boron chemicals pre feasibility summary
TRANSCRIPT
ETI HOLDING INC.
GENERAL MANAGEMENT
PRE-FEASIBILITY REPORT
SUMMARIES
OF
BORON CARBIDE
BORON NITRIDE
FERROBORON
FRIT AND GLAZE
TEXTILE GLASS FIBRE
ZINC BORATE
PLANNING & DATA PROCESSING DEPARTMENT May 2003
ANKARA
CONTENTS PAGE NO
1. BORON CARB DE ..............................................................................................................1
1.1. APPLICATIONS .............................................................................................................1
1.2. PRODUCTION CAPACITY AND MARKET PRICES.................................................2
1.3. PRE-FEAS B L TY OF THE BORON CARB DE PLANT (PROPOSED) ............2
2. BORON NITRIDE ...............................................................................................................5
2.1. HEXAGONAL BORON NITRIDE, h-BN......................................................................5
2.2. CUBIC BORON NITRIDE , c-BN..................................................................................6
2.3. CONSUMPTION.............................................................................................................6
2.4. PRICE ..............................................................................................................................6
2.5. PRE-FEAS B L TY OF THE BORON NITRIDE PLANT (PROPOSED) .................6
3. FERROBORON ...................................................................................................................8
3.1. PROPERTIES AND PRODUCTION TECHNOLOGY OF FERRO BORON ..............8
3.2. APPLICATIONS .............................................................................................................8
3.3. WORLD CONSUMPTION AND PRICES .....................................................................8
3.4. PRODUCERS OVER THE WORLD. .............................................................................9
3.5. FINANCIAL HIGHLIGHTS OF THE PROPOSED NVESTMENT ............................9
4. FRIT AND GLAZE............................................................................................................10
4.1. FRIT PRODUCERS IN EUROPE AND TURKEY......................................................10
4.2. EXECUTIVE SUMMARY TABLE..............................................................................12
5. TEXTILE GLASS FIBERS...............................................................................................13
5.1. APPLICATIONS ...........................................................................................................13
5.2. PRODUCTION CAPACITY AND MARKET PRICES...............................................14
5.3. PRE-FEASIBILITY OF THE TEXTILE GLASS FIBERS PLANT (PROPOSED) ...16
6. ZINC BORATE ..................................................................................................................19
6.1. APPLICATIONS ...........................................................................................................19
6.2. PRODUCTION CAPACITY AND MARKET PRICES...............................................20
6.3. PRE-FEASIBILITY OF THE ZINC BORATE PLANT (PROPOSED).......................22
1.BORON CARB DE
Boron Carbide, with the chemical formula (B4C) , is produced by the reduction of boric acid
with finely divided carbon in an electric furnace at a temperature between 1400-2300 OC .
Alternatively boric oxide may be reduced with carbon and magnesium at temperature between
1400-1800 OC in an atmosphere of hydrogen. Followed by washing with hydrochloric acid to
remove magnesia , and boiling with hydroufluoric acid and nitric acid to achieve purification.
After diamond and c-BN , B4C is the third hardest material known to science. In other words ,
BB4C is the hardest material in terms of quantity available. With the average grain size of 10
the main characteristics of B4C are good electrical conductivity , high melting point of 2450
C , low density (2,52 g/cm ) , high comprehensive strength and chemical inertia . which
enables it to be used in a wide range of industrial applications including mechanical ,
chemical and nuclear uses.
O 3
1.1. APPLICATIONS
Abrasives
Due to its high hardness, boron carbide powder is used as an abrasive in polishing and lapping
applications, and also as a loose abrasive in cutting applications such as water jet cutting. It
can also be used for dressing diamond tools.
Nozzles
The extreme hardness of boron carbide gives it excellent wear and abrasion resistance and as
a consequence it finds application as nozzles for slurry pumping, grit blasting and in water jet
cutters
Nuclear applications
Its ability to absorb neutrons without forming long lived radio-nuclides make the material
attractive as an absorbent for neutron radiation arising in nuclear power plants. Nuclear
applications of boron carbide include shielding, and control rod and shut down pellets.
Ballistic Armour
Boron carbide, in conjunction with other materials also finds use as ballistic armour
(including body or personal armour) where the combination of high hardness, high elastic
modulus, and low density give the material an exceptionally high specific stopping power to
defeat high velocity projectiles.
Other Applications
Other applications include ceramic tooling dies, precision toll parts, evaporating boats for
materials testing and mortars and pestles.
1
1.2. PRODUCTION CAPACITY AND MARKET PRICES
No statistical figures are available on the production levels of B4C. But it would not be wrong
to say according to the available statistics that total annual production is estimated as around
1.000 m.t./year.
Depending on the application area, B4C prices vary between 10-40 $/kg.
