boss daily times - tuwairqi.com.pktuwairqi.com.pk/new/media/print-interview/interview-zar.pdf ·...

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aigham Adil Rizvi is a figure well known and respected in the industrial and corporate sectors of Pakistan and is among distinguished personalities in the engineering community. He is currently working as Director (Projects) of Tuwairqi Steel Mills Limited and Director of TIEPCO, both subsidiaries of Al Tuwairqi Holding. He has worked for various top-notch public and private sector organizations, both in Pakistan and abroad. Moonis Ahmad: Tell us about your educational background. Zaigham Adil Rizvi: I did my master's in Electrical Engineering. I also have a master's degree in Economics and in Computer Engineering. MA: How long have you been associated with TSML? ZAR: I have been serving TSML since the launching of the project. Currently I am working as Director (Projects) of TSML and Director of TIEPCO, both being subsidiaries of Al Tuwairqi Holding. I am a down-to-earth vibrant person and have a firm belief in value system, which makes me stand firmly against every odd, both in my personal and professional life. MA: What do you like the most about your job? Do you feel satisfied with your achievements? ZAR: The thing I like most about my job is that this is a big challenge for me and we at TSML are trying to explore potential in the field of steel in Pakistan. I am very much satisfied with the progress we have made, as the cold commissioning of the project's first phase has been done. About 95 percent work of the first phase has been completed. Its hot commissioning will be done in July 2010. MA: How do you foresee the future of this sector in Pakistan? ZAR: Well, there is a great potential in the steel sector in Pakistan and the dire need is to explore it. According to statistics for 2009, the world crude steel production stood at 1.2 billion tonnes, wherein Pakistan's share is merely about 0.24 percent. This speaks volumes of a huge potential of investment and growth opportunity in the steel sector of Pakistan. MA: Do you believe in grooming your staff? ZAR: I firmly believe in grooming my staff. We have an outstanding team of multidisciplinary engineers, whose cumulative experience can benefit external clients in the industrial sectors in Pakistan and UAE. Most of our staff is young and energetic. Our marketing team is vigorously engaged in making people aware of the benefits of Direct Reduced Iron (DRI) across Pakistan, and as a result of the efforts made so far, some reputable names in the iron and steel industry of Pakistan have shown interest in signing business contracts with TSML. MA: What are the highlights of your projects? ZAR: TSML is the country's first private-sector integrated environment-friendly steel manufacturing project of Al Tuwairqi Holding, Kingdom of Saudi Arabia. Its complex spreads over an area of 220 acres at Bin Qasim, Karachi, and employs the world's most advanced DRI (Direct Reduction of Iron) technology based on the MIDREX process, owned by Kobe Steel of Japan. In the 1st phase, a 1.28 million tonne per year MTPY DRI plant is about to complete at a cost of $245 million (excluding working capital). In the 2nd phase, as forward integration, for the production of 1.28 MTPY billets, an electric arc furnace will be set up with an investment of $380 million and the technology might come from Germany. As backward integration, pelletization technology from China will be used with an investment of around $300 million. MA: What benefits will this project bring to the economy of Pakistan? ZAR: Being a base for the engineering and construction industry, TSML will not only be a source of transfer of the latest technology of quality steel making, it will also be helpful in giving impetus to the industrial progress in Pakistan. It will open up new avenues of investment in similar plants besides giving a boost to the downstream industries of the country. In the context of human resource develop- ment, TSML will create around 1,000 direct and about 3,500 indirect job opportunities. It strongly believes that Pakistan has a great human resource potential, and intends to exploit it effectively. Pakistan is among those countries that rely mostly on imports, when it comes to heavy mechanical structures and engineering goods. By producing high- quality steel within Pakistan, we can manufacture such equipment locally by value addition, with the help of downstream industries. MA: What is Direct Reduced Iron (DRI) and what is its demand in Pakistan? ZAR: DRI is one of the most preferred raw materials for quality steel making, globally. According to the latest statistics, DRI production, worldwide, has increased from 84.6 million tonnes in 2000, to over 132.9 million tonnes in 2008. There is a consistent growth in the production of DRI over the years, owing to environment-friendly production processes