli, M.P. For proposed joint venture,
Gulf Petrochem FZC, United Arab Emirates (UAE) appointed
DASTUR for preparation of Due Diligence Report for the said plant.
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1 Introduction (contd)
STURCTURE OF THE REPORT

The report is presented in 5 (five) different chapters.
Following this introductory Chapter, a brief description of the
existing facilities and operations is presented in Chapter 2. Major
observations derived out of walk through study are described in
Chapter 3. Chapter 4 & 5 exhibits valuation of assets and future
expansion schemes respectively.
ACKNOWLEDGEMENT
CONSULTING ENGINEERS gratefully acknowledge the
co-operation and assistance extended by team of experts and
officials of Gulf Petrochem FZC for preparation of this Due
Diligence Report.
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2 EXISTING FACILITIES AND OPERATIONS
This Chapter discusses the existing plant & facilities along

with their status and past performance.
LOCATION OF THE PLANT

The plant is located in a coalfield area at Godwali, about 18
km west of Singrauli, M.P. The location is ideal in terms of its
availability of input materials like iron ore, good quality coal,
nearness to the market for finished goods. The finished products
will be primarily consumed in infrastructure/construction
industry.
Topography
Topography of the land in the plant site is plain with hillocks
and no water streams present in the site area.
Brief overview of plant site

The brief overview of the plant site is given in Table 2-1.
TABLE 2-1 - BRIEF OVERVIEW OF PLANT SITE
DESCRIPTION DETAILS
Name and location of plant Trimula Industries Limited

Village Godwali
Tehsil Devssar
District Singrauli
State Madhya Pradesh
Elevation above MS L 380 m
Seismicity Zone II as per IS 1893 (Part I),
2002
Climatic condition:
Annual max temperature 42 deg C
Annual min temperature 7.5 deg C
Annual rainfall 1234.6 mm
Predominant annual wind direction West
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2 Review of existing facilities and operations (contd)
DESCRIPTION DETAILS
National highway NH-75 E

Nearest railway station Singrauli (18 Km, west)
Nearest airport Varanasi (200 Km)
Streams & rivers Bijul Nala, 0.6 km WE
Kamjahan Nala, 1.4 km WE
Kanchan River, 6.2 km W- S E
Chalki River, 3.5 km NW-S
Kanjas River, 5.7 km NE-S
Hydrology Ground water is a part of
precipitation that seeps deep
into the ground
Post monsoon depth of water level 3 12 m bgl
Average water level 8-10 bgl
Pre-monsoon depth of water level 15-20 bgl
MAJOR PLANT CONFIGURATION

The plant comprises of the following:
Two (2) Nos. 350 TPD Coal based DR plant with dedicated
WHRB units (capacity 38 t/hr each) and AFBC boiler
(capacity 82 t/hr), under installation followed by two (2)
Turbogenerators (TG) of capacity 12 MW and 26.5 MW
respectively. A pair of new 350 TPD DR unit can be
installed adjacent to the existing DR plant in future.
New steel melt shop with two induction furnaces and one
billet caster which is at present under installation. The
plant is expected to be commissioned in December 2014
(as reported by TIL). Similar capacity two induction
furnaces are envisaged to be installed in future by
expanding the existing shop. It is recommended that
secondary facilities for steelmaking may be included for
better quality products. Later, the melt shop will be
forward integrated with a matching capacity rolling mill
for bars, structural and alloy steel products. This rolling
mill shall be located adjacent to the melt shop for better
logistics. Land is available for future installation of the
facilities as described above.
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INFRASTRUCTURE FACILITIES
Availability of land
1. Present land area is approx 342.5 acres of land as

reported by TIL. However, the plant general layout as
furnished by TIL shows availability of about 100 acres of
land.
2. Adequate space is available for storing finished product

and parking of inbound and outbound vehicles, stores
and rest house. One weighbridge along with its control
station is installed at the main entrance.
3. Time office and security buildings are available at the

main gate. A garage for maintenance of mobile
equipments like dozers, dumpers, truck, hydra, forklifts
etc, one machine shop, and two canteens are also found
to be available.
4. Hostel facilities for officers and staffs are available within

the plant premises which include one (1) No. two-storied
and another three-storied building. For workers, security
guards and contractor staffs, two (2) Nos. barracks are
found to be available. One (1) building for officers is
presently under construction.
5. One administrative building and canteen facilities is

recommended to be made available for the ease of plant
operation & management. Space for the same is
available.
6. A scrap yard with 500 600 tons of scrap stored therein
is found to be present. Iron ore and coal storage area for
DRI plant as available are adequate.
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7. A railway siding controlled by Indian Railways is

available at Godvi from which materials are brought in
the plant by trucks.
8. There are four ponds at different places of the plant used

for reserving water for plant usage.
9. The plant has good internal network of roads (7 m wide)

for ease of logistics. However, road conditions are not
good and require improvement.
Power source
Power supply to the plant is made available at 33kV from the
substation of Madhya Pradesh Power Transmission Company
Limited (MPPTCL) which is around 15 km away from the plant site.
The fault level at 33kV is around 35kA.
Water source
The source of water inside the plant is predominantly from a
dam located inside plant boundary. Also, borewells are available
inside plant boundary.
Dam inside plant boundary: Main source of water for the

plant is the dam inside the plant boundary. Water from this dam is
pumped to four (4) Nos. of ponds which acts as water reservoir.
This dam and the pump house have been constructed in the year
2010. Due to plant shutdown for 2-3 months, none of the pumps
are running. Total water storage capacity of four (4) ponds is
350,000 cum. At each of the pond one (1) No. pump is installed to
transfer water to different plant units. These pumps have been
installed in the year 2011. Due to plant shut down form 2-3
months, none of the pumps are running.
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Bore wells: Another source of plant water is three (3)

Nos. of bore wells installed inside the plant boundary. Depth of
the bore well is nearly 350 feet. Bore wells have been constructed
in 2007. In the year 2009, an on-ground RCC tank of 150 cum
capacity has been constructed. Now, water is stored in this tank from
the bore wells. Two (2) Nos. pumps are installed to transfer water to
different plant units from the on-ground tank. Due to plant shut down
for 2-3 months, none of the pumps are running now.
Another set of two (2) Nos. pumps are installed in the year 2014 to
transfer water to SMS unit from the on-ground tank. None of the pumps
are running now as SMS unit has not come in operation till now.
As per Agreement Copy of supply of water to Industry/Power

plant of TIL, it is learnt that TIL had applied for 720 Cum of water
daily or 0.26 million Cum water yearly from Government of Madhya
Pradesh. However, for getting the required quantity of water
from Bijul Nallah, TIL has to get approval for design and drawing
for civil work pertaining to sourcing of water from Bijul Nallah to
plant site.
TRANSPORTATION
Plant site is located adjacent to State Highway and is well
connected to the market for transportation of raw material and
finished goods. As such there is no difficulty anticipated in
arranging transport for incoming and outgoing materials.
RAW MATERIAL AVAILABILITY

The major input materials required for the plant are iron ore,
non-coking coal, boiler coal, ferro alloys, pig iron, carburizing
agents like Pet Coke. All the inputs are to be sourced externally.
Direct Reduced Iron (DRI) will be available in-house from DR plant
which will be used in Induction Furnace. Since sourcing iron ore is
the main bottleneck to run DR plant, a long term contract needs to
be finalised to avoid intermittent shutdown.
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PRODUCT-MIX
The plant is envisaged to produce approximately 100 ,000
tons per annum of liquid steel in various grades of carbon steel.
The caster will yield approximately 97,500 tons of billets.
The product mix may not be suitable due to low profitability

and stiff competition from integrated steel plants. The productmix
emphasis has to be gradually shifted towards alloy steel and less of
carbon steel.
DR PLANT
TIL has 2 Nos. 350 tpd coal based rotary kiln for
production of sponge iron. The 1st kiln was commissioned in
2007 followed by the 2nd kiln in 2011. In 2013, the WHRB boilers
were installed and commissioned. Those boilers were under
operation for about 1 year till July 2014 while both the kilns
were operating. To utilize char from DR plant, TIL has
installed the AFBC boiler. These boilers will also feed steam to
captive power plant. However, the AFBC boiler has not been
commissioned yet.
Number of campaigns for the 1st kiln and 2nd kiln are 28
and 8 respectively up to July 2014 since commissioning. However,
after July 2014, both the kilns have stopped production due to
shortage of iron ore. The details of campaigns were obtained for
study.
TIL procures iron ore from Rungta Mining Limited,

Jharkhand and Essel Mining & Industries Limited, Odisha. The
average quality of iron ore is as follows:
Fe total, % : 65 66
LOI, % : 1.4 - 1.8
Moisture, % : 0.6 0.8
Size, mm : 5 20
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Quality of iron ore is in order to produce sponge iron for

further application.
The average specific iron ore consumption is 1.525 tons per

ton of DRI produced. The average iron ore throughput from the
kilns (as per 6th campaign of 1st kiln) is 14.0 tons per hour.
The non-coking coal procured from Northern Coalfields

Limited and the average analysis is given below:
Fixed carbon, % : 40 46
Volatile matter, % : 28 33
Ash, % : 19 31
Size, mm : 5 20
The quality of coal is quite good considering other operating

Indian plants.
The average specific coal consumption is 1.09 tons per ton of

DRI produced. Reportedly, TIL did not use any flux materials,
e.g. dolomite for the DR Plant operation the reason for so is due to
presence of very less quantity of Sulphur in feed material. This is a
good advantage as it eliminates usage of Dolomite.
The DRI produced from the DR plant has following analysis:

DRI lump:
Metallization, % : 85 87
Fe Metallic, % : 78 81
Carbon, % : 0.15 0.2
Quality of DRI is better with respect to the materials

available in market.
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Operational data for kilns and coolers are provided below:
Operational data of rotary kilns
i) Dimension of the kiln .. 76 m long with 4.3 m dia
ii) Kiln speed, rpm .. 0.366 to 0.401
iii) Average temperature

profile of the Rotary kiln:
- Inlet temperature, C .. Bed894 Gas-1,042

- Mid zone temperature, C.. Bed1,021 Gas-1,142
- Outlet temperature, C .. Bed-1,060 Gas1,142
iv) Air profile of the kiln, Nm3 .. 50,900
v) Rated capacity of kiln .. 350 tpd
vi) Capacity achieved .. 375 tpd max. for 1 st kiln

340 tpd max. for 2 nd kiln
vii) Realistic capacity .. 350 tpd (based on rated

capacity); however, the kiln
is capable to produce more
than 350 tpd as the length
of kiln is 76 m instead
of 72 m for conventional
350 tpd rotary kilns.
viii) C/Fe ratio .. 0.47
ix) Consumption of LDO for

heat-up cycle, kl .. 4 5
x) No. of blowers present .. 9 Nos. (presently 8 working)
Operational data of rotary cooler
i) Dimension of the cooler .. 42 m long with 3.5 m dia
ii) Cooler speed, rpm .. 0.7 0.8
iii) Cooler discharge

product temperature, C .. 95-125
iv) Nonmagnetics in cooler

discharge product, t/hr .. 13 - 24
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Major repairs work carried out

Following major repair/maintenance/modification works
have already been carried out in order to run the plant efficiently:
- Installation of pneumatic evacuation system of ESP dust

from dust silos replacing chain conveyor.
- Installation of 2nd magnetic separator and screen in
product separation building.
- Closing of 1st air tube of both the kilns out of 9 Nos. air
tube
- Installation of WHRB boilers and dismantling of heat
exchangers.
TIL has future plan to shift the char storage bin near AFBC
boiler coal ground hopper in for easy feeding of char to AFBC
boiler.
Major facilities of the DR Plant comprise day bins, rotary kiln

and cooler, off gas system including power generation from waste
heat and product handling.
Day bins
One day bin building is present for catering the raw
materials requirement of the kilns. Separate bins are dedicated for
iron ore, feed coal, injection coal etc. Weigh feeders are used to
draw the required quantity of various materials in proportion from
the bins and the same are conveyed to the kiln feed end and
discharge end.
Rotary kiln and cooler

Each of the kilns is provided with nine blowers for supply of
combustion air. Presently, eight blowers are in working condition
for each of the kiln as the first blower at the feed end side has been
stopped by TIL. Iron ore and non-coking coal are charged from
feed end. A part of coal is charged from kiln discharge end as well.
This coal is pneumatically injected into the kiln from the discharge
end. Within the kiln, iron oxide present in the iron ore is reduced
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to metallic iron by carbon monoxide generated from coal.