Table 1 - Import statistics of B4C (2001)
Country Quantity
(mt)
Value
(1000 US$)
Average prices
($/kg)
Germany 167 2.243 13
France 69 555 8
UK 64 804 12,5
Japan* 317 12.587 40
USA 282 6.870 24
(Source: The economics of boron ,2002 and USGS Minerals yearbook, 2001)
import statistics of Japan includes niobium and tantalium carbides as well.
1.3. PRE-FEAS B L TY OF THE BORON CARB DE PLANT (PROPOSED)
1.3.1. Production process of boron carbide
The production process of B4C is carbothermic reduction of boric oxide in an electric arc
furnace:
2B2O3 + 7C B4C + 6CO (1500 �–2500 0C)
The process is so strongly endothermic. The starting material is an intimate mixture of boric
oxide and petroleum coke. In addition to boron carbide ,large amount of carbon monoxide are
generated.
2
1.3.2. Cost of 1 ton of B4C produced
INPUTS
Consumption
amount
to produce 1 ton
of boron carbide
Unit
Unit cost
Of inputs
(US
Dollar)
Cost amount
of inputs to
produce 1 ton
of Boron
carbide
( $ )
%
Boron oxide 3,0 Ton 2000 6000 33,9
Petroleum coke 1,5 Ton 125 188 1,1
Electricity 9400 Kwh 0,08 752 4,2
Wages 4200 23,7
Depreciation 2574 14,5
Other expenses 4000 22,6
TOTAL 17.714 100,0
3
1.3.3. Financial highlights of the proposed investment
PROJECT NAME Boron Carbide Plant
PROJECT STATUS New Investment
PROJE JUSTIFICATION Export
PRODUCT Boron Carbide ( B4C)
CAPACITY 50 tons/year
Investment with
allowance
Investment without
allowance
ROJECT TOTAL US$ 1.619.000 1.619.000
Fixed Capital Investment 1.594.000 1.594.000
Operating Capital 25.000 25.000
INVESTMENT PERIOD (Year) 3 3
Economic Life (Year) 20 20
INCOME AND EXPENSE STATUS
Annual Sales ($ US) 1,500 Million 1,500 Million
Annual Operating cost ($ US) 399.000 399.000
Annual Net Profit ($ US) 609.000 609.000
ECONOM C ANALYSIS
Internal Rate of Return 30,4 28
Payback period 1,87 a 1,87 a
Net Present Value ($ US) 2,5 Million 2,4 Million
Profit / Cost Rate 1,85 1,85
4
2. BORON NITRIDE
Boron nitride is a refractory compound which has good thermal , electrical , and chemical
properties. There are two crystalline forms of boron nitride which are most extensively used.
2.1. HEXAGONAL BORON NITRIDE, h-BN
Hexagonal form with a graphite-like layered structure, sometimes called �“white graphite�”
,with a theoretical density of 2.27 g/cm3. It is a white, impervious, non-toxic and lubricious
material.
2.1.1. Properties
The unique properties of hexagonal boron nitride can be given as follows;
A theoretical density of 2.27 g/cm3 which is the lowest value of the ceramic materials.
High temperature stability ;h-BN does not display a normal melting behaviour but a
temperature of 2600 0C is given as the melting point. However it lost its stability at 1000 0C under air , at 2200 0C under argon atmosphere and at 2400 0C under nitrogen
atmosphere.
t is chemically inert against wetting by glasses, slags and molten oxides; cryolite and
fused salts; most molten metals including aluminum; and resists against the attack of
mineral acids. Although ,its resistance to moisture is not very good , this problem can be
eliminated by producing BN with the addition of SiO2 and Ca.
An excellent lubricating ability compared with the other solid lubricants; h-BN keeps its
lubricating ability up to 900 0C whereas, molybdenum disulphide burns away at 350 0C
and graphite at 600 0C .
Unlike graphite , h-BN is an electrically non-conducting material which is useful as
insulator at lower temperatures , but the electrical resistivity decreases at higher
temperatures which provides the opprtunity of using hexagonal boron nitride as an
instrinsic semi-conductor at high temperature applications.
Hexagonal boron nitride has good thermal cunductivity, low thermal expansion. These
provides a good thermal shock resistance to the h-BN.
Easy machinability of the dense boron nitride parts .
2.1.2. Aplications
With these unique properties , hexagonal boron nitride has a wide application area in
chemistry , metalurgy, high-temperature technology ,electrotechnics and electrons. h-BN can
be used in powder form , in dense hot pressed form as a constituent additive in metal and
5
ceramic matrix composites. Boron nitride can be used as a powder additive in plastics for
reducing friction , increasing thermal conductivity, decreasing thermal expansion and
increasing use temperatures. Another extensive usage for h-BN powders is in the production
of cubic boron nitride c-BN, which is the second hardest material after diamond as the initial
material.
