SMS Demag AG, Germany, has received an order from Ural Steel AG (Uralskaya Stal), Novotroitsk, Russia, to modernize its electric steelmaking plant for long and flat products.

Ural Steel will invest a total of around 300 million US Dollars to modernize the production units at the Novotroitsk location with the intent to increase annual capacity from 0.75 to 2.0 million tonnes of quality steel. Through this comprehensive investment program, Ural Steel intends to move away completely from old methods of steel production and invest in production units that will enable the production of more sophisticated steel grades. The cast steel will then be able to be further processed into high-quality products in the downstream rolling mills.

The order comprises modernization of the steel plant, continuous caster and downstream rolling mill. The first modernization stage was implemented in 2004 with the commissioning of a continuous slab caster, built by SMS Demag, followed by the order for an electric arc furnace, including the process computer, at the beginning of 2005.

SMS Demag’s current scope of supply includes a 120-tonne electric arc furnace equipped with change-vessel technology, dust collection facility, modernization of the existing bin system and engineering for the hot-metal charging equipment. SMS Demag will also supply 120-tonne ladle furnace to extend the secondary metallurgy facilities, as well as a swiveling electrode-arm system, two stationary covers for two independent treatment positions, and the technological equipment.

The supply scope also includes a four-strand continuous bloom caster, which can optionally cast rectangular sections in the dimensions 330 x 470 mm or round sections in diameters between 430 and 600 mm. The continuous caster is equipped with hydraulic resonance oscillation and only one type of stirring coil. This can be utilized for all section sizes to be cast. SMS Demag will supply the complete electrical and automation systems, including Level 2, for these core components.

Concurrently, SMS Demag has received an order to modernize the existing rolling mill 2800 which, in the final extension stage, is designed for an annual production of 1.25 million tonnes/year. The supply program initially comprises new furnaces, a two-high stand, four-high stand, quenching facility and the leveler.

Commissioning will be completed in mid-2007.

Ural Steel produces high-quality tube and pipe grades for the natural-gas and oil industries, bridge construction and heavy mechanical engineering, with 70% of the company’s output concentrated on the Russian market.

SMS Demag AG forms part of the Metallurgical Plant and Rolling Mill Technology Business Area of the SMS group. SMS GmbH is the holding for a group of companies internationally active in plant construction and mechanical engineering relating to the processing of steel, non-ferrous metals and plastics. The group is divided into the Business Areas of Metallurgical Plant and Rolling Mill Technology, Tube, Long Product and Forging Technology and Plastics Technology. In the year 2004 some 9,500 employees worldwide generated a turnover of about EUR 2.20 billion.