Thermocouples are installed along the length of the kiln shell. The
main drive system of each kiln is powered by means of a thyristor
controlled DC drive so that the speed of the kiln can be varied as
desired depending on the operating conditions. Auxiliary drive is
also provided for each kiln for slow speed rotation of the kiln
during emergency.
Each rotary kiln is provided with a rotary cooler. The hot

product discharged from the kiln is indirectly cooled in the rotary
cooler by spraying water on the shell of the cooler. The cooler is
partially lined with castables. Both main and auxiliary drives are
provided for the cooler.
Off gas system

At the kiln inlet, a dust settling chamber (DSC) is provided
for allowing the dust to settle before passing through the After
Burning Chamber (ABC). The combustibles contained in the kiln
off-gas are burnt in the ABC.
The sensible heat in the kiln off-gas is utilized for generation

of steam in waste heat recovery boiler (WHRB) which is used in
captive power plant for generation of power. The gas is then
cleaned in Electrostatic precipitator (ESP) and released to the
atmosphere through ID fan and stack.
Product handling
One product storage building is present for the kilns. The
products containing DRI, un-burnt coal, char etc are transferred to
a product conveyor from cooler discharge end and sent to product
storage building. In the product storage building, DRI is separated
from char by means of magnetic separators. Two such magnetic
separators are present for handling coarse and fine materials.
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CAPTIVE POWER PLANT

Basis of power plant design
The power plant is having two (2) Nos. of Waste Heat
Recovery Boilers (WHRBs), one for each sponge iron kiln, one
(1) No. Atmospheric Fluidized Bed Combustion (AFBC) and two
(2) Nos. Turbo generators of 12 MW & 26.50 MW. Fuel for AFBC
boiler will be char (generated from the kilns in-house) and Indian
Coal (Grade F). The steam generated from boilers will be supplied
to the steam turbines through a common steam header.
In addition to the Boilers and TGs, auxiliary systems like DM

water plant, cooling tower & its cooling water pump house, fuel &
ash handling systems, ventilation & air-conditioning systems,
plant & instrument air system, power generation, evacuation and
distribution, control & instrumentation etc are also available in the
power plant.
Power plant procurement summary

The EPC contract and Design Consultant for the Power Plant
is M/s. Predominant Engineers and Consultant Limited (PECL).
Followings are the Suppliers for main equipment under PECL:
AFBC, WHRBs (Supply, Erection : Thermax Limited,

and commissioning) Pune
Operation and Maintenance : ENSOL Power

Contract for Power Plant (for
three (3) years from 2012
onwards)
Turbine & its Auxiliaries and : ENSOL Power

ACC (Erection & commissioning)
Turbine & its Auxiliaries : The Useal Rotating

including ACC & 2 Nos. BFP Equipment Ltd
(supplied from Italy)
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Other items/equipments are splitted and purchased from

various sub-vendors by PECL.
Performance indices
1. Plant capacity, MW : 38.5
2. Annual max. power generation : 318.5

capability, million units
3. Annual gross power generation, million : 270.7

units (at 85% PLF)
Equipment indices
The salient technical parameters of various systems are
given below:
Boilers: The details of boilers are furnished below:
i) Waste Heat Recovery Boiler:
Type : Single drum, vertical/hori-

zontal, semi-outdoor, natural
circulation.
Number : Two (2)
Rated capacity : 2 x 38 tph
Pressure & temperature at : 66 kscg, 485 5 Deg. C.

super heater outlet
Feed water temperature at : 105 Deg. C.

economiser inlet
ii) Atmospheric Fluidized Bed Combustion Boiler:
Type : Single drum, vertical, semi-

outdoor, natural circulation
Number : One (1 )
Rated capacity of the boiler : 82 TPH

(MCR)
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Pressure & temperature at : 66 kscg, 485 5 Deg. C.

superheater outlet
Feed water temperature at : 105 Deg. C.

economiser inlet
Fuel proposed : Indian Coal(Grade F), char
Fuel Firing capability (AFBC) : 100 % Indian coal (Grade F)
: 70% Indian coal(Grade F)+

30% char
Start up fuel : Charcoal with manual firing
Boiler auxiliary system

WHRBs: The WHRBs auxiliaries consist of steam drum,
superheaters, economiser, steam & water integral piping, 1 x 100%
ID fan for each WHRB, boiler feed pump (1 x 30% common) and
1 x 100% blow down tank, chemical dosing system, supporting
structures, platforms and walkways etc.
AFBCs : The AFBC Boiler auxiliaries consist of steam drum,

superheaters, economizer, air heater, steam & water integral
piping, 1 x 100% FD fan, 1 x 100% ID fan, deaerator (common for
WHRB & AFBC), boiler feed water pumps (1 x 100% , 1 x 100%
common standby for WHRB & AFBC), blow down tank, chemical
dosing system, air and flue gas duct work, soot blowing system,
supporting structures, platform & walkways etc.
Flue gas cleaning system: The gases exiting from each

boiler will be passed through three field ESPs to limit the dust
content in flue gas to 50 mg/N cum. The fly ash collected in the
hoppers will be pneumatically conveyed to the ash silo and then
disposed through trucks.
Stack: One (1) No. RCC Chimney of 70 m height for

AFBC Boiler and one (1) No. common RCC chimney of 70 m height
for 2 x 38 TPH WHRBs are provided.
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Turbogenerator: The details of turbogenerator are furnished

below:
Type : Single/Multi cylinder, multi-

stage, uncontrolled
extraction cum condensing
(Water cooled)
Number : Two (2)
Capacity, MW : 1x12 (TG-1) & 1x26.5 (TG-2)
Steam pressure & tempera- : 64 kscg, 480 5 C

ture at turbine inlet
Condenser pressure : 0.18 ksca
Generator rating : 15,500 kVA/ Generator-1

35,000 kVA/ Generator-2
Generator voltage : 10,500 V Generator -1

6,000 V Generator-2
Generator speed, rpm : 1,500 (TG-1) & 3,000 (TG-2)
Frequency : 50 5 % Hz
Type of cooling : Air
No. of phases : 3
The Turbogenerator is complete with lubricating and

control oil system, governing system, turbine drain system,
controls and instruments as required. The Turbogenerator is
provided with a vibration monitoring system to monitor the
vibrations of turbine and the gear box. TG-1 is provided
with gear box arrangement. One (1) No. 30/10T EOT
Crane has been installed for maintenance of turbogenerator and
auxiliaries.
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Air cooled condenser

Considering the difficulty in sourcing the required quantum
of water from CPP, Air Cooled Condenser has been installed for the
Power Plant. The air cooled condensing system consist of air cooled
condenser, drain pumps, condensate storage tank, condensate
extraction pump (2 x 100% ), air extraction system, utility piping
etc., for each turbine. The details of air cooled condenser are
furnished on next page:
Number : One (1) No. for each

turbine
Back Pressure at turbine : 0.18

exhaust, ksca
Design ambient temperature, : 40

deg. C
Note: Site ambient condition taken from Metrological

Department data of Madhya Pradesh, India.
Fuel handling system for AFBC boiler

Char produced as by-products from the DR plant will be
used as fuel in AFBC Boiler along with Indian coal (grade F).
Analysis of different fuels: Typical analysis of different

fuels is indicated below:
Constituents Indian Coal Grade F Char
Carbon 30.40 17.77

Hydrogen 2.26 3.35
Nitrogen 0.60 0.38
Sulphur 0.50 1.05
Moisture 8.00 1.47
Ash 52.0 74.19
Oxygen 6.24 1.79
GCV, Kcal/kg 3,000 2,600
Note: The above fuel analysis is taken from similar projects

database.
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Estimated fuel requirement: The estimated quantity of fuel

required for AFBC boiler at various firing modes is given below:
Sl. Fuel Fired

No. Fuel Firing Mode tph
1. 100% Indian coal : 24.5
2. 70% Indian coal + 30% : 25.6

Charcoal
De-dusting system: Dust extraction system and dust

suppression system of suitable type is provided for fuel handling
system.
Ash and dust handling system for AFBC and WHRB

Dense phase pneumatic ash handling system is considered
for both fly and bed ash. Dedicated compressors are planned for
dense phase pneumatic system. The estimated quantity of ash
generated at various fuel firing modes is given below:
AFBC Boiler: The estimated quantity of ash generated at

AFBC boiler is indicated below in table:
Bottom Fly Ash,

Fuel Fired Ash, tph tph
100% Indian coal (grade F) 3.83 8.93
70% Indian coal (grade F) + 30% 4.56 10.63

Char
Above mentioned ash quantity is based on 70% fly ash &

30% bottom ash configuration.
Fire fighting system

Extinguishers are only envisaged for the Power Plant.
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UTILITY SYSTEM
Air conditioning and ventilation: Packaged type air
conditioning system is provided for main control room of capacity
2 x 15 TR and 1 x 10 TR.
Compressed air system: Separate compressors are

considered for supply of dry and oil free compressed air of
instrument grade and general purpose service grade air for power
plant. The details are as follows:
Compressor:
Make .. ELGI
Type .. Screw
Numbers .. Three (3)
Capacity .. 14.9 m 3 /min
Motor .. 75 KW
Air dryer:
Make .. ELGI
Numbers .. One (1)
Capacity .. 1254 CFM
Motor .. 6.4 KW
DN 100 and DN 150 lines for Plant Grade and Dry Grade
Compressed Air, run through the plant and cover about 1.5 to
2 km in all.
STEELMELT SHOP (SMS)

Major existing facilities
Presently, two (2) Nos. 15 tons capacity twin crucibles
induction furnaces along with one (1) number, 3-strand continuous
billet casting machine are in advanced stage of installation.
M/S Shiva Consultancy Services (P) Ltd, Delhi is responsible for
overall project management and integration along with balance of
plant engineering & erection/commissioning.
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Layout
The shop building comprises four parallel and adjacent aisles
namely storage/material handling aisle, furnace aisle, casting
machine aisle and billet storage aisle.
The furnace aisle houses the induction furnace platform

structure with the furnace proper and its electrical equipment like
transformer, solid state generators, capacitors and hydraulic units
being located in ground level. Two (2) Nos. ladle horizontal
preheating station (Make Wesmann) are located adjacent to the
furnace.
The furnace bay also houses the caster machine proper with
casting platform.
The storage/material handling bay is served by 1 x 10 T

EOT crane and the furnace bay is provided with two (2) Nos.
35/10 T ladle handling crane and one (1) No. 10 /5 T charging
crane.
The casting machine aisle comprises of torch cutting and

building for hydraulic unit, electrical room and control room. The
scale pit is located outside the building.
The billet storage bay comprises of the collecting table

of caster, billet storage and inspection area. Billet storage bay
is served with a 15 T capacity crane under magnet for billet
handling.
The fume extraction system is located outside the shop

adjacent to the furnace bay comprising of bag filter house, ID fan
and stack.
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The water circulation system with cooling tower and

emergency tank, HT room, and laboratory building are located
adjacent to storage and material handling aisle in the northern
side.
The SMS layout with future expansion is indicated in

Drawing No. 11348-97A-000-PRS-0001-R0 enclosed with this
Report.
Production plan
SMS is envisaged to produce about 97,500 tons of
billets corresponding to about 100,000 tons of liquid steel
annually. Major erection works had been carried out till the
time it went into HOLD pending Environmental Clearance (EC).
However, reportedly, EC has been obtained and balance
erection work shall commence soon and is planned to start up
in December 2014. With installation of another two sets
of same capacity Induction Furnaces, the production capacity
will be enhanced to about 195,000 tons of billets corresponding
to about 200,000 tons of liquid steel annually. It is suggested that
during expansion stage, TIL may consider inclusion of secondary
refining facilities in order to produce alloy and special steels.
Present production capacity

It is envisaged to produce 100,000 tons per annum of liquid
steel in order to provide value addition to the direct reduced iron
(DRI) that will be produced from the existing DR plants. At the
initial stage of expansion, their manufacturing unit will be
provided with the following facilities:
- 2 x 15 ton induction furnace

- 1 x 3 strand billet caster
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The steel making facilities will comprise 2 x 15-ton twin

crucibles induction furnaces and 1 x 3-strand billet caster. Billet
production shall be approximately 97,500 tons of billets per
annum. After consumption of DRI in steelmelt shop, balance of DRI
produced will be sold locally, after meeting the requirement of the
steel plant.
Design basis
The plant is envisaged to operate with charge-mix of 100%
DRI with petroleum coke or 85/15 DRI/pig iron ratio. Pig Iron
(15% ) is suggested to be used for better melting. With a combined
yield from charge to liquid steel as 83.5%, estimated DRI
requirement will be 101,800 tpy and balance 17,960 tpy will be pig
iron including small quantity of plant return scrap. After
installation of another set of similar capacity induction furnace,
the plant capacity will be augmented and the in-plant produced
DRI of about 210,000 tons will be fully utilized. TIL may opt for
85% DRI and 15% Pig Iron for better charge mix for making steel
through IF route in future also. One ladle furnace shall be installed
in future stage for producing alloy steel and special grades.
The caster is designed to cast 100-200 mm sq billets of 4 to

6 m lengths. However, 100 and 160 mm sq billets of cutting length
6 m is planned to be produced at present. Torch cutting machine
will be deployed for cutting the billets to definite lengths.
Induction melting furnace (IF)

Based on the envisaged production programme, TIL has
installed 2 x 15ton twin crucibles IFs having an annual operating
period of 330 days.
IF operating cycle time: The typical operating cycle time for

the 15-ton heat is estimated on the following assumptions:
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- Furnace charge will consist of either 100 per cent DRI or

around 85 per cent coal based DRI, 15 percent pig iron.
- Besides melting of pig iron and DRI, only desired

temperature adjustment will be carried out in the furnace.
In absence of ladle furnace, the final finishing will be
done in the IF as per the requirements.
The operating cycle time for the IF with optimized rating of

the static inverter generator is estimated at 144 minutes as
indicated below:
Activities Cycle Time

mins
Deslagging, fettling, spout .. 8

maintenance and initial charging
Melting and superheating (planned) .. 134
Tapping .. 4
Total .. 144
The estimation of number of furnaces is indicated in