2.1.3. Production
h-BN is usually produced by the action of nitrogen on borax/carbon mixture at temperatures
of between 1450 oC and 1650 oC . An alternative method is the reaction of boric oxide and
ammonia but this is much less common. Pressure sintering is the most commonly method to
manufacture h-BN products.
2.2. CUBIC BORON NITRIDE , c-BN
Cubic boron nitride is the hardest substance known after diamond . it is prepared by heating
the h-BN to between 1400-1700 0 c under high pressure. Unlike diamond , however, c-BN has
excellent heat resistance ,remaining stable up to 1370 0 C , whereas diamond reverts to
carbon at 815 o C. Due to its excellent thermal conductivity , like diamond , c-BN is used as
cutting tool.
2.3. CONSUMPTION
Annual world consumption of boron nitride is about 1000 tons. This amount makes a total
value of 55 million Dollars.
2.4. PRICE
The price is changing according to the quality and the amount sold. These days refractory
grade boron nitride is sold at a price of nearly 50.000 US $/ton. The prices of the ceramic
quality and high quality boron nitride are between 52.000-66.000 and 200.000-400.000 $/ton
respectively
2.5. PRE-FEAS B L TY OF THE BORON NITRIDE PLANT (PROPOSED)
2.5.1. Production process of Hexagonal boron nitride
Boron oxide and activated charcoal are mixed with acetone, then spherical pellets with a 50
mm diameters are prepared. The pellets are placed into an electrically heated furnace while
nitrogen gas is flowed through at a rate of 0,6 m3/min . After keeping the pellets in the furnace
for two hours at 1500 oC , hexagonal boron nitride ,h(BN), is formed according to the
reaction below.
BB2O3 + 3C + N2 2BN + 3CO (1500 C) 0
6
Boron nitride, containing some unreacted B2O3 and the ash of the activated charcoal is
removed from the furnace and ground with a grinder for the leaching process. Unreacted
boron oxide and ash are removed from the product by 1:1 HCL solution. The leach solution
is stirred for ten minutes then, vacuum filtered and dried ,so a refractory quality (% BN =92-
96) boron nitride has been produced.
2.5.2. General information about the project
A hexagonal boron nitride plant at an annual capacity of 150 tons has been proposed. This
capacity is the 15 % of the world consumption. In order to take larger share from the world
market , the price of the product will be kept relatively lower than the world price. The fixed
investment of the plant is 1.490.000 US Dollars. At the full operating rate , the cost of 1 ton
boron nitride is estimated as 12.666 US $. The main inputs of the cost are boron oxide and
personnel expenses . They are 33,2 % and 28.8 % respectively.
2.5.3. Cost of 1 ton of BN produced
INPUTS
Consumption
amount
to produce 1 ton
of boron carbide
Unit
Unit cost
Of inputs
(US
Dollar)
Cost amount
of inputs to
produce 1 ton
of Boron
carbide
( $ )
%
Boron oxide 2,10 Ton 2000 4200 33,2
Activated Charcoal 0,75 Ton 125 93,8 0,7
Nitrogen gas 448 M3 4,67 2092,2 16,5
Acetone 0,31 Ton 1080 337,8 2,7
Hydrochloric acid 0,98 Ton 154 150,9 1,2
Electricity 3560 Kwh 0,08 284,8 2,2
Wages 3648 28,8
Depreciation 810,3 6,4
Other expenses 1047,6 8,3
TOTAL 12666 100,0
2.5.4. The results of some economic analysis of the project
Net present value .................. : 34.424.540 US $
Break-even point .................. : 10,6 %
Payback period ..................... : 1 year
Internal rate of return............ : 90 %
7
3. FERROBORON
3.1. PROPERTIES AND PRODUCTION TECHNOLOGY OF FERRO BORON
Ferro Boron is an iron-boron alloy containing 10-20 percent of boron by weight. It is a glossy
silky substance. However, if it remains in humid air for long, ferro boron leaves its glossy
silky colour and it is transformed into a dull grey containing red spots.
Ferro boron was first manufactured in 1893 by Henri Moissan in a carbon lined and single
phase electric arc furnace. Today, commercial production is made by two main processes.
These are carbothermic reaction and aluminothermic reaction.
Carbothermic production of ferro boron is conducted in electrical arc furnaces. The raw
materials fed into the arc furnace are boric acid, carbon and iron powder. Aluminothermic
production of ferro boron is conducted in Ladles. The raw materials fed into the ladle are
boric acid, iron ore, aluminium powder and sometimes magnesium powder.
3.2. APPLICATIONS
Ferro boron is used in the manufacture of steel, cast iron, permanent magnets, and amorphous
metals.
More than 50 percent of the ferro boron produced over the world is consumed in steel
industry. For instance, 1715 metric tons of ferro boron was consumed in USA in 1999. Of this
amount, 1224 metric tons was used for steel production.