and consistent quality of the product. Foundries and melt shops in Pakistan have not yet fully realized the benefit of using DRI. Actually, DRI contains around 94 percent iron with very little impurities, which are removable. As compared with the conventional steel making processes, using DRI gives a very good control over composition of various types of steels, and seemingly DRI is steel's most versatile form. We have recently signed agreements with some Indian and Malaysian companies for selling our DRI to them. MA: What is the current status of steel production and per capita steel consumption in Pakistan? ZAR: The annual demand for steel in Pakistan stands at approximately 8.4 million tonnes, while the current steel production is about 4.9 million tonnes per annum. TSML will be playing a pivotal role in bridging the gap between demand and supply of steel in Pakistan. The per capita consumption of steel in United States is around 394 kg and for an emerging country like China, it is 338 kg. The average per capita consumption of the entire world stands at around 175 kg. In comparison, Pakistan has a per capita consumption of steel of only around 38 kg. If we consider a very modest increase in per capita steel consumption (say about 100 kg) in the next 10 years, the steel requirement would be 20 million tonnes per annum for a population of around 200 million by the year 2020. MA: What makes DRI environment-friendly? ZAR: The MIDREX process uses clean raw material to produce DRI without melting, unlike blast furnace (BF) / BOF based steel plants, which face problems of emission of heavy metal and toxic chemicals. We adhere toNational Environment Quality Standards (NEQS) and conduct audits of its Environment Management System periodically. We are committed to achieve highest environmental standards. In addition, TSML will continue to study various options to recycle/reuse its production waste in the second and third phase of the project as well. I am glad to inform you that the Environmental Protection Agency (EPA), Government of Sindh, has approved the Environmental Impact Assessment study of TSML and granted us NoC. MA: Tell us about the engineering company working under the umbrella of TSML? ZAR: We have launched Tuwairqi Steel Mills Limited Engineering (TSMLE) to offer services in Engineering, Procurement and Construction (EPC) market in Pakistan and the Middle East. TSMLE has evolved from our in-house teams of Technology Centre (design, fabrication and CMD). It undertook over 50 percent of the fabrication works for our DRI project. TSMLE has also signed a contract for technical collaboration with SPECO Limited, one of the top five engineering and fabrication companies of South Korea. Under this collaboration, SPECO will provide its expertise in material handling, dust collection, wind mill manufacturing and so on, while TSML will provide its fabrication facilities and engineering manpower to execute jobs. This partnership will also help transfer cutting-edge technologies to Pakistan. MA: What are the activities going on at TSML? ZAR: We have recently signed an agreement with KESC to provide 14MW of electricity to the power utility. This initiative of contributing electricity to KESC's network is in line with the vision of Al Tuwairqi's management in Saudi Arabia to help meet the growing demand for energy in Pakistan. We are also exploring alternative modes of electricity generation like wind and solar resources. Of late we have also kicked off the cold commissioning of our Plant's Distributed Control System (DCS). The cold commissioning will be completed in about two months, followed by the hot commissioning of 1.28 million tonnes DRI Plant. Your Right to Know DAILYTIMES.COM.PK Sunday, May 2, 2010 Daily Times By producing high- quality steel within Pakistan, we can manufacture such equipment locally by value addition, with the help of downstream industries Z Making Pakistan steel-strong Moonis Ahmed is Daily Times’ Business Reporter PHOTOS BY LIAQUATULLAH KHAN We have an outstanding team of multidisciplinary engineers, whose cumulative experience can benefit external clients in the industrial sectors in Pakistan and UAE. Most of our staff is young and energetic INTERVIEW Al-Tuwairqi’s 1.28 MTPY DRI Plant BOSS

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Page 1: BOSS Daily Times - tuwairqi.com.pktuwairqi.com.pk/new/media/print-interview/Interview-ZAR.pdf · Governmen t of Sindh, has approved the Environmental Impact Assessment study of TSML

aigham Adil Rizvi isa �gure well knownand respected in theindustrial and

corporate sectors of Pakistanand is among distinguishedpersonalities in the engineeringcommunity. He is currentlyworking as Director (Projects)of Tuwairqi Steel Mills Limitedand Director of TIEPCO, bothsubsidiaries of Al TuwairqiHolding. He has worked forvarious top-notch public andprivate sector organizations,both in Pakistan and abroad.