Table 2-2.
TABLE 2-2 - ESTIMATION OF NUMBER OF FURNACES
Total number of heats to be made as

per production plan .. 20
Tap-to-tap time of IF .. 144 mins
Number of heats possible from one IF .. 10
Total number of furnaces required .. 2
The estimated heat size of the IFs is given in Table 2-3.
TABLE 2-3 - ESTIMATION OF HEAT SIZE OF IF
Liquid steel, tons/year .. 100,000

Number of operating days .. 330
Average production/day, tons .. 304
Average number of heats/day/furnace .. 10
Number of furnaces .. 2
Required heat size, tons .. 15.2
Say 15
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Capacity of static inverter generator: For 15ton IF, the

estimated static inverter generator rating will be about 5777 (Say
6500) kVA as shown in Table 2-4.
TABLE 2-4 - RATING OF STATIC INVERTER

GENERATOR (SIG)
Considering production tons/hr .. 6.5

Specific power consumption, kWh/ton .. 800 ( 1)
Power required, kW .. 5200
Operating power factor .. 0.90
kVA rating of SIG ( Say) .. 5777
Static inverter generator rating
Considering safety margin .. 6500
Furnace transformer rating .. 7000
NOTE: (1) On the basis of the specified charge mix and a

tapping temperature of 1630 0 C, with trim alloy/
additive additions at the furnace.
The above ensures a high level of effective power input,

which is desirable because the furnace charge will comprise a high
proportion of DRI feed at regulated intervals directly by crane.
Tapping sequence of IFs: It is proposed to stagger

the operation of two IFs by 35 mins such that there is a tapping
time difference of 35 mins between IF -1 and IF-2, so as to
maintain the required casting sequence at the continuous casting
(CC) machine.
Continuous casting machine

The product size range for the three-strand billet caster
includes 100 mm sq and 160 mm sq billets, the defined product
sizes being 100 and 160 mm sq.
Casting time: The average casting time of a 15ton heat in

the billet caster will be as given in Table 2-5 on the next page.
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TABLE 2-5 - AVERAGE CASTING TIME FOR BILLETS (1)
Billet Sizes .
100 mm sq 160 mm sq
Ladle size, ton .. 15 15

Billet size, mm x mm .. 100 x 100 160 x 160
Billet weight, ton/m .. 0.076 0.194
Length of cast billets, m .. 197.4 77.4
Casting speed, m/min .. 2.50(avg) 1.7(avg)
Casting time, min .. 40(avg) 23(avg)
Required No. of strands .. 2 2
Installed No. of strands .. 3 3
NOTE: (1) For reference size of 100 mm and 160 mm square billet.
Even though the casting requirement can be made with two

strands, a 3-strand machine is installed to take care of future
requirements.
Estimated production capacity: Based on the total casting

time per heat and planning the heats of a particular category of
steel either with batch casting or over two heat sequences at
present set up and six heat sequence with another set of furnaces
along with one LF in future, the estimated capacity utilisation of
the machine on daily basis is indicated in Table 2-6.
TABLE 2-6 - PRODUCTION CAPACITY OF BILLET CASTER
Casting time, min

(considering 100 mm sq) .. 40
No. of heats per sequence .. 4 (3+1)
Machine preparation time, min .. 30
Sequence cycle time, min .. 190
Total no. of sequences .. 7.6
No. of heats that can be cast .. 30
No of heats tapped from IF .. 20
Daily capacity utilization, % .. 67%
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From the above, it may be noted that the 3-strand billet

caster will be able to cast more than 20 heats/day conveniently,
thus an annual production 97,500 tons of billets can be obtained.
With the installed capacity of the machine, the required billets
throughput from this machine will be further enhanced with
installation of future induction furnaces, ladle furnace and
improvement of logistics.
Requirement of raw materials and supplies

The requirement of the raw materials and major supplies for
an annual production of 100,000 tons of liquid steel is presented
in Table 2-7.
TABLE 2-7 - ANNUAL REQUIREMENT OF RAW MATERIALS

AND MAJOR SUPPLIES FOR STEELMAKING
Requirement
A. Raw Materials(1) Tons .
DRI .. 101,800
Pig Iron .. 16,760
Plant return scrap .. 1,200
Ferro-alloys .. 1,400
Pet coke .. 500
Synthetic slag .. 200
B. Supplies N cu m
Nitrogen/argon .. 20,000
Oxygen .. 200,000
LPG .. 50,000
NOTE: (1) The quantities shown above are net and dry.
Plant materials flow sheet

On the basis of the selected process route and envisaged
plant capacity, the plant materials flow sheet for the project is
presented as Fig-2-1 on the next page.
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FIG. 2-1 : PLANT MATERIALS FLOWSHEET
Equipment and facilities for steel melt shop

The major equipment and facilities installed in the steelmelt
shop are described in the following sections.
Induction furnace (IF): The salient features of the IFs are

indicated below:
Number of furnaces .. 2
Make .. Inductotherm
Number of crucibles per IF .. 2
Furnace capacity .. 15 tons
Tilting arrangement .. Hydraulic
Rating of static inverter
generator unit .. 6,500 kW
Metallic charge .. 85% DRI and 15% Pig iron
Method of charging .. Batch charging by shop/
furnace charging system
Production rate .. 6.5 tons/hr
Operating frequency .. 500 Hz
Furnace transformer .. 7,000 kVA
No. of transformer taps .. Available to suit furnace
operation
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Fumes generated during operation will be extracted through

a furnace hood with swiveling facility (to serve the individual
crucible) and common un-cooled ducting and is cleaned in the bag
filter house before emitting to the atmosphere through the stack.
Billet casting machine (CCM): The salient features of the

CCM are indicated below:
No. of machines .. 1
No. of strands .. 3
Make .. Concast India Limited
Type of machine .. Curved Mould, Bow type
Casting radius .. 6 m / 11m
Steel grades to be cast .. Commercial quality mild and

carbon steel with provision for
carbon constructional and low
alloy steels.
Ladle capacity, ton .. 15
Ladle stand .. Fixed stand for one ladle
Type of ladle .. Bottom pour with hydraulic

slide gate
Tundish practice .. Cold
Design cast size range .. 100200mm and 200x250

rectangle
Size range to be cast:

Size .. 100 mm sq
Length .. 6 m
Billet cutting device .. Auto torch cutting unit
Method of discharge .. On discharge roller table to

cooling beds.
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The continuous casting machine will be equipped with

automatic control system for functioning of the billet casting
equipment including casting speed and primary/secondary cooling
system and billet transfer up to the end of cooling bed based on
steel grades and billet sizes proposed.
Materials handling facilities

DRI produced in the Kiln will be processed and stored in the
product bins. DRI from the bin will be collected in a dumper and
will be transported to SMS and dumped to storage area inside
SMS. DRI will be charged to furnace by EOT crane from the
storage area. It is recommended to adopt belt conveying system
from DRI product bin to SMS building and store in the storage bins
for further feeding to furnace by furnace charging system. The
storage bins in SMS are already installed in furnace platform.
Char from the bin shall be taken out by vibrating feeder and
fed to the conveyor system for onward transportation to the bins at
power plant.
Plant return scrap (crop/head ends, skulls, rejected billets

etc) will be transported and stored in a designated storage area
near to furnace. If required, scrap will be processed to get the
desired size for furnace feeding. Handling crane in furnace bay
with magnet as an attachment will be used to charge scrap to
furnace.
Billets will be stored in billet storage aisle and will be

transported out of the plant by road transport. Space for
loading/unloading will be kept in billet storage aisle.
Slag from IF shall be spooned to slag box placed in furnace

platform. Slag from ladle after casting will be dumped in a
designated slag dumping zone at the gable end.
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Ladle, tundish and mould preparation facility

Ladle relining stands and facilities, cold tundish preparation
facilities, slide gate nozzle and porous plug setting, mould
preparation and testing requires to be installed.
POWER DISTRIBUTION SYSTEM

The power supply for the entire plant will be made available
through 38.5 MW captive power plant (CPP) comprising of one
(1) No. AFBC unit (26.5MW) and two (2) Nos. WHRB units (12MW).
The AFBC unit designed for generating power at 6 kV will be
connected with 10.5 kV bus at CPP over 6/10.5 kV, 35/40MVA
ONAN/ONAF generator transformer (GT) whereas the WHRB unit
generating power at 10.5kV is directly connected with 10.5 kV bus
at CPP through cable feeders.
The 33kV line from MPPTCL is connected with the above

10.5 kV CPP bus over 33/10.5kV, 10 MVA, ONAN transformer at
outdoor yard of Receiving Substation. The present contract demand
is 1.5 MVA and the fault level at 33kV is around 35kA. For details
refer the single line diagram (Drg No 11348-97A-000-ELE-0001-R0)
enclosed with this report.
Initially the plant was connected to MPPTCL grid over a

33/10.5 kV, 5 MVA, ONAN transformer at receiving substation over
33kV line. The secondary side of this transformer was connected to
11 kV CPP switchboard. Subsequently, this 33 kV line got
disconnected from MPPTCL grid and a new 33/10.5 kV, 10 MVA,
ONAN transformer is installed and connected to MPPTCL grid. The
secondary side of this new transformer is also connected to 11 kV
CPP switchboard.
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Station auxiliaries are fed from 11 kV CPP switchboard over

two (2) Nos. 10.5/0.415 V, 3 MVA feeders where as Boiler feed
pumps are fed from 6.6 kV CPP switchboard. The above 6.6 kV
CPP switchboard is fed from 11 kV CPP switchboard over one (1) No
10.5/6.6 kV feeder.
At present, the 33 kV side of the old 33/10.5 kV, 5 MVA

transformer is connected to the 415 V DR plant PCC over a
33/0.415 kV, 3.5 MVA, ONAN transformer to cater DR plant load.
One (1) No. 11 kV SMS switchboard is formed to cater power

supply to two (2) Nos. Induction Furnaces and its auxiliaries over
a 10.5/0.415 kV, 3 MVA LCSS transformer. Future provisions are
kept in the switchboard for another two (2) Nos. Induction
Furnaces. The above 11 kV SMS switchboard is presently fed over
Incomer-1 from 11 kV CPP switchboard. The second incomer of the
above switchboard is not connected.
Three (3) Nos. diesel generator (DG) sets of capacity 1500kVA,

1250kVA and 380kVA have been connected and synchronized with
415V bus at DR plant to supply emergency power for DR plant as
well as for power plant auxiliary systems.
General plant electrics (for all plant units)

Switchgear rooms
Separate electrical switch gear rooms have been considered
to locate the 11kV, 6.6kV switchgears, 415V PCCs, MCCs, PDBs
and LDBs etc. The control rooms have been provided to house
various process control panels/electrical control panels etc.
Drive motors
All HT and LT AC motors are squirrel cage induction type
energy efficient machines and operate on 3-phase, 50 Hz AC power
supply at 6.6kV for HT drives and 415 V for LT drives.
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For drives, which require speed control are operated by AC

variable speed (VVVF) drives.
Motor control centre

Motor control centre/distribution boards serving auxiliary
loads are grouped and located in the plant switch gear rooms/
MCC room for operational convenience.
Lighting
Light fittings are generally fluorescent/HPSV/metal halide
type. Lighting distribution board (LDB)/MCBDBs have been
considered for lighting distribution and controls.
Cabling
11kV, 6.6kV & 415V grade cables have been considered for
the plant units. Power and control cables are of heavy duty,
XLPE/PVC insulated, PVC sheathed, armoured, aluminium/copper
conductors confirming to relevant IS.
PLANT WATER SYSTEM

Source of water
Dam inside plant boundary
Main source of water for the plant is the dam inside the
plant boundary. Water from this dam is pumped to four (4) Nos.
of ponds which acts as water reservoir. The pumps are axially split,
centrifugal type with negative suction head and installed in a pump
house adjacent to the dam. Duty parameter of each pump is 600
m/hr capacity, 20 mwc head and motor rating 55 kW. Water is
supplied to the ponds through two (2) Nos. DN 200 on-ground MS
pipes. This dam and the pump house have been constructed in the
year 2010. Coupling of one pump has been changed in the year
2014. Due to plant shut down form 2-3 months, none of the
pumps are running.
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Total water storage capacity of four (4) ponds are