Boron element is given to the steel by adding ferro boron into molten metal in a ladle.
The existence of very small amounts of boron in the steel increases the hardenability of the
steel and provides precipitation hardening.
Boron is added to the compositions of some stainless steels, micro alloyed and low alloyed
steels, and some carbon steels produced for certain purposes. Boron is added in the rates of
0.0005-0.003 % into some carbon steels, micro alloyed and low alloyed steels.
Ferro boron consumed in the production of Nd-Fe-B permanent magnets accounts for 10 % of
the total world consumption of ferro boron. This insdustry uses about 1000 metric tons of
ferro boron annually.
3.3. WORLD CONSUMPTION AND PRICES
The world consumption of ferro boron was 8563 metric tons in 1998. Of this total, 1885 tons
was consumed in Japan, 1746 tons was consumed in the USA, 1711 tons was consumed in the
European Union 12 countries, 1412 tons was consumed in China, and the remaining was
consumed in other countries. 8
Within Europe, the price of ferro boron originated from Europe was US$ 1800 per metric ton
in July 2002. This price is valid for a lot size of 10 tons. The product contains 17-20 % boron,
0.5 % C, 0.2 % aluminium and 0.5 % silicon.
If it is estimated that the average price over the world is US$ 2300 per ton, the world market
of ferro boron becomes 20 million US Dollars per year.
3.4. PRODUCERS OVER THE WORLD.
Through the literature survey, it has been found out that ferro boron is produced by 28
companies over the world. The capacities of only 8 companies have been found out. Total
capacity of the 8 companies is 29500 m.t. per year.
3.5. FINANCIAL HIGHLIGHTS OF THE PROPOSED NVESTMENT
It is proposed that a ferro boron plant with an annual capacity of 4.000 m.t. should be installed
in Turkey. The amount of the fixed investment is 4 million US$. It is planned that the product
will contain 18 % B, 1.5 % Si, 0.9 % C.
If the cost analysis are based on the current prices of the iputs, then the following financial
results are obtained. (Note that the electricity price is 8 Cent per kwh).
Operating cost becomes 1473 US$/ton at the full operating rate. Electricity accounts
for 40 % of this cost, while boric acid accounts for 34 %. It appears possible that the
ferro boron will be sold in world markets at a price of 1750 US$/metric ton.
Net Present Value of the project is US$ 5.400.000. Internal Rate of Return is 14.5 %, cut off
rate is 39 %, pay back period is 9 years.
If the electricity price is reduced to 6 Cent per kwh, then the financial results become as
following:
Net present value : 9.111.000 US$
Internal Rate of Return : % 19.5
Pay back period : 6 years
Break-even point :%29
9
4. FRIT AND GLAZE
�“Sr�” (glaze) means unknown in Turkish folk language, and also indicates the glass that
covers ceramic with a tiny layer. In technical meaning, glaze is worked at high temperatures,
and is tiny glass layer who protect ceramic material from physical and chemical factors with
an additional aim of adding beauty to external view.
Glaze is combined from soluble and non-soluble materials in water. Since soluble material
gives some problems which can not be controlled on surface of ceramics, it is made glass or
frit with the aim of making it non-soluble. In application, frit is used with either itself or other
non-soluble, assistant materials (colouring agent, floating agent etc.) The composition of frit
is quite variable according to application conditions. Currently, it is stated that excess of
80.000 combinations of frit is existed.
Glaze includes colouring agents in frits and is used in ceramic tiles, tableware and
sanitaryware.
Frit is a glass by requirement of its properties and the problems existing in the glass industry
can be seen in this sector. With this reason frit requires a different specialization in both glass
and ceramic sectors.
Frit is an imprtant cost factor in the production of ceramic tile materials but in quality, in
development of new products and in harmony with technology, its functions is more than its
cost.
4.1. FRIT PRODUCERS IN EUROPE AND TURKEY
In Europe, especially in Italy and Spain who are in the leader position of the ceramic industry,
the sector is closely appraised with a professional manner and after 1940s, the companies
which were specialized in frit, glaze and paint were grown. These firms, with the power of its
experts, not only produced different type of frits wanted by customers and, in parallel,
ceramic paints and other special products but also made research in name of them, developed
new products, designed, consequently came into a strategic position that governs the whole
market.
In figures of 1998, Spain leads, in frit production, with an income of 542 million USD, and
Italy takes second place with an income of 490 million USD. If the fact that, between 1998
and 2000, the production of ceramic layer material is increased 8.6 % in taly and 10.1 % in
Spain, is considered, the total income mentioned above will be, with an assumption of the rate
of %9, 1.12 billion USD.