Moonis Ahmad: Tell usabout your educationalbackground.Zaigham Adil Rizvi: Idid my master's in ElectricalEngineering. I also have amaster's degree inEconomics and in ComputerEngineering.

MA: How long haveyou been associatedwith TSML? ZAR: I have been servingTSML since the launchingof the project. Currently Iam working as Director(Projects) of TSML andDirector of TIEPCO, bothbeing subsidiaries of AlTuwairqi Holding. I am adown-to-earth vibrantperson and have a �rmbelief in value system,which makes me stand�rmly against every odd,both in my personal andprofessional life.

MA: What do you likethe most about yourjob? Do you feelsatisfied with yourachievements?ZAR: The thing I like mostabout my job is that this isa big challenge for me andwe at TSML are trying toexplore potential in the�eld of steel in Pakistan. Iam very much satis�edwith the progress we havemade, as the coldcommissioning of theproject's �rst phase hasbeen done. About 95percent work of the �rstphase has been completed.Its hot commissioning willbe done in July 2010.

MA: How do youforesee the future ofthis sector in Pakistan?ZAR: Well, there is a greatpotential in the steel sectorin Pakistan and the direneed is to explore it.According to statistics for2009, the world crude steelproduction stood at 1.2billion tonnes, whereinPakistan's share is merelyabout 0.24 percent. Thisspeaks volumes of a hugepotential of investment andgrowth opportunity in thesteel sector of Pakistan.

MA: Do you believe ingrooming your staff? ZAR: I �rmly believe ingrooming my sta�. We havean outstanding team ofmultidisciplinary engineers,whose cumulativeexperience can bene�texternal clients in theindustrial sectors in Pakistanand UAE. Most of our sta�is young and energetic. Ourmarketing team isvigorously engaged inmaking people aware of thebene�ts of Direct ReducedIron (DRI) across Pakistan,and as a result of thee�orts made so far, somereputable names in the ironand steel industry ofPakistan have showninterest in signing businesscontracts with TSML.

MA: What are thehighlights of yourprojects?ZAR: TSML is the country's�rst private-sector integratedenvironment-friendly steelmanufacturing project of AlTuwairqi Holding, Kingdom

of Saudi Arabia. Its complexspreads over an area of 220acres at Bin Qasim, Karachi,and employs the world'smost advanced DRI (DirectReduction of Iron)technology based on theMIDREX process, owned byKobe Steel of Japan. In the1st phase, a 1.28million tonne peryear MTPYDRI plant isabout tocomplete ata cost of$245million(excludingworkingcapital). Inthe 2nd phase,as forwardintegration, for theproduction of 1.28MTPY billets, an electric arcfurnace will be set up withan investment of $380million and the technologymight come from Germany.As backward integration,pelletization technologyfrom China will be usedwith an investment ofaround $300 million.

MA: What benefits willthis project bring tothe economy ofPakistan?ZAR: Being a base for theengineering and

construction industry,TSML will not only be asource of transfer of thelatest technology of qualitysteel making, it will also behelpful in giving impetus tothe industrial progress inPakistan. It will open upnew avenues of investment

in similar plantsbesides giving a

boost to thedownstream

industries ofthe country.In thecontext ofhumanresource

develop-ment, TSML

will createaround 1,000

direct and about3,500 indirect job

opportunities. It stronglybelieves that Pakistan has agreat human resourcepotential, and intends toexploit it e�ectively.Pakistan is among thosecountries that rely mostlyon imports, when it comesto heavy mechanicalstructures and engineering

goods. By producing high-quality steel withinPakistan, we canmanufacture suchequipment locally by valueaddition, with the help of

downstream industries.