3,50,000 m. At each of the pond one (1) No. negative suction,
back pull out, centrifugal pump is installed to transfer water to
different plant units. Duty parameter of each pump is 40 m/hr
capacity, 65 mwc head and motor rating 11 kW. Maximum two
(2) Nos. of pumps shall run at a time. These pumps have been
installed in the year 2011. Impeller of all four (4) pumps have been
changed in the year 2014. Due to plant shut down from 2-3
Bore wells
Another source of plant water is three (3) Nos. of bore wells
installed inside the plant boundary. Depth of the bore well are
nearly 350 ft. Bore well pumps have 3 HP rating. Bore wells have
been constructed in the year 2007. One of the bore wells have
been damaged 4-5 months ago. Earlier, water used to be supplied
for different plant use and drinking & sanitation purpose directly
for the bore well pumps. In the year 2009, an on-ground RCC tank
of 150 m capacity has been constructed. Now, water is stored in
this tank from the bore wells. Two (2) (1W + 1S) Nos. negative
suction, back pull out, centrifugal pump is installed to transfer
water to different plant units from the on-ground tank. Duty
parameter of each pump is 48 m/hr capacity, 60 mwc head and
motor rating 11 kW. Impeller of one of the pump has been changed
two times and impeller for the other pump has been changed one
time. Also the motor of one of the pump have been replaced 3-4
months ago. Due to plant shut down from 2-3 months, none of the
pumps are running now.
Another set of two (2) Nos. (1W + 1S) negative suction, back
pull out, centrifugal pumps are installed in the year 2014 to
transfer water to SMS unit from the on-ground tank. Duty
parameter of each pump is 48 m/hr capacity, 70 mwc head and
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motor rating 18.5 kW. At present, motor of one of the pump has
been removed. None of the pumps are running now as SMS unit
has not come in operation till now.
No raw water treatment plant (RWTP) and drinking water

treatment plant have been provided. The water from ponds and
bore wells is directly used as industrial purpose and drinking
purpose.
Water system for DR plant

Mainly two (2) types of water system have been envisaged for
DR plant ICW system and DCW system. There are two (2) Nos. of
Kilns in DRI plant, out of which one has come in operation in the
year 2007 and the other one come in operation in 2011. Details of
the equipment are as follows:
ICW system
For kiln1: ICW system for Kiln 1 is consists of the
following equipment:
Hot well 1 No. (common for both kilns).
Hot well pumps: 300 m/hr capacity, 15 mwc head, 22 kW

motor 2 Nos.

motor 1 No.
Cooling tower: Two (1W + 1S) 1 No.
Cold well 1 No. (common for both Kiln).
Cold well pumps: 600 m/hr capacity, 20 mwc head, 55 kW

motor 2 Nos. (1W + 1S).
For kiln2: ICW system for Kiln 2 is consists of the

following equipment:
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Hot well 1 No. (common for both Kiln).

motor 2 Nos.

motor 1 No.
Cooling tower: Two (1W + 1S) 1 No.
Cold well 1 No. (common for both Kiln).
Cold well pumps: 600 m/hr capacity, 20 mwc head, 55 kW

motor 2 Nos. (1W + 1S).
Equipments for Kiln-1 have been installed in the year 2007

and equipments for Kiln-2 have been installed in 2011. Since then
all the equipment has run successfully. Now, one of the hot well
pumps has been dismantled and the motor has been removed from
its position. All the pumps and cooling tower have been installed in
a RCC foundation having structural roof. Since the entire DRI
plant area is a dusty one, all the equipment have been covered with
dust and needs to be cleaned. Due to plant shut down form 2-3
DCW system
DCW system is required for DSC and ABC system of the
Kilns. DCW system of each Kiln is consists of the following
equipment:
i) High pressure pumps: 16 m/hr capacity, 120 mwc head,

11 kW motor 2 Nos.
ii) Spray nozzle: 22.1 lpm capacity, 10 bar pressure 7 Nos.
iii) Spray nozzle: 33.5 lpm capacity, 10 bar pressure 3 Nos.
2-33
MM.
. NN.
. DDASTUR
A S TU R &
& COMPANY
Water system for power plant

Water required in power plant is mainly for equipment
cooling. As there is air cooled condenser, ICW circuit is not there
in the power plant. For equipment cooling following equipment
have been provided:
i) Cooling tower Two (2) cells (1W + 1S)
ii) Vertical centrifugal pump, driven by motor Three (3)

Nos. of 350 m/hr capacity, 55 mwc head, rated power
64.513 kW,
iii) Cold well One (1) No. underground
One (1) DM plant of 15 m/hr capacity has been provided.

DM plant has two (2) streams. Each stream consists of the
following:
i) Multi grade filter (MGF)

ii) Strong acid cation (SAC) unit
iii) Degasser tower
iv) Strong base anion (SBA) unit
v) Mixed bed (MB) unit
After demineralization, water stored in two (2) Nos. DM water

tank of MS construction. Capacity of each tank is 200 m.
Water system for SMS

The water system equipment has been installed, however, yet
to be commissioned. Conditions of all the equipment are in order.
Water system for SMS consists of the following circuits:
a) ICW circuit
b) DCW circuit
c) Soft water circuit
d) DM water circuit
Make-up water for SMS and furnace area have been provided
through one (1) No. DN 100 pipe of 950 m length.
2-34
MM.
. NN.
. DDASTUR
A S TU R &
& COMPANY
DM water in required for the furnace part only. There is

three (3) Nos. of DM units for furnace, out of which two (2) is for
two (2) Nos. solid state generators and one (1) for one (1) No.
sintering unit.
The equipment for water system facilities are as follows:
i) DM unit complete in all respect

ii) Centrifugal pumps
iii) Cooling towers
iv) Plate heat exchangers
v) Cold well
vi) Scale pit
vii) Emergency overhead tank
viii) Pipework
ix) Softening plant
Details of various equipment/units are as follows:
Pumps
- 160 m/hr capacity, 80 mwc head, 55 kW motor 4 Nos.

- 200 m/hr capacity, 45 mwc head, 30 kW motor 1 No.
- 225 m/hr capacity, 40 mwc head, diesel driven 1 No.
- 80 m/hr capacity, 40 mwc head, 15 kW motor 1 No.
- 100 m/hr capacity, 40 mwc head, diesel driven 1 No.
Scale pit
Scale pit installed at the outside of Induction furnace shed.
Size of scale pit is 12 m X 5.5 m. There are two (2) Nos. (1W + 1S)
pumps, installed just aside the scale pit. The duty parameters of
the pumps are - 270 m/hr capacity, 35 mwc head, 37 kW motor.
Pumps are installed in a concrete foundation with tin shed roof.
2-35
MM.
. NN.
. DDASTUR
A S TU R &
& COMPANY
Emergency overhead tanks

Nine (9) nos. of emergency overhead tanks have
been installed at a higher elevation. Capacity of each tank is
10 m and all the tanks are Sintex make and material of
construction is PVC.
One (1) common RCC pump house has been provided to

install all the pumps. Pump house is very congested one and it
seems to be very difficult for the maintenance of the equipment.
Also there is no monorail inside the pump house. More area is
required in the pump house for proper installation and
maintenance of the pumps. Cold wells are RCC construction type
and are adjacent to the pump house. All the cooling towers and
plate heat exchangers have been installed at the top of the pump
house and cold wells.
LABORATORY
Laboratory facility is available for carrying out analysis of
the raw material and the product. Only wet chemical facilities are
available in DR plant laboratory. In steelmelt shop a room has been
designated for laboratory facilities. As reported, only spectrometer
has been purchased for steelmelt shop laboratory but the same is
not installed.
2-36
M . N . D A S TU R & C O M P A N Y (P ) L T D GULF PE TROCHEM F ZC
D r a f t D u e D i l i g en c e R e p o r t
3 - MAJOR OBSERVATIONS AND AREAS OF CONCERN
Existing facilities and operations have been discussed in

Chapter 2. Major observations/recommendation/areas of concern
that is to be addressed are discussed in this chapter. The primary
input for this chapter is Consulting Engineers observations during
walk through study, discussion with TIL and experience of similar
plant set up.
DR KILN
The DR plant is found to be in fair condition. TIL has
already carried out some major repair/maintenance/modification
works for betterment which has been already listed in Chapter 2.
For start-up and ramping up of production from both the kilns, the
following activities are recommended:
General cleaning and house-keeping.
Checking and ensure oils/grease/hydraulic fluids etc for

mechanical equipment.
Testing of all movable and rotary equipment.
General maintenance and fulfilment of check list of

readiness.
Checking and monitoring of field instruments and their

workability.
Refurbishing of conveyor belts, idlers, safety appliances,

limit switches etc.
Relining of refractories where-ever required.
Availability of raw materials and consumables like light

diesel oil before start-up.
Operational and maintenance crew for continuous operation.
3-1
3 - Major observations (contd)
The above activities are expected to take about 2.5 months.

However, any major activity, if identified shall have to be taken up
accordingly to start up at the earliest.
LABORATORY
The existing DR plant laboratory has only wet chemical
facilities for chemical analysis of DRI. It is recommended to
install magnetic analyser for quick analysis of metallisation of the
product DRI.
The steelmelt shop laboratory building has been constructed

to house the laboratory equipment. Reportedly, only spectrometer
has been purchased. However, necessary sample preparation
facilities and carbon & sulphur analyser needs to be procured for
product analysis and certification.
CAPTIVE POWER PLANT

The present status and conditions of equipment/system of
captive power plant is furnished below:
Year of
Description Qty Installation C apacity Current Status
AFBC Boiler One (1) Under 82 tph/66kscg/ 485 - 80% erection completed
erection deg.C in July 2014.
- Boiler designed for - Hydro test completed

firing Indian coal for Boiler in 2014.
and charcoal - Boiler water walls/
super heaters tubes
are under preservation
AFBC Boiler Auxiliaries
Fan 207200 m3/hr
a) ID fan & One (1) 2014 VVFD installation need
its motor Motor -180 KW, to be done
991 rpm, 95.7% eff.
Fan - 127214 m3/hr.
b) FD fan & One (1) 2014 VVFD installation need
its motor to be done
Motor - 450 KW, 1492
rpm, 96% eff, 3 T
weight
c) ESP One (1) 2014 - 3 field ESP - Erection completed
- Outlet dust emission with insulation and
level - 50 mg/Nm3 terminated with Ash
hopper (at 3 m level)
3-2
Year of
d) Fuel feeding system

i) Feeder Four (4) 2014 Four (04) nos. feeders Erection completed
provided.
ii) Bunker One (1) No. 2014 One (1) no bunker Erection completed
structural provided to cater the
bunker requirement of AFBC
with boiler.
inclination
hopper for
feeders
e) Boiler Fuel oil system is not
Start-up envisaged for Boiler
system start-up. Boiler start-up
with charcoal by manual
firing
Fuel Complete 2014 Fuel handling system Under erection.
handling system provided to cater needs
system for of AFBC boiler. - Supporting Structures
coal & char are erected and idlers
are in position.
- Conveyor laying, Belt,

sheeting work are
pending
- Another two(2) months

works to be carried out
Ash For Boiler 2014 Dense phase pneumatic ESP - Erection of equip-
handling bottom, system to convey fly ah ment & piping within ESP
system Economiser of 10.63 TPH & bottom boundary completed.
(Pneumatic) and ESP ash of 4.56 TPH
capacity is envisaged. Boiler bottom and
economizer - Equipment
& piping work is
pending.
Compressor and air

receiver - Not identified
at site.
Pipework up to Ash silo

needs to be erected.
Ash Silo - structural
work is under progress.
WHRB Two (2) 2012 - 38 tph, 66kscg, - DRI plant is under
485 deg. C shutdown, hence,
WHRBs are not in
operation.
- Designed for utilizing
exhaust waste heat
- Both the boilers were
from 2 Nos. of 350
delivered 33tph flow
TPD DRI plants.
(max) so far.
3-3
Year of
WHRB & its Auxiliaries

a) ESP One (1) for 2012 3 field ESP Not in operation.
each Boiler
b) ID fan & One (1) No. 2012 Fan capacity - Not in operation.
its motor for each 237,000m3/hr
boiler Motor capacity 250KW
c) Dust Complete 2012 Dense phase pneumatic - Silos were installed for
handling system system is provided. collecting the dust
system from Boiler and ESP.
- Dust disposed through

trucks from silo and
stored in open yard
within the plant
boundary.
TG-1 One (1) In Operation 12 MW (combination of - DRI plant is under
since June Impulse and reaction shutdown, Hence TG
2013. stages) not in operation.
Used Turbine - TG delivered 9.5MW

and Generator (max) so far.
are purchased
from Italy.
20+ years in
service
TG-2 One (1) Used Turbine 26.5 MW (reaction - TG erection completed.

and turbine)
Generator are - Oil flushing for TG is in
purchased progress.
from Italy
- DC EOP motor erection
20 + years in is under progress,
service.
- Bus duct erection is
pending.
- Alignment of Turbine
casing to be checked.
- Piping termination
work pending.
- Electrical cable
termination work is
pending.
- SIEMENS DCS logic/

graphics development
work completed.
3-4
Year of
Electrical & --- --- To the requirement of 80% of work completed.