10
The situation is very different in Turkey. In our country the beginning of ceramic covering
material dates back to 1957 with Çanakkale Seramik Fabrikalar. Earlier, the investments
which were self sufficient as in many areas had been made to the location close to raw
materials�’ place. (Çan, Sö üt, Bilecik, Eski ehir, Kütahya, U ak)
Generally, ceramic covering materials consist of 80 �– 90 % of the ceramic sector. The frit
which is used for ceramic covering material is ceramic frit. According to the information
obtained, the most produced frit is also ceramic frit.
Turkey Ceramic and enamel frit capacity
Ceramic Frit ................... 203.000 Ton/year.
Enamel Frit ...................... 25.000 Ton/year
Total ................................ : 228.000 Ton/year
Source : Serham
But the capacity utilization rate is low.
In Turkey, of the production of ceramic covering material, 53 % is ceramic ground tiles, 42
% is ceramic wall tiles and 5 % is granite. (Source DPT)
In Turkey, according to Year 2001 figures, approximately 100.000 ton of ceramic frit
is produced. Existing ceramic frit capacity is 203.000 ton/ year. Obviously, there is an excess
capacity in the sector. But the quality problems are still pertaining, the need for the quality
production is existed. With this reason, taking a sample capacity, we, undersigned, prepared a
pre-feasibility report.
11
4.2. EXECUTIVE SUMMARY TABLE
PROJECT NAME Frit and Glaze Plant
PROJECT TYPE New Investment
PROJECT AIM Export and production of high quality product
PRODUCT Frit and Glaze
CAPACITY 60.000 tons/year (51.000 tons/year Frit+10.000
tons/year Glaze)
Investment With
Incentive(Allowance)
Investment Without
Incentive(Allowance)
TOTAL INVESTMENT COST (US$) 19,288 million US $ 19,288 million US $
Fixed Capital Investment (US $) 17,996 million US $ 17,996 million US $
Working Capital (US $) 1,292 million US $ 1,292 million US $
Investment Period 3 years 3 years
ECONOMIC LIFE (Year) 20 years 20 years
CASH FLOW
Annual Reveneus (US $) 33,000 million US $ 33,000 million US $
Annual Expenses (US $) 25,785 million US $ 25,785 million US $
Annual Gross Profit(US $) 8,688 million US $ 8,688 million US $
Annual Net Profit (US $) 3,740 million US $ 3,740 million US $
INVESTMENT ANALYSIS
Internal Rate of Return 14,4 13,2
Payback Period 3,69 years 3,69 years
Net Present Value (US $) 6,4 million US $ 4,7 million US $
Profit/Cost rate 1,27 1,27
Annual Foreign Currency Income
(US $)
33 million US $ 33 million US $
12
5. TEXTILE GLASS FIBERS
Glass fibers that can be processed by conventional techniques such as weaving are called
textile glass fibers. Glass fibers are formed continuously from a melt in special fiber-forming
furnaces.
Different glass formulations can be used in production of textile glass fibers. But the most
widely used is E-glass since its use minimizes the number of strand breaks that occur during
manufacturing process. E-glass fibers are encountered in all areas of industry and everyday
life, especially in combination with plastics. E-glass is an alumina-borosilicate glass with a
mass fraction of alkali lower than 2%. The addition of boron to this glass, either as colemanite
or boric acid, promotes ease of melting. B2O3 content of E-glass varies between 5 and 10%.
E-glass resists moisture and results in products with excellent electrical properties.
Textile glass fibers are distinguished by particularly high tensile- and impact- strength, light
weight, high resistance to chemical attack and low cost. Measurements on filaments drawn
directly from the bushing yield values of 3400 MPa for E-glass. The modulus of elasticity is
1/3 that of steel and quite adequate for many applications. The density is 2,6 g/cm3, which is
high compared to plastics. Textile glass fibers have a good resistance to weathering and heat,
non-flammability, good dielectric properties, low thermal expansion, and, depending on the
type of textile glass, good resistance to corrosion. The properties of textile glass fibers, to a
great extend, determine the properties of the composites.
5.1. APPLICATIONS
One of the most important applications of textile glass fibers is reinforced plastics, especially
in reinforced thermosetting polyester resins.
Textile glass fibers have a wide range of application areas. Glass fibers are used both for
textile purposes, e.g. decoration, insulation as well as for reinforcement of a matrix to form a
composite. Matrices can be plastic (both thermosetting and thermoplastic), rubber, cement,
gypsum and other materials.
The most important consumption sectors for the textile glass fibers are automotive and
transport sectors. Glass fiber reinforced thermosetting resins are used in passenger cars
primarily for body parts (hoods, tail gates) and for structural elements (bumpers, bumper
supports). Glass fiber reinforced thermoplastics are used for operating parts within the engine
compartments, noise suppressors below the engine, hubcaps.
13
Electronic industry is the second most important consumption sector for the textile glass
fibers. In electronic industry, glass fibers are used in circuit boards and for insulation
purposes.
The following other applications are also of importance:
Thermal insulation and heat protection (an asbestos replacement) with woven glass fabrics
of glass filaments and glass staple fiber yarns for primary insulation jackets, heat shielding
curtains, fire blankets, pipe insulation.
Wall covering of staple fiber yarns.
Plaster reinforcement of textile glass mesh fabrics and textile glass nonwovens.
Reinforcement of grinding wheels with woven glass fabrics.
Filter materials for high temperature filtration with woven fabrics and nonwovens.
Decorative fabrics of textures glass filament yarns and glass staple fiber yarn.
Cable insulation and reinforcement with textile glass yarns.
Reinforcement of adhesive tapes with textile glass yarns.
5.2. PRODUCTION CAPACITY AND MARKET PRICES
5.2.1. Production and Consumption in Turkey
Textile glass fibers are produced by only Cam Elyaf Sanayii A. . in Turkey. Cam Elyaf Sanayii
A. . is a subsidiary of i e Cam Group and the plant is located in Çayrova, Gebze. Since
production has started in 1976 Cam Elyaf has continually increased its capacity and grown to
66.000 ton/year in 2003.
The consumption of textile glass fibers in Turkey was around 9000 ton/year in the late 1990s.
5.2.2. World Production and Consumption Figures
World textile glass fiber consumption by year and countries between 1998-2000 varied as below:
(Thousand Ton)
1988 1995 2000*
North America 724 914 1162
Latin America 57 105 114
Asia-Pacific 319 505 790
Wetern Europe 500 505 619
Middle East, Eastern Europe and
Other Countries
190 143 181
World Total 1.790 2.172 2.866* Estimated
14
Textile glass fiber production of Europe, Japan and USA between 1985 and 1997 is given in
the following table: (Thousand Ton)
Years Europe Japan USA*
1985 276 - 2.201 (792)
1986 286 - 2.330 (839)
1987 296 - 2.282 (822)
1988 320 - 2.344 (844)
1989 350 - 2.346 (845)
1990 373 403 2.350 (846)
1991 327 421 2.340 (842)
1992 341 388 -
1993 371 394 -
1994 466 - -
1995 488 - -
1996 487 - 2.495 (898)
1997e 490 - 2.500 (900) * USA figerus include insulation and textile grade glass fibers. The figures in parenthesis are for textile glass
fibers.
Source: Roskill Boron Report �“The Economics of Boron�”, 9th Edition, June 1999.
5.2.3. Producers:
Textile glass fibers are produced by many companies in the world. The most important
producers throughout the world are: Owens Corning Fibreglass (OCF), Saint Gobain,
Pittsburgh Phate Glass (PPG), Certain Teed and Manville.
Some of the textile glass fiber producer companies and their plant location are given in the
below table (in alphabetical order):
Ahlström Glassfiber OY Finland
Asahi Fiberglass Japan
Bayer AG Germany
Certain Teed Corp. USA
Fiberglass Ltd. England
Fiber Glass Ind. Inc. USA
Glasseidenwerk Oschatz Germany
Glaswerk Schuller GmbH Germany
15
Hankuk Glass Ind. Inc. South Korea
Manville Corp. USA
Nippon Electric Japan
Nippon Glassfiber Japan
Nitto Boseki Japan
Owens Corning 21 plants in different countries
Pittsburgh-Corning Corp. USA
PPG 7 plants in different countries
Saint Gobain 10 plants in different countries
Superior Glass Fiber USA
Vetrotex 12 plants in different countries
Vitrofil Italy
Scandinavian Glassfiber Sweden
Silenka Holland
5.2.4.Textile Glass Fiber Prices:
Textile glass fiber prices change according to the product type. Some of the prices of the products
are as follow:
Product Prices (US$/Ton)
Mat 1.950
Chopped Strands 1.350
Roving 1.300
Woven Roving 1.750
Yarn 1.700
5.3. PRE-FEASIBILITY OF THE TEXTILE GLASS FIBERS PLANT (PROPOSED)
5.3.1. Production process of textile glass fibers
Glass fibers are produced from the traditional raw materials required to make glass such as
silica, colemanite, aluminium oxide, lime, magnesium oxide.
Raw materials are crushed very fine and mixed to produce a homogeneous mixture, then
introduced into a melting furnace, where it passes progressively to the liquid state. The
furnace temperature is approximately 1550°C.
The molten glass is fed to platinium and rhodium alloy bushing which are heated electrically
to 1250°C controlled within the 0,5°C. The glass flow by gravity through bushing with
several hundred holes from 1 to 2 mm in diameter. A winding device pulls the fibers with
16
high speed to produce filaments (50-70 m/sn) from 9 to 20 microns in diameter depending on
subsequent applications and winds a bundle of fibres called a strand on to a forming spincake.