Instrumenta plant operation
tion system
for Power
Plant (26.5
MW and
AFBC Boiler)
Common Mechanical System
a) Deaerator One (1) 2012 Common for three (3) - Stopped condition due
& its Nos. Boilers to plant shutdown.
storage - More than a year
tank Deaerator was in
running condition.
- Steam for Deaeration
taken from PRDS.
- FW outlet temperature
at Deaerator is 105C
b) Common One (1) 2012 Common for three (3) - Located at Deaerator
steam Nos. Boilers floor level.
header - Insulation work to be
system done at few areas in
the piping
c) Overhead One (1) 2012 Separate over head oil Located above the roof of
oil tank tank for each turbine is AB bay
provided.
d) Boiler One (1) 2012 Pump Stopped condition due to
feed Q 60 m3/hr plant shutdown.
pump & H - 660 m
its motor Motor 132 KW - BFP 1 & 2 was in
confi- One(1) N - 2970 rpm running condition for
guration: Pump -170m3/hr. TG-1
1 Pump for H - 963 m - BFP-3&4 are manu-
start up Motor-620 KW factured in the year
2 Pumps for N-2977 rpm 1977 and not started
working One(1) Pump-150m3/hr its operation at TIL
1 Pump for H-802 m
standby Motor-630 KW
N-2970 rpm
Air Cooled One (1) Operating One (1) No. Air cooled More than a year ACC-1
Condenser - 8 fans in since June condenser to attain was in running condition.
1 & its two rows 2013 0.18 ata exhaust Having provision in RCC
Associated (Used ACC pressure is provided. framework for
system -12 imported installation of two (2)
MW from Italy.) Nos. fans for meeting
turbine requirement.
a) CEP & its Two (2) Operating Pump More than a year CEP
motor (1W+1S) since June Q- 50 m3/hr was in running
2013 H- 74 m condition.
Motor - 22 KW
N-2930 rpm
3-5
Year of
Air Cooled One (1) 2013 One (1) No. Air cooled Not yet started its
Condenser-2 12 tons in Used ACC condenser to attain operation. Having
& its two rows imported 0.18 ata exhaust provision in RCC
Auxiliaries from Italy pressure is provided framework for
(26.5 MW) installation of two (2)
Nos. fans for meeting
turbine requirement.
a) CEP & its Two (2) 2013 Pump Not yet started its
motor (1W+1S) Q 112 m3/hr operation
H 80 M
Motor - 55 KW
N- 2955 rpm
DM Plant One (1) 2013 15 m3/hr (1W+1S) Operating for last one
year. Having two (2) Nos.
200 m3 DM storage tank.
Having two (2) Nos. DM

transfer pumps (1W+1S)
Having 15 m3 raw water

storage tank.
Auxiliary Cooling Water System

Q- 350 m3/hr
a) Pump Three (3) 2012 Working condition
H-50 m
house KW-75
b) Cooling Two (2) 2012 Two (2) Nos. cooling Working condition
Tower towers are provided.
Compressed Three (3) 2012 14.90 m3/min. Working condition

Air System Manufactured
Pressure-7.14 kg/cm
Screw 2010
Compressor Motor 75 KW
2 x 15 TR
Air --- 2013 Working condition
1 x 10 TR
Conditioning
System
30T MH
EOT Crane One (1) Manufacture 10T AH Working condition
d in 2010
Design and installation of power plant in general is complete

in all respects and meets requirement for industrial operation.
Power plant layout

The power plant overall layout meets the requirement.
However, the in-plant roads need to be improved/conditioned. The
drains around Boiler, Turbogenerator and other systems to be
constructed which is very essential.
3-6
Concrete flooring for the Boiler & its auxiliaries, TG building,

ACC and other areas are in order. However, cleaning of the AFBC
and WHRB area needs to be carried out. General house-keeping
needs improvement.
Ash and dust disposal

Ash disposal
Since coal and char will be used in AFBC Boiler, there will be
more ash collection from Boiler. There is no specific area identified
for ash disposal at present. Hence, a scheme for ash disposal
requires to be finalized and concerned agency to be appointed
before starting of AFBC Boiler. Alternately, ash may be disposed to
any cement plant and fly-ash brick industry
Dust disposal
The dust disposal from the WHRB Boilers are collected and
stored in open and inside plant boundary (i.e. nearer to Air Cooled
Condenser of 26.5 MW), which requires to be relocated in order to
avoid suction by the condenser.
Handling facilities
EOT crane is available inside the building for handling and
maintenance of TGs and heaters. Boiler Feed Pumps are not
within the approach of EOT crane, however, if required motors can
be handled by small mobile handling equipment. Cooling Water
pumps, fans and motors are located outside, mobile equipment or
mobile cranes can be used if handling is so required.
AC and ventilation
Package type ACs (capacities 2 x 15 TR & 1 x 10 TR) are
installed in the power plant control room. For switchgear and
electrical rooms, there is no provision for Air Conditioning. For
cooling of electric drives, fans are installed. It is suggested to
install AC in order to get better service and life from the
equipment.
3-7
WATER SYSTEM
Water source & requirement
As dis cussed in Chapter 2, the source of water inside the
plant is predominantly from a dam and bore wells located inside
plant boundary. Total water storage capacity of four (4) ponds is
3,50,000 cum. From these ponds, the water is pumped to different
consumers. An on-ground RCC tank (150 cum) has been
constructed later. Now, water is stored in this tank from the bore
wells. Water is planned to be pumped to SMS unit from the tank.
None of the pumps are running now as SMS unit has not come in
operation till now.
In view of the above, it can be inferred that the main source

of water depends upon the monsoon only. There is no permanent
water intake source, such as any river. The present system may
meet the requirement of the DR plant and SMS as of now. In order
to run entire plant, a permanent external water source is a must.
To address the above situation, TIL has entered into an

agreement with Government of MP for supply of water (720 Cum of
water daily or 0.26 million Cum water yearly) from Bijjul Nallah.
However, total requirement of water for existing plants, future SMS
expansion, new rolling mill and new twin DR modules seem to be
inadequate from the above facilities (including 720 cum/day). This
requires to be addressed and suitable source to be planned.
Regarding the present agreement, TIL is yet to take civil &

piping drawing approval from Government. This has to be taken up
as urgently as possible.
Water quality
No raw water treatment plant (RWTP) and drinking
water treatment plant is available. The water from ponds and bore
wells is directly used as industrial purpose and drinking
3-8
purpose. It is assumed that since there no water treatment plant,

the available raw water quality meets the quality requirement
for various plant units. For soft water requirement in some units
like caster, same is catered through softening plant already
available.
However, for drinking water, it is recommended to review

once more and be ensured about the quality before its use.
FIRE PROTECTION SYSTEM

Fire hydrant system
There is no fire hydrant network for the entire plant and
individual units. Only at DRI plant, four (4) Nos. small size fire
hydrant pumps and one (1) reservoir have been provided for
protection of some particular zone of the plant.
It is necessary and essential to install fire hydrant system

comprise of dedicated reservoir, fire pumps, hydrant network as
per rules and regulation of TAC in the entire plant and individual
plant units before plant start up. This is also essential to ensure
safety and should not be compromised at any level.
Fire water pumps, pump house, valves, distribution network,

hydrants for various locations of a particular unit are required.
This package requires preparation of scheme, approval of the same,
design & engineering, supply, civil work for the same, erection and
commissioning. In view of the same, immediate action has to be
taken so as to match with start up schedule.
FDA system
There is no FDA system for the plant. Immediate action is
required to install FDA system before start up.
3-9
POWER DISTRIBUTION & PLANT ELECTRICS

Power distribution
The present contract demand is 1.5 MVA for running DR
plant and power plant auxiliaries. The approximate Power demand
considering operation of SMS and plant auxiliaries will be around
16 MW which will be met through 38.5 MW captive power plant
(CPP) and excess power need to be exported to MPPTCL Grid.
However, in order to export excess power, the capacity of the
existing substation viz. isolator, current transformer (CT), vacuum
circuit breaker, 33/10.5 kV, 10 MVA transformer as well as
incoming transmission line from MPPTCL grid need to be
augmented since the present capacity to export power is maximum
5 MW.
Considering the future expansion envisaged, it is advisable

to arrange for a 132 kV line by tapping from the existing 132 kV
line of MPPTCL, which is reported to be within 2 KM from plant
boundary and which will be useful for following reasons:
i) If at any point of time, we have to export more than 5

MW due to shutdown of connected load, when
generating 38.5 MW.
ii) This will be compulsory in Phase II expansion, when

power generation will be around 100 MW.
iii) For EAF option in Phase II expansion, EAF line needs

to be connected to 132 kV MPPTCL grid to compensate
inherent fluctuation during EAF operation.
In order to augment the present capacity of the existing

substation, the MOU with MPPTCL need to be reviewed and new
contract demand is to be finalized with MPPTCL.
3-10
In case of import power from MPPTCL grid during tripping/

breakdown of power plant, the existing infrastructure of the
receiving substation needs to be augmented as explained above.
For future two (2) Nos. induction furnaces and rolling mill,
the total demand (considering existing furnaces in operation) can
also be met with existing CPP and the balance power may be
exported.
Plant electrics
It is observed that the electrical equipment such as power
transformers, HV & LV boards, HV and LV cables, motors etc are
mostly manufactured in the year 2006 and installed in 2007.
However, the HV panels at CPP and electrical equipment at SMS
areas are mostly installed in the year 2012. All these equipment
inside the plant are maintained in good condition and ready for
start up of the plant after testing.
The inter-plant as well as in-plant HV and LV cabling has

been carried out mostly through the indoor/outdoor cable trenches
and in some of the areas, the same are directly buried
underground. The cable trays in the outdoor trenches are found
partly immersed in water and are badly damaged in some areas.
Cables are jumbled up and hanging in those areas. This needs to
be addressed before start-up.
It is also observed that the 415V power for DR Kiln-1 &

Kiln-2 are catered from one (1) common power transformer without
any stand-by arrangement.
There is no arrangement for air-conditioning, ventilation or

fire fighting system found in any of the electrical premises or
rooms. It is recommended that the same will be provided before
start up for smooth functioning of the plant.
3-11
The illumination of the plant are generally found to be

adequate, however light fixtures are missing in some places which
need to be replaced.
Lightning protection system and earthing are generally in

good condition.
STEEL MELT SHOP

Equipment and facilities
Steel melt shop (SMS) equipment was procured in
2011/2012. The major equipment and facilities including
components are all new and from reputed makes and is in order.
Technical features of main equipment are considered to be
technically considered to be in order. Access are provided to
equipment components for IF and caster for smooth maintenance.
Fume extraction system is adopted for the IF fumes as a part

of pollution control system which has standard ducting, ID fan,
bag filter house and stack systems.
Capacity
The plant capacity is envisaged to produce around
97,500 tpy of billets corresponding to 100,000 tpy of liquid steel
under normal production scenario. With efficient operation and
after stabilization and if production enhancement is required, there
is room for improvement with respect to number of heats/day.
Number of cranes and their capacities (1 x 10 T crane in

transformer bay, 2 x 35/10 T ladle handling cranes and 1 x 10/5 T
charging crane for furnace bay and 1 x 15 T magnet crane for
billet handling bay) are considered to be in order for smooth
operation.
3-12
Layout
Steel melt shop layout is adequate and is fit for smooth
operation with four parallel and adjacent aisles for storage &
handling of materials, handling of liquid steel/refractory relining
work named as furnace aisle, casting machine aisle and billet
storage aisle.
The fume extraction is outside the plant adjacent to furnace

aisle with minimum ducting from furnaces. The scale pit is also
outside with minimum length of flume tunnel with facility for
cleaning of scales.
The water circulation system with cooling tower and

emergency tank, HT room, and laboratory building are located
adjacent to storage and material handling aisle, location of which
are suitable.
Caster pump house is congested and shall pose difficulty for

smooth maintenance. There is no monorail-hoist inside the pump
house for taking out any motor out if required for maintenance/
replacement.
No slag disposal area has been considered at present. Slag

off area towards the caster gable end to be constructed.
Structural building
Building structure along with shed/sheeting is new and
found to be good condition. Painting is complete and the shed has
proportionate amount of natural lighting provision. Shop lighting
and crane walkway with its access is available.
Concrete flooring
Concrete flooring inside shop is in order.
3-13
Readiness for plant start up

SMS erection (by M/s Shiva Consultancy) is in advanced
stage. The work was under HOLD owing to Environmental
Clearance (EC). EC is now being obtained as per TIL and hence
erection can commence. It is recommended to settle with Shiva
Consultancy for their commencement of balance erection &
commissioning. However, the following aspects need to be
addressed and obtained from M/S Shiva:
Completeness of supply & installation to be checked

before commencement of balance erection:
Material handling for IF- Since main charge mix for

furnace will be DRI, the storage, handling and feeding to
furnace is required to be completed. Only two (2) storage
bunkers are available in the platform at present with no
weigh hopper, conveying system and vibro-feeders.
Furnace charging has been considered by magnets on
crane. Adoption of conveying and feeding system to
furnace may be relooked upon.
Pig iron as part of charge mix shall also be required to be

stored (preferably in furnace aisle adjacent to furnace
platform towards entry side). Separate enclosure need to
be constructed for storage.
Ferroalloys that need to be charged also have to be

separately stored in an enclosure. A temporary storage
can be done in furnace platform for both pig iron &
ferroalloys
Control room requires to be made for IF operation.