Whilst the glass type is always the same, forming conditions may be varied to obtain different
fiber diameter and number of filaments per strand, resulting in strands with different linear
density.
5.3.2. Project Characteristics
Project Capacity: 30.000 ton fiber glass/year
Products: Mat (6.000 ton/year), Chopped Strands (4.000ton/year),
Roving (11.000 ton/year), Woven Roving (6.000 ton/year)
and Yarn (3.000 ton/year)
Investment Period: 2 Years (2004-2005)
Project Life: 17 Years (2006-2022)
5.3.3. Cost of 1 ton of textile glass fiber:
INPUTS
Consumption
for one ton of
glass fiber
Unit
Unit cost
Of inputs
(US Dollar)
Cost for 1 ton of
glass fiber
(US$ )
%
Kaolin 0,6 Ton 110 66 6,23
Silica 0,33 Ton 80 26,7 2,52
Lime 0,063 Ton 40 2,53 0,24
Colemanite 0,23 Ton 375 87,5 8,25
Fluorite 0,033 Ton 220 7,33 0,69
Sodium Sulfate 0,007 Ton 100 0,70 0,007
Secondary materials
(Chemicals) 100 9,43
Pt-Ph Alloy 48,74 4,60
Electricity 1120 Kwh 0,0914 102,4 9,66
Fuel Oil 0,6 Ton 385 39,6 3,74
Natural Gas 200 Nm3 0,198 231 21,79
Wages 47,33 4,47
Depreciation 185,6 17,51
Other expenses 114,85 10,83
TOTAL 1.060
100,0
17
KEY FINANCIAL PARAMETERS
(at 100% Capacity)
FINANCIAL ANALYSIS-I
Ground raw materials will be purchased.
No investment discount applied.
FINANCIAL ANALYSIS-II
Grinding plant will be established.
No investment discount applied.
Fixed Investment Cost (US$) 62.222.967 66.438.486
Total Investment Cost (US$) 77.308.349 81.041.153
Net Present Value (US$) 17.815.281 23.810.318
Cost/Benefit Ratio 1,206 1,266
Internal Rate of Return (IRR) (%) %12,81 %13,59
Break Even Point %38,80 (11.648 Ton) %38,60 (11.594 Ton)
Payback Period (Year) 5,67 Years 5,52 Years
18
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6. ZINC BORATE
Zinc borate with a chemical formula of 2ZnO.3B2O3 .3,5 H2O is produced by mixing boric acid or
borax with an inorganic zinc compound in the presence of zinc borate seed crystals and in the
presence of an aqueous medium above 70°C.
Zinc borate is typically composed of 48,05 % B2O3, 37,45% ZnO and 14,50% water of hydration.
Zinc borate has a wide range of applications in plastic and rubber industry as a fire retardant
material because it retains its water of hydration at temperatures as high as 290-300°C which
enables zinc borate to be used in systems requiring high processing temperatures. In addition, it has
a similar refractive index to most polymers, which results in retention of considerable translucency.
It is a very effective smoke suppressant and reduces smoke emission drastically relative to the other
fire retardants such as Sb2O3. Zinc borate can also be fed to extruders or injection molding
equipment in much the same way as other solid polymer additives. Besides these advantages, zinc
borate is a low cost fire retardant synergist.
Zinc borate has a very low solubility in water (0,28% at room temperature). It has a refractive index
of 1,58, specific gravity of 2,77 and it is thermally stable up to 290°C. Zinc borate can be
hydrolyzed by strong acids and basis.
6.1. APPLICATIONS
Zinc borate is mainly used as a flame retardant, smoke and afterglow suppressant, anti-tracking
agent and corrosion inhibitor in polymer systems such as polyvinyly chloride, nylon, polyethylene
and rubbers. Some of the application areas of zinc borate as flame retardant are; plastic and rubber,
wire and cables, fire retarding-paints, coated fabrics, electrical/electronic components, carpeting,
coatings, automobile/aircraft interiors and paper products.
Zinc borate can be used as multi-functional synergistic additives with other flame retardant
chemicals, including antimony trioxide, magnesium hydroxide, alumina trihydrate and some
brominated flame retardants. Zinc borate can also be used in halogen containing systems and
halogen free systems in combination with Al(OH)3 and Mg(OH)2. In these systems, zinc borate
slows the degradation of the polymer by creating a vitreous protective residual layer which could
act as a physical barrier for further combustion. In addition, zinc borate increases flame resistance
20
and retards heat built up during combustion due to its higher number of hydrated water molecules
which is released at high temperatures and cools the surface better by diffusing and absorbing a
greater amount of heat.
Other applications of zinc borates are usually correlated with general borate functionalities such as
anti-corrosion, infrared absorbtion, biostatic and fluxing properties. In addition zinc borate is also
used as a fungicide.