Balance electrical panel, control and tapping pulpit yet to
be commissioned.
Fume collecting hood on crucibles (swivelling type for

each set of furnace) to be installed
Uncooled ducting to be laid connecting to bag house with

installation of duct support structure. Instruments and
control dampers for the duct to be installed.
Bags with control valves and maintenance facility to be

installed.
3-14
ID fan with outlet duct and stack to be installed
Ladle relining facilities with platform, forma, and ladle

stand are to be installed. Necessary platform and stand
for ladle slide gate setting stand and porous plug cleaning
& installation
Ladle refractory lining demolishing stand to be installed.
Ladle vertical drying station to be installed for drying the

newly relined ladles.
Tundish in casting platform is cold board tundish practice

but for close casting in future, SEN heating system
requires to be made available.
Tundish relining stand is not available. Space for

installation of such facility is available.
Outlet steam duct from steam exhaust fan to outside to

be completed.
Temperature and sample taking facilities for IF and caster

to be made available
Liquid steel weighing facility with the help of either crane

or by turret stand may be reviewed for availability.
However, the same is not a prerequisite for
commissioning/operation.
Balance field instruments yet to be fixed.
Balance field instrument cables, control cables and trays

are yet to be fitted.
Pre-commissioning activities/preconditions for cold trials:
Checking up of all supplies (Contractors obligation) and

installation as against order
Alignment of all units/system/structures completed and

availability of dimensional reports with signed protocol to
be ensured
Initial fills to be made available and first fills of drives,

gear boxes and bearings to be completed
Commissioning spares to be kept ready
3-15
Fire protection system to be made ready and

commissioned
Readiness of laboratory
Availability of consumables
Pressure testing, flushing & pickling of media piping
Hydraulic pipelines pressure test, pickling, passivation

and flushing to desired NAS value to be done and report
available
Field devices installed, connected and tested
Signal checks to be done
Earth connection checks done
I/O checks for PLC, MCC, drives, OS, field subsystems
Safe access to all machine parts
Availability of raw materials, media, refractory and power

to be ensured
Manpower & training of personnel to be completed in

advance for commissioning.
Commissioning of water system and substation
Protocols to be made ready after all above activities
Cold trials:
Manual movement of all mechanical components
Drive tests (MCC)
Rotation test (uncoupled and coupled condition)
Singe functional test Level 1 (hardware, PLC)
Single functional test of machine components (with and

without load)
3-16
Combined functional test after completion of single

functional tests
Load test for cranes
All test protocols to be made ready and signed
Hot trials Milestone requirement for start of 1 st heat:
Start of 1 st heat 0.
Start of preheating 1-1.5 days before 1 st heat.
Start of ladle heating 1-2 days before 1 st heat.
Raw materials filling in storage area/or bunkers 1 day

before start of 1 st heat.
Integrated checking of all functions/systems and final

adjustment 2 days prior to 1 st heat.
Relining of ladles 10 days before start of 1st heat.
Other points
Construction to be completed for the approach roads and

road network around SMS.
Despatch logistics of billets requires to be addressed.

Despatch of billets from shop need further review as
weighing system need to be installed, if not envisaged.
ROAD & DRAINAGE SYSTEM

The approach road to plant is available. However, in some
places the roads are damaged and are to be redone with new
bituminous layer. The road leading to DR and power plant is in bad
condition and requires to be fully reconstructed with bituminous
surface as per standard. Steel Melt shop is separated by a wall. 7
m wide road network around shop building need to be constructed.
Approach road to SMS building, product despatch from CCM
building and road network around building need to be constructed
before start up. General house keeping ain and around shop need
further attention.
3-17
Total data of plant drainage is not available and drainage

area to be augmented considering the volume of water collection in
the plant area.
DOCUMENTATION
Documentation appears to be not in proper condition as was
evidenced by walk through study for SMS and Power Plant. There
is no proper Document Management/Archival System and
completeness of the same could not be evidenced. Even, TIL could
not furnish the documents post visit by Consulting Engineers.
The following important drawings/documents are the

minimum essential to be properly archived (latest revision/As-built
version):
Plan layout and section.

Equipment GA and sections.
Power distribution SLDs.
Process electrics SLDs.
Flow schemes for media
Process & instrumentation diagrams
Functional description.
Operational (SOP) & maintenance manuals & training
manuals.
Piping drawings.
Cable engineering drawings with tags.
Operation and maintenance spares list with specification
and drawings for procurement.
Specification and equivalent of initial fills and
consumables.
Data sheet of instruments.
Civil and structural drawings (plan, section)
Overall plant layout.
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4 - VALUATION OF ASSETS
This Chapter presents methodology, basis of valuation and

present value estimation of Trimula Industries Limited at Godwali,
Singrauli, M.P.
PRODUCTION FACILITIES
The major production facilities available including installed
capacities and years of installation are indicated below:
Unit Capacity Commissioning
DR Kiln-1 350 TPD 2007
DR Kiln-2 350 TPD 2011
Captive Power Plant (CPP):
- 2 Nos. WHRB units 12 MW 2012

- AFBC boiler 26.5 MW Erection in advance
Stage of progress
Steel melt shop (SMS):
- Induction furnace 2 x 15T twin

crucible Balance erection is
- Billet caster 1 x 3-strand yet to commence
METHODOLOGY OF VALUATION
The valuation of assets has been made based on replacement
cost approach through the following steps:
- Two DR Kilns, CPPs and SMS have been considered.
- Identification and condition of the assets that were noted

during site visit by Consulting Engineers.
- Information on capacities, make, and year of putting into

use and subsequent refurbishing/replacement were
collected from TIL for the individual asset, as was
available.
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4 Valuation of assets (contd)
- In absence of necessary drawing/documents Consulting

engineers have estimated the civil quantities from layout
and based upon similar installation/capacity.
- Estimation of cost for setting up the similar facilities as

on mid 2014.
- Other liabilities (financial and otherwise) have not been

taken into consideration.
Present cost is estimated through following methodology:
- The present cost for setting up the similar facilities thus

estimated is discounted considering the residual life of
individual asset. The residual life of individual asset has
been arrived based on years of use and the present
condition.
BASIS OF VALUATION
The valuation of various types of assets has been done on the
following basis:
Land
Valuation of land has been made considering the area and
the prevailing price per acre.
Building and structures

Valuation for buildings and structures have been assessed
on the basis of present cost of construction for different types of
buildings and structures as prevailing in the location of plant and
considering their residual lives.
Plant and machinery

The present costs for installation of the existing plant and
machinery have been determined based on information available
with Consulting Engineers. Valuation has been done considering
their residual lives.
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Electrical installations
The valuation of electrical installations consisting of
transformers, switch gear equipment, various drives, controls,
distribution panels, cables, lighting etc has been done based on
prevailing prices of similar items and considering their residual
lives.
Utility installations
The present cost of utility installations consisting of water
system, fuel oil system, compressed air, industrial gases etc. has
been estimated based on available information. Valuation has
been done considering the residual lives.
VALUATION
The assets of TIL have been valued considering various
factors as discussed above. The computation of valuation for TIL
plant is given in Appendix 4-1 and summarised in Table 4-1 on
next page.
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TABLE 4-1 - VALUATION OF ASSETS

(Rs crore)
Replacement Present
Plant Unit Cost Value
DR Plant:
- DR kiln-1 76.2 61.7
- DR kiln-2 71.4 62.7
Power Plant 216.5 209.6
Steel Melt Shop 50.7 50.7
Power Distribution System 7.9 6.8
Common Water System 0.9 0.7
Non-factory building incl. 3.5 3.2
office building, hostel,
security & canteen
Factory building incl. 2.3 2.1

weigh bridge bldg. garage,
repair shop and stores
Office equipment and 2.3 1.8

furniture
Mobile equipment 10.0 6.6

PLANT COST excl Land 441.6 406.0
Land 85.6 85.6
TOTAL 527.2 491.6
Note: Cost for DE & ADC, Preliminary & preoperative expenses,

Interest during construction have been distributed in above items.
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5 FUTURE EXPANSION SCHEMES
This Chapter highlights the schemes for future expansion of

the plant.
EXISTING FACILITY
As also discussed in previous chapters, the existing facilities
are listed as below.
Two (2) Nos. 350 TPD coal based DR plant.

WHRB units (capacity 38 t/hr each)
AFBC boiler (capacity 82 t/hr)
Two (2) Turbo generators (12 MW & 26.5 MW)
Steel melt shop with 15 ton induction furnaces and one
no. 3-strand billet caster.
EXPANSION SCHEMES
The future expansion is envisaged to take place in three (3)
phases:
PHASE-I
Scheme
Expansion of existing steel melt shop with installation of
15 Ton Ladle Furnace.
Installation of 0.2 MTPY Rebar Mill.
Expansions of steel melt shop

The existing steel melt shop shall produce 100,000 tpy of
liquid steel from two (2) numbers of twin crucible induction
furnaces as discussed in previous Chapters.
There is provision in layout to expand the shop by installing

another two (2) numbers of twin crucible induction furnaces and
one ladle furnace. The additional liquid steel of about 100,000 tpy
produced in steel melt shop will also be cast through the existing
3-strand billet caster. A rebar mill of capacity 200,000 tpy shall
also be installed adjacent to the melt shop to process billets
produced from the melt shop.
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5 Future expansion schemes (contd)
Production capability after expansion

With new set of induction furnaces and existing units, the
shop will be capable to produce 200,000 tpy of liquid steel as
below:
Number of induction furnaces .. 4

Total number of heats .. 40
Total Liquid steel, tpy .. 198,000 or
Say, 200,000
NUMBER OF HEATS THAT CAN BE CAST (1)
Billet Sizes .
100 mm sq 160 mm sq

Length of billet/strand, m .. 65.8 38.7
(3-str) (2-str)
Casting speed, m/min .. 2.50 (avg) 1.7 (avg)
Casting time, min .. 26 (avg) 23 (avg)
No. of heats/sequence .. 4 2
Restranding time, min .. 25 25
Total casting time/seq, min .. 129 71
Total No. of sequences/day .. 11.16 20
No. of heats that can be cast .. 44 40( 2)
No. of heats to be made .. 40 40
(2) As per requirement of operation, 3 r d strand shall be operated.
From the above table, it is seen that caster can cast

40 heats/day that will be produced from the furnaces. However,
considering combined availability of logistics, furnaces, caster,
fixed stand for ladle placement at caster and other variables
into account, it will be rational consideration that an average of
32-34 heats/day can be cast through the caster on sustainable
basis. In that case, it is apparent that only one set of additional
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furnace in future may cater to cast 30 heats through caster,

however, for additional production through caster, it is envisaged
that 2 sets of furnaces will be procured. For production
calculation, 40 heats/day have been considered.
Ladle furnace
It is envisaged that one No. 15 tons LF equipped with arc
heating, inert gas stirring and alloy addition facilities to treat the
heats tapped from IF for production of alloy steel. LF shall also act
as buffer facility for caster.
Rebar Mill
Rebar mill is envisaged to be designed for producing 0.2
MTPY of rebars in straight length in the size range of 8 mm to 36
mm dia.
Product-mix
The product mix is indicated below:
8 - 36 mm dia rebar.
Finished product tolerances equivalent to corresponding

DIN standard.
Straight length bars shall be finished in lengths of 6 m to

12 m and shall be made into bundles.
All state of art technological features shall be

incorporated to ensure lowest rejections of the finished
products.
The input material to the mill shall be continuous cast

billets 100/160 mm sq. x 6 m long.
Reheating furnace
The reheating furnace to be installed in the mill shall have a
nominal capacity of 45 tons/hour.
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Mill equipment
The mill configuration envisaged is as follows:
- Billet charging facility
- Pusher type reheating furnace of 45 tons/hr.
- 3Hi semi- continuous mill
- 14 stands in horizontal configuration, out of which 8 Nos.

are intermediate stands and 6 Nos. finishing stands.
- Finish rolling speed of 11 m/s (max.)
- Traversable water boxes for quenching of rebars.
- Cooling bed
- Cold shear
- Bundling stations
- Tying machines for straight bar bundles
- Unloading devices
PHASE-II
Scheme
Option-1
Installation of two Nos. 350 TPD DR plant.

Installation of 60 MW power plant.
Installation of new s teel melt shop with three Nos. 30T
twin crucibles IF and one No. 30 T LF and 1 x 3 strand
billet caster.
Installation of 0.3 MTPY wire rod and rebar mill.
Option-2
Installation of two Nos. 350 TPD DR plant.

Installation of 60 MW power plant.
Installation of new s teel melt shop with one No. 50 T EAF,
one No. 50 T LF and 1 x 3 strand billet caster
Installation of 0.3 MTPY wire rod and rebar mill
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OPTION-1
DR Plant
Two (2) Nos. 350 tpd DR plant will be installed for production
of DRI to be used as a raw material in steel melt shop.
Production capability from new DR plant

With new pair of DR plant, the total production of DRI will be
around 0.21 MTPY.
Number of DR kilns .. 2
Capacity, tons/day .. 350
Average number of operating days .. 300
Total DRI production, tpy .. 210,000
Power plant
The envisaged 60 MW captive power plant will have two (2)
Nos. of waste heat recovery boilers (WHRB) each of 38tph capacity,
one (1) No. Atmospheric Fluidised Bed Combustion (AFBC) boiler
of 160 tph capacity, two (2) Nos. turbogenerator of 30 MW capacity
each and two (2) Nos. Air Cooled Condenser.
Following are the major system envisaged for the power

plant:
Boiler and auxiliaries.
Turbo-generator and auxiliaries.
Air cooled condensing system and auxiliaries.
Fuel storage and handling system.

Ash handling system for bottom ash & fly ash.
Common DM plant, cooling water system for auxiliary

cooling and Fire fighting system
Air conditioning and ventilation system for various

buildings and control rooms.
Common compressed air system for instruments and

general purpose service air of proposed power plant.
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Power generation, distribution and evacuation.
Instrumentation and control system for main plant and

auxiliaries.
Plant telecommunication system.
Other auxiliary facilities such as chemical laboratory,

yard pipe work, common EOT crane in TG building, hoists
in various auxiliary buildings.
Performance indices
The anticipated power generation from the plant, send
out power, coal etc. are furnished below:
PERFORMANCE INDICES OF POWER PLANT
Sl.
No. Description Index
1. Plant capacity, MW .. 2X30
2. Plant rated capacity, million .. 525.6

units/annum
3. Plant load factor, % (2 nd year onwards) .. 90
4. Auxiliary power consumption of power .. 52.56

plant, million units (10% )
5. Annual send out power, million units .. 473.04
6. Annual Indian coal consumption,

million tons ( for AFBC boiler):
- 100 % Indian coal (Grade F) .. 0.372
- 70% Indian coal +30% Dolochar .. 0.394
7. Annual ash generation (total), million ..

tons:
- 100 % Indian coal (Grade F) .. 0.193
- 70% Indian coal +30% Dolochar .. 0.236
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Steel melt shop

A new induction furnace based steelmelt shop can be
installed with 3 x 30 T twin crucibles IF, 1 x 30 T LF and 1 x 3-
strand billet caster.

With new set of induction furnaces, the shop will be capable
to produce around 0.3 MTPY of liquid steel as below:
Number of induction furnaces .. 3

Capacity, tons .. 30
Total Liquid steel, tpy .. 297,000 or
Say, 300,000
Billet Sizes .
100 mm sq 160 mm sq

Length of billet/strand, m .. 131.6 77.3
(3-str) (2-str)
No of heats/sequence .. 4 4
Total No. of sequences/day .. 7.8 7.8
No. of heats that can be cast .. 31 31(2)
NOTE: (1) For referen ce size of 100 mm and 160 mm square

billet.
(2) As per requirement of operation, 3 r d strand shall be
operated.
OPTION-2
The DR and power plant will be the same as described above
under Option-1. Steel melt shop is described below:
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Steelmelt shop
A new electric arc furnace based steelmelt shop can be
installed with 1 x 50T with 45 MVA transformer, 1 x 50T/10MVA
LF and 1 x 3-strand billet caster.

With the EAF, the shop will be capable to produce around
0.32 MTPY of liquid steel as below:
Number of arc furnaces .. 1

Capacity, tons .. 50
Total Liquid steel, tpy .. 320,000
Billet Sizes .
100 mm sq 160 mm sq

Length of cast billets, m .. 658 257.7
Length of billet/strand, m .. 219.3 129
(3-str) (2-str)
No of heats/sequence .. 6 6
Total No. of sequences/day .. 3.8 3.8
No. of heats that can be cast .. 23 23( 2)
(2) As per requirement of operation, 3 rd strand shall be
operated.
Wire rod mill

A single-strand wire rod mill is proposed to be designed for
0.35 mtpy round wire rods and ribbed bars in coil form. However,
the normal production of around 0.285 mtpy of product.
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Continuously cast billets with following specification from

the caster shop will be fed to the mill:
Size, mm sq .. 130/160
Length, mm .. 12000
The finished product will be produced in following sizes:
Sizes:
- Rounds .. 5.5 20 mm
- Rebars .. 6-12 mm
Coil weight (max.) .. 1.5/2 ton
Other features:
Furnace capacity .. 80 tph

No. of stands .. 28-stand fully continuous
Mill yield, % .. 97.5
Max design speed, m/sec .. 100 (max)
Continuous cast (CC) billets from the Steel Melt Shop will
be transferred through roller table of caster bay or by transfer to
storage aisle of mill. The mill will comprise of the following major
facilities:
- Billet charging and discharging equipment
- Walking beam type reheating furnace
- Descaler
- Roughing group
- Intermediate group
- Prefinishing mill
- Shears
- Finishing block
- Water cooling boxes
- Pinch rolls
- Laying head
- Air cooling conveyor
- Reform station
- C-hook conveyor
- Coil compacting and strapping machine
- Weighing scale
- Unloading stations
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PHASE-III
Installation of Iron ore Beneficiation Plant

Installation of 1.2 MTPY Pellet Plant
POWER DISTRIBUTION SYSTEM & PLANT ELECTRICS

Power distribution system
Additional power for the plant expansion especially for
Phase-II & III will be made available from MPPTCL grid by
constructing a new 132 kV outdoor substation. Power demand for
future expansion will mainly be met through the new 60 MW CPP
except EAF and LF which will be fed at 33 kV over 132/33 kV
transformer from the above substation. Existing 33/10.5 kV,
10 MVA transformer will be dismantled and a new 132/10.5 kV,
20 MVA transformer will be installed and this will be connected to
the existing 11 kV CPP switchboard. 132 KV will further be
distributed to 11 kV over a new 132/11kV transformer which will
be connected to the new 60 MW CPP switchboard for feeding
induction furnaces, caster and other auxiliaries.
The excess power will be exported through the above

substation which will be connected to the CPP switchboard.
The Single Line Diagram (SLD) for Phase I and II are enclosed
with this report. Drawing No 11348-97A-000-ELE-0001 indicates
SLD for Phase I and Phase II (Option 2) and Drawing No 11348-
97A-000-ELE-0002 indicates SLD for Phase I and Phase II (Option
1).
Plant electrics
Switchgear room: Separate electrical switch gear room will
be considered to locate the 11kV, 6.6kV switchgears, 415V PCCs,
MCCs, PDBs and LDBs etc. The control room will be provided to
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house various process control panels/electrical control panels/

PLC/DCS cabinets/VFDs etc.
Drive motors: All HT and LT AC motors will be squirrel

cage induction type energy efficient machines and will operate on
3-phase, 50 Hz AC power supply at 6.6kV for HT drives and 415 V
for LT drives.
For drives, which require speed control will be controlled by

AC variable speed (VVVF) drives. VVVF drives will also be used for
the equipment where substantial energy savings are possible.
However, the same will be adopted considering process
requirements.
Motor control centre: Motor control centre/distribution

boards serving auxiliary loads will be grouped and located in the
plant switch gear room/MCC room for operational convenience.
Separate MCC has been proposed for respective packages to
identify the process and facilitate maintenance.
Lighting: All lighting will be of energy efficient type and will

be provided using fluorescent/HPSV/metal halide light sources.
CF lamps will also be used wherever required. Group contactor
control will be provided with manual over ride from remote location
for road lighting and outdoor yard lighting. Lighting distribution
board (LDB)/MCBDBs will be proposed for lighting distribution
and controls.
Cabling: Cable selection for 11, 6.6kV & 415V system will
be 11kV (UE), 6.6kV (UE) and 1100V grade respectively. Power
and control cable will be heavy duty, XLPE/PVC insulated, PVC
sheathed, armoured, aluminium/copper conductors confirming to
relevant IS.
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Earthing and lightning protection: Integrated earthing

and lightning protection systems will be planned. Earthing system
design shall conform to IS: 3043. Suitable GI strips will be laid
from the earth station up to the respective equipment, forming a
closed earth grid. All the equipment earthing will be
interconnected to the above earth grid in accordance with IE Rules.
The lightning protection system will be done as per IS: 2309. The
lightning protection system comprising horizontal/vertical air
terminals, down conductors, test links and interconnections to the
earth grid. Soil resistivity will be assessed by the method of the
resistivity test procedure stipulated in IS:3043.
PLANT MATERIALS FLOWSHEET FOR PHASE-I &

PHASE-II (BOTH OPTIONS)
Materials flowsheet for Phase-I and Phase-II (both Options)
are furnished below in Fig. 5-1 and Fig. 5-2 respectively:
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FIG. 5-1 - MATERIALS FLOWSHEET AFTER PHASE-I AND

PHASE-II (OPTION-1) EXPANSION
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FIG. 5-2 - MATERIALS FLOW SHEET AFTER PHASE-I AND

PHASE-II (OPTION 2) EXPANSION
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PLANT GENERAL LAYOUT

A Conceptual layout of proposed 0.5 MTPY steel plant has
been prepared based upon the following considerations:
Ultimate capacity of 0.5 MTPY will be reached in three

phases with existing and future units and facilities.
The existing facilities are shown as it is (based upon the

layout furnished by TIL, Drawing No PECL/TIL/CL/01 R10.
The expansion area with proposed facilities is shown as

conceived by Consultant in absence of topographical layout
of available land.
Hot charging of billet has been considered in Phase II.
The layout drawing (Drg No. 11348-97A-000-LTL-0001) is

enclosed with this Report.
ORDER OF MAGNITUDE ESTIMATE FOR ADDITIONAL

CAPITAL EXPENSES FOR THE EXISTING PLANT
ALONGWITH PHASE-I & PHASE-II EXPANSION
An approximate investment cost towards equipment &
facilities and their installation in Phase -I & Phase-II (both Options)
is indicated in Appendix 5-1 enclosed with this Report.
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M N DASTUR CO (P) LTD GULF PETROCHEM FZC
APPENDIX 4 - 1 : ASSET VALUATION OF TRIMULA INDUSTRIES LIMITED
Present
Replacement
Year of Total Balance Life condition
Sl. No. Item Sub item Cost, Rs.
installation Life Considered cost, Rs.
Crore
Crore
DR PLANT
DR KILN # 1
1 Day bins for raw materials a) Load control system 2007 2.54 25 18 1.83
b) Weigh feeder
c) Gates & chutes
d) Reversible shuttle conveyor
e) Charging conveyors
f) Necessary dust extraction system
2 Kiln shell complete a) Tyre sections and tyre, 2007 8.52 25 18 6.14
b) Supporting blocks,
c) Holders for thermo couples
d) Furnace feeding system
d) Set of cooling air fans complete with
set of ducts
3 Supporting system and driving system a) Support rollers assembly and thrust 2007 4.49 25 18 3.23
rollers assembly
b) Hydraulic system
c) Protection case for support rollers
d) Gear rim with accessories
e) Set of brakes complete with
accessories
f) Drive assemblies and pillow blocks
g) Discharge system
4 Sealing system 2007 0.67 25 18 0.48
a) Slip rings and set of slip ring sealing
b) Compressed air system
c) Dust extraction system of kiln
d) Dust settling chamber with wet
scrapper trough
5 Heating system a) Set of air fans, air injection tubes 2007 0.82 25 18 0.59
b) Radiation protection tube and air
injection nozzles
c) Central burner system
d) Oil pumping station, oil piping ,
purge air piping
e) Combustion air fan
6 Lubrication system for kiln sealing, gear 2007 0.45 25 18 0.32
rim, pinion along with refill system for
grease tanks
7 Refractory lining of shell and discharge 2007 2.77 8 4 1.38
head complete with refractory bricks,
castables with necessary anchors and
electrodes etc.
8 After burning chamber a) Combustion air fans, duct system 2007 4.19 25 18 3.01
b) Water spray system,
c) Elbow duct, emergency stack
d) Hydraulic unit for emergency stack
e) Duct to waste heat recovery boiler
9 ESP and stack 2007 2.69 25 18 1.94
10 Water pumps, evaporation cooling 2007 0.97 20 13 0.63
Water system
tower, piping system etc.
11 Electrical system Transformers, PCC, MCC, APFC, AC 2007 16.45 25 18 11.84
VFDs, DCS, LT and HT materials,
motors, cable run at klin shell with
support structuresetc.
12 Rotary Cooler a) Cooler feed tubes 2007 2.69 25 18 1.94
b) Cooler shell, tyre
c) Supporting system
d) Sealing system
e) Indirect cooling system with spray
water guard
13 Product conveying system and product a) Conveying system of products 2007 1.94 25 18 1.40
seperation b) Weigh hopper, feeding system
c) Electrics, instrumentation and
controls
d) dust extraction system
e) Single stage magnetic separator
f) Gates & chutes
g) Vibrating screen
- Storage bin
Civil 2007 13.20 30 30 13.20
Structural 2007 13.80 30 30 13.80
SUBTOTAL (DR KILN # 1) 76.18 61.73
DR KILN # 2
1 Charging conveyors and necessary dust 2011 0.37 25 20 0.30
extraction system
2 Kiln shell a) Tyre sections and tyre, 2011 8.52 25 20 6.82
b) Supporting blocks,
c) Holders for thermo couples
d) Furnace feeding system
d) Set of cooling air fans complete with
set of ducts
4-1
Present
Replacement
Crore
Crore
3 Supporting system and driving system a) Support rollers assembly and thrust 2011 4.49 25 20 3.59
rollers assembly
b) Hydraulic system
c) Protection case for support rollers
d) Gear rim with accessories
e) Set of brakes complete with
accessories
f) Drive assemblies and pillow blocks
g) Discharge system
4 Sealing system 2011 0.67 25 20 0.54
a) Slip rings and set of slip ring sealing
b) Compressed air system
c) Dust extraction system of kiln
d) Dust settling chamber with wet
scrapper trough
5 Heating system a) Set of air fans, air injection tubes 2011 0.82 25 20 0.66
b) Radiation protection tube and air
injection nozzles
c) Central burner system
d) Oil pumping station, oil piping ,
purge air piping
e) Combustion air fan
6 Lubrication system for kiln sealing, gear 2011 0.45 25 20 0.36
rim, pinion along with refill system for
grease tanks
7 Refractory lining of shell and discharge 2011 2.77 7 6 2.37
head complete with refractory bricks,
castables with necessary anchors and
electrodes etc.
8 After burning chamber a) Combustion air fans, duct system 2011 4.19 25 20 3.35
b) Water spray system,
c) Elbow duct, emergency stack
d) Hydraulic unit for emergency stack
e) Duct to waste heat recovery boiler
9 ESP 2011 1.64 25 20 1.32
10 Water pumps, evaporation cooling 2011 0.97 20 17 0.83
Water system
tower, piping system etc.
11 Electrical system Transformers, PCC, MCC, APFC, AC 2011 16.45 25 20 13.16
VFDs, DCS, LT and HT materials,
motors, cable run at klin shell with
support structuresetc.
12 Rotary Cooler a) Cooler feed tubes 2011 2.69 25 20 2.15
b) Cooler shell, tyre
c) Supporting system
d) Sealing system
e) Indirect cooling system with spray
water guard
13 Product conveying system and product a) Conveying system of products 2011 0.37 25 20 0.30
seperation building b) Weigh hopper, feeding system
c) Electrics, instrumentation and
controls
d) dust extraction system
e) Single stage magnetic separator
f) Gates & chutes
g) Vibrating screen
- Storage bin
Civil 2011 13.20 30 30 13.20
Structural 2011 13.80 30 30 13.80
SUBTOTAL (DR KILN # 2) 71.40 62.72
TOTAL (DR PLANT) 147.58 124.46
4-2
Present
Replacement
Crore
Crore
POWER PLANT
a) Boiler Under 34.50 25 25 34.50
b) ESP erection
c) ID fan with motor
d) FD fan with motor
1 AFBC Boiler & auxiliaries
e) Fuel feeding system
f) Boiler feed pump
f) Boiler startup system
g) Electrical & instrumentation
2 Fuel handling system for coal & dolochar 2,014 6.90 25 25 6.90
3 Pneumatic ash handling system 2,014 5.75 25 25 5.75
a) Boiler 2,012 27.60 25 25 27.60
b) ESP
4 WHRB Boiler & auxiliaries c) ID fan with motor
d) Dust handling system
e) Electrical & instrumentation
a) Turbine 2,013 41.40 6 5 34.50
b) Air cooled condenser # 1 & its
5 12 MW Turbine (Used)
associated system
c) CEP with motor
a) Turbine Under 92.00 5 5 92.00
b) Air cooled condenser # 1 & its erection
6 26.5 MW Turbine (Used)
associated system
c) CEP with motor
7 DM Plant 2,013 4.66 25 25 4.66
a) Pump house 2,013 0.23 25 25 0.23
8 Auxiliary cooling system
b) Cooling tower
9 Compressed air system 2,013 2.30 25 25 2.30
10 Air conditioning system 2,013 0.23 25 25 0.23
10 EOT Crane 2,013 0.92 25 25 0.92
SUBTOTAL (POWER PLANT) 216.49 209.59
STEEL MELT SHOP