6.2. PRODUCTION CAPACITY AND MARKET PRICES
6.2.1. Producers
Some of the zinc borate producers throughout the world is given in the following Table with their
capacities.
Country Producer Company Plant Location Capacity
(Ton/Year)
Hainan Zhongxin Chemical Haiko 1.000
Shanghai Jinghua Chemical Wujing. -
Wuxi Daxhong Chemical - -
China
Zhenjiang Sulphuric Acid Plant Zhenjiang City 1.000
India C-Tech Mumbai -
Norway Waardels Skalevik -
Anzon Laredo - USA
US Borax Wilmington 12.000
Source: The economics of boron ,2002.
In addition to these companies AllChem Industries, Inc., Product 2000, CharlottE Inc. and William
Joung And Co. also produce zinc borate.
21
6.2.2. Market:
The main markets for flame retardants are the USA and Western Europe. It was estimated that
the global market for flame retardants in 1998 varied as below:
North America %45
Western Europe %32
Japan %13
Other Asian Countries%8
Other Countries %2
Flame retardant market by type in USA and Western Europe in 1998 was distributed as below
(% by volume):
Flame Retardant USA Western Europe
Al(OH)3 39 47
Brominated Compounds 27 13
Phosphorus 12 23
Chlorinated Compounds 11 3
Antimony Oxides 8 7
Mg(OH)2 1 2
Others* 2 5
* Zinc borate and boron compounds used as flame retardant are included in the others.
The use of zinc borate in plastics as flame retardant is growing. Therefore, US Borax increased
its capacity from 4.500 ton/year to 9.000 ton/year in 1996 and to 12.000 ton/year in 1998.
US Borax expended 3 Million US$ in 1996 for the capacity increase. It is estimated that an
investment of around 16-20 Million US$ was made for the second capacity expansion.
It is estimated that the world zinc borate market has an annual growth of 12-15%.
6.2.3. Zinc Borate Prices:
Zinc borate prices between 1980 and 2001 in USA varied as below:
Years Price (US$/ton)
1980 1100
1988 1700-1840
1992 2420
1998 2180
2001 2340
Although zinc borate prices was around 2.300 US$/ton in USA in 2001, lower prices of 1250-
1470 US$/ton were also exist in the market.
6.3. PRE-FEASIBILITY OF THE ZINC BORATE PLANT (PROPOSED)
6.3.1. Production Process of Zinc Borate
Zinc oxide (ZnO), boric acid (H3BO3) and zinc borate (2ZnO.3B2O3.3,5H2O) seed crystals are used
in zinc borate production. After preparing a boric acid solution at 95-98°C, zinc oxide and seed
crystals are added into the hot solution in certain amounts. The obtained mixture are agitated in
reactor for a certain period of time at constant temperature to form the zinc borate with the formula
of 2ZnO.3B2O3.3,5H2O. The solid formed after reaction is filtered and separated from the weak
boric acid solution. The solid is washed with water to remove boric acid remained in the solid and
dried in a dryer. The weak boric acid solution is returned back to the beginning of the process.
The formation reaction of zinc borate from boric acid and ZnO is as follow:
2 ZnO + 6 H3BO3 + 0,5 H2O 2ZnO.3B2O3.3,5H2O + 6 H2O
6.3.2. Project Characteristics
Project Capacity: 10.000 ton zinc borate/year.
Product: Zinc borate powder with a chemical formula of 2ZnO.3B2O3.3,5H2O.
Investment Period: 1 Year (2004).
Project Life: 17 Years (2005-2021).
22
23
6.3.3. Cost of 1 ton of zinc borate (2ZnO.3B2O3.3,5H2O):
INPUTS
Consumption for
one ton of zinc
borate
Unit
Unit cost
Of inputs
(US Dollar)
Cost for 1 ton of
zinc borate
( $ )
%
Boric Acid 1,1 Ton 385 423.5 39,4
Zinc Oxide 0,4 Ton 1000 400 37,22
Electricity 150 Kwh 0,0954 14,31 1,33
Fuel Oil 0,20 Ton 401 80,2 7,46
Wages 80 7,44
Depreciation 35,4 3,29
Other expenses 41,2 3,83
TOTAL 1.074,61 100,0
KEY FINANCIAL PARAMETERS
(at 100% capacity)
FINANCIAL ANALYSIS
Technical grade boric acid and zinc oxide
will be used.
No investment discount applied.
Fixed Investment Cost (US$) 3.645.518
Total Investment Cost (US$) 5.325.172
Net Present Value (US$) 24.806.335
Cost/Benefit Ratio 7.320
Internal Rate of Return (IRR) (%) %58,39
Break Even Point %17,36 (1.736 Ton)
Payback Period (Year) 2,04