1 Induction furnace 3.28 25 25 3.28
2 Transformer 1.55 25 25 1.55
3 Ladles and bail arm system 0.22 25 25 0.22
4 Ladle slide gate system 0.07 25 25 0.07
5 ladle preheater 0.28 25 25 0.28
6 Continuous casting machine 3.25 25 25 3.25
7 Dummy bar 0.46 25 25 0.46
8 Torch cutting machine 0.45 25 25 0.45
9 Fume treatment plant incl. automation 2.07 25 25 2.07
10 Crane 25 25
35/10 T EOT crane (2 Nos) 3.45 25 25 3.45
10 T EOT crane 0.69 25 25 0.69
10/5 T EOT crane 1.04 25 25 1.04
15 T EOT crane 1.50 25 25 1.50
Magnet for billet handling 0.40 25 25 0.40
Magnet for DRI handling 0.40 25 25 0.40
11 Close loop water cooling system
Pumps
160 m/hr capacity, 80 mwc head 0.29 20 20 0.29
225 m/hr capacity, 40 mwc head, 0.06 20 20 0.06
diesel driven
diesel driven
under
erection
scale pit pump
12 Cooling tower
About 500 m/hr capacity, T 10C, 0.29 20 20 0.29
complete with all respect
13 Plate heat exchanger
Softening plant of about 6 m/hr 0.29 20 20 0.29
14
capacity complete with all respect
DM plant of about 1 m/hr capacity 0.86 20 20 0.86
15
Overhead tank of PVC contruction, 10 0.41 20 20 0.41
16
m/hr capacity
17 Pipe & fittings 0.75 25 25 0.75
18 Valves 0.20 10 10 0.20
4-3
Present
Replacement
Crore
Crore
19 Pollution control equipment 3.17 25 25 3.17
20 Civil 9.20 30 30 9.20
21 Structural 13.80 30 30 13.80
SUBTOTAL (STEEL MELT SHOP) 50.67 50.67
POWER DISTRIBUTION SYSTEM

33 kv outdoor switchyard at receiving 2,007 0.46 35 30 0.39
1
station
2 33/10.5 kv 5 MVA transformer 2,007 0.32 35 30 0.28
3 33/10.5 kv 10 MVA transformer 2,007 0.66 35 30 0.56
4 33 kv indoor AIS at recieving station 2,007 0.23 35 30 0.20
5 33 kv indoor AIS at Power plant building 2,007 1.38 35 30 1.18
6 11 kv indoor AIS at SMS building 2,007 1.38 35 30 1.18
7 6.6 kv indoor AIS at Power plant building 2,007 0.86 35 30 0.74
8 33/3.3 MVA LCSS 2,007 0.92 35 30 0.79
9 10.5/0.4333 MVA trafo 2,007 0.81 35 30 0.69
10 33 kv XLPE cable 2,007 0.14 35 30 0.12
11 11 kv cable 2,007 0.42 35 30 0.36
12 1.1 kv PVC cable 2,007 0.12 35 30 0.10
13 Lighting, powering and DG set 2,007 0.23 35 30 0.20
SUBTOTAL (PDS) 7.91 6.78
COMMON WATER SYSTEM

1 Dam pumps (600 cum/hr, 20 mwc) 2,010 0.14 20 16 0.11
Water storage ponds (total capacity 2,010 20 16
2
3,50,000 cum)
3 Pond pumps (40 cum/hr, 65 mwc) 2,011 0.06 20 17 0.05
4 Bore wells (350 ft deep, 3 HP pump) 2,007 0.05 20 13 0.03
5 RCC on-ground tank (150 cum) 2,009 20 15
6 RCC tank pumps (48 cum/hr, 60 mwc) 2,009 0.03 20 15 0.02
SMS make-up water supply pump (48 2,014 0.05 20 20 0.05
7
cum/hr, 70 mwc)
8 Pipe & fittings 2,010 0.45 25 21 0.38
9 Valves 2,010 0.12 10 6 0.07
0.89 0.71
SUBTOTAL (COMMON WATER SYSTEM)
Non-factory building 2,009 3.45 30 28 3.16
Factory Building 2,010 2.30 30 29 2.19
Office equipment (phones, computer, 2,012 2.30 10 8 1.84

printer)
Mobile equipment 2,010 10.00 10 7 6.60
PLANT COST excl. land 441.59 406.00
Land (342.5 acre freehold) 85.63 85.63
GRANDTOTAL 527.21 491.63
4-4
MM.
. NN.
. DDASTUR
A S TU R &
& COMPANY
APPENDIX 5-1
ORDER OF MAGNITUDE ESTIMATE FOR ADDITIONAL CAPITAL

EXPENSES FOR THE EXISTING PLANT ALONG WITH PHASE I &
PHASE II EXPANSION
Additional capital expenses for the existing plant

Sl. No. Item Description Capacity Cost
(Rs Crore)
A Additional capital expenses for the 52
existing plant
Phase I Expansion
Sl. No. Item Description Capacity Cost
(Rs Crore)
A Steel Melt Shop Ex pansion
A1 2 Nos. Induction Furnace 2 x 15 T 35
(twin crucibles) with fume
Extraction, auxiliaries, shed etc
A2 1 No. Ladle Furnace with 1 x 15 T 5
shop auxiliaries
B Rebar Mill complete 0.2 MTPY 100
C Auxiliaries & Services 20
D Railway Siding 37
E Misc. 3
Total 200
Phase II Expansion (Option 1)

Sl No. Item Description Capacity Cost
(Rs Crore)
A 2 Nos. DR Plant 2 x 350 tpd 150
B 1 No. Captive Power Plant 60 MW 290
C New Steel Melt Shop (SMS 2)
C1 3 Nos. Induction Furnace 3 x 30 T 82
(twin crucibles) with common
5-1
MM.
. NN.
. DDASTUR
A S TU R &
& COMPANY
fume extraction, material

handling, auxiliaries, shed, and
construction etc
C2 1 No. Ladle Furnace with 1 x 30 T 8
shop auxiliaries
C 3 1 x 3 strand Billet Caster 20
D Wire Rod + Rebar Mill complete 0.3 MTPY 550
E Auxiliaries & Services 100
Total 1,200
Phase II Expansion (Option 2)

Sl No. Item Description Capacity Cost
(Rs Crore)
A 2 Nos. DR Plant 2 x 350 tpd 150
B 1 No. Captive Power Plant 60 MW 290
C New Steel Melt Shop (SMS 2)
C1 1 No. Electric Arc Furnace 1 x 50 T 80
common fume extraction,
material handling,
auxiliaries, shed,
and construction etc
C2 1 No. Ladle Furnace with 1 x 50 T 10
shop auxiliaries
C3 1 x 3 strand Billet Caster 20
D Wire Rod + Rebar Mill complete 0.3 MTPY 550
E Auxiliaries & Services 120
Total 1,220
5-2

TIL Due Diligence and Valuation Report by M N Dastur April 2015

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TIL Due Diligence and Valuation Report by M N Dastur April 2015

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DRAFT

DUE DILIGENCE REPORT

M.N. DASTUR & COMPANY (P) LTD

2 - EXISTING FACIL I TIE S & OP ERATION S

Location of the plant .. 2-1

2 - ASSE SSMEN T O F EXISTING FACIL IT IES

Production plan .. 2-19

3 - MAJOR OBSERVATIONS AND AREAS OF CONCERN

3 - MAJ OR OB SERVAT IONS AND AREA S

AC and ven tilation .. 3-7

4 - VAL UATION O F ASS ETS

Productio n fa cilitie s .. 4-1

5 - FUTURE EXPAN SION SC HEM ES

Existing facility .. 5-1

5 - FUTURE EXPAN SION SC HEM ES (Con td )

Ladle furnace .. 5-3

Table 2-1 - Brief overview of plant site .. 2-1

App 4-1 - Asset valuation of Trimula Industries Ltd .. 1-4

Fig. 2-1 - Plant materials flowsheet .. 2-25

Dwg No. 11348-97A-000-LTL-0001 - Conceptual Layout of

The steel melt shop is an Induction Furnace (IF)-Continuous

Due to shortage of input material, production was suspended

STURCTURE OF THE REPORT

2 EXISTING FACILITIES AND OPERATIONS

This Chapter discusses the existing plant & facilities along

LOCATION OF THE PLANT

Brief overview of plant site

TABLE 2-1 - BRIEF OVERVIEW OF PLANT SITE

Name and location of plant Trimula Industries Limited

National highway NH-75 E

MAJOR PLANT CONFIGURATION

1. Present land area is approx 342.5 acres of land as

2. Adequate space is available for storing finished product

3. Time office and security buildings are available at the

4. Hostel facilities for officers and staffs are available within

5. One administrative building and canteen facilities is

7. A railway siding controlled by Indian Railways is

8. There are four ponds at different places of the plant used

9. The plant has good internal network of roads (7 m wide)

Dam inside plant boundary: Main source of water for the

Bore wells: Another source of plant water is three (3)

As per Agreement Copy of supply of water to Industry/Power

RAW MATERIAL AVAILABILITY

The product mix may not be suitable due to low profitability

TIL procures iron ore from Rungta Mining Limited,

Quality of iron ore is in order to produce sponge iron for

The average specific iron ore consumption is 1.525 tons per

The non-coking coal procured from Northern Coalfields

The quality of coal is quite good considering other operating

The average specific coal consumption is 1.09 tons per ton of

The DRI produced from the DR plant has following analysis:

Quality of DRI is better with respect to the materials

Operational data for kilns and coolers are provided below:

Operational data of rotary kilns

i) Dimension of the kiln .. 76 m long with 4.3 m dia

ii) Kiln speed, rpm .. 0.366 to 0.401

iii) Average temperature

- Inlet temperature, C .. Bed894 Gas-1,042

iv) Air profile of the kiln, Nm3 .. 50,900

v) Rated capacity of kiln .. 350 tpd

vi) Capacity achieved .. 375 tpd max. for 1 st kiln

vii) Realistic capacity .. 350 tpd (based on rated

viii) C/Fe ratio .. 0.47

ix) Consumption of LDO for