MA: What is DirectReduced Iron (DRI)and what is itsdemand in Pakistan? ZAR: DRI is one of themost preferred raw materialsfor quality steel making,globally. According to thelatest statistics, DRIproduction, worldwide, hasincreased from 84.6 milliontonnes in 2000, to over132.9 million tonnes in2008. There is a consistentgrowth in the production ofDRI over the years, owing toenvironment-friendlyproduction processes andconsistent quality of theproduct. Foundries and meltshops in Pakistan have notyet fully realized the bene�tof using DRI. Actually, DRIcontains around 94 percentiron with very littleimpurities, which areremovable. As comparedwith the conventional steelmaking processes, usingDRI gives a very goodcontrol over composition ofvarious types of steels, andseemingly DRI is steel'smost versatile form. Wehave recently signedagreements with someIndian and Malaysiancompanies for selling ourDRI to them.

MA: What is thecurrent status of steelproduction and percapita steel consumptionin Pakistan? ZAR: The annual demandfor steel in Pakistan stands atapproximately 8.4 milliontonnes, while the currentsteel production is about 4.9million tonnes per annum.TSML will be playing apivotal role in bridging thegap between demand andsupply of steel in Pakistan.The per capita consumptionof steel in United States isaround 394 kg and for anemerging country like China,it is 338 kg. The average percapita consumption of theentire world stands at around175 kg. In comparison,Pakistan has a per capitaconsumption of steel of onlyaround 38 kg. If we considera very modest increase in percapita steel consumption(say about 100 kg) in thenext 10 years, the steelrequirement would be 20million tonnes per annum fora population of around 200million by the year 2020.

MA: What makes DRIenvironment-friendly?ZAR: The MIDREX processuses clean raw material to

produce DRI withoutmelting, unlike blast furnace(BF) / BOF based steelplants, which face problemsof emission of heavy metaland toxic chemicals. Weadhere to NationalEnvironment QualityStandards (NEQS) andconduct audits of itsEnvironment ManagementSystem periodically. We

are committed to achievehighest environmentalstandards. In addition,TSML will continue tostudy various options torecycle/reuse its productionwaste in the second andthird phase of the projectas well. I am glad toinform you that theEnvironmental ProtectionAgency (EPA),

Government of Sindh, hasapproved theEnvironmental ImpactAssessment study of TSMLand granted us NoC.

MA: Tell us about theengineering companyworking under theumbrella of TSML? ZAR: We have launchedTuwairqi Steel Mills Limited

Engineering (TSMLE) too�er services inEngineering, Procurementand Construction (EPC)market in Pakistan and theMiddle East. TSMLE hasevolved from our in-houseteams of Technology Centre(design, fabrication andCMD). It undertook over 50percent of the fabricationworks for our DRI project.

TSMLE has also signeda contract for technicalcollaboration with SPECOLimited, one of the top �veengineering and fabricationcompanies of South Korea.Under this collaboration,SPECO will provide itsexpertise in materialhandling, dust collection,wind mill manufacturing andso on, while TSML willprovide its fabricationfacilities and engineeringmanpower to execute jobs.This partnership will alsohelp transfer cutting-edgetechnologies to Pakistan.

MA: What are theactivities goingon at TSML? ZAR: We have recentlysigned an agreement withKESC to provide 14MW ofelectricity to the powerutility. This initiative ofcontributing electricity toKESC's network is in linewith the vision of AlTuwairqi's management inSaudi Arabia to help meetthe growing demand forenergy in Pakistan. We arealso exploring alternativemodes of electricitygeneration like wind andsolar resources.

Of late we have alsokicked o� the coldcommissioning of our Plant'sDistributed Control System(DCS). The coldcommissioning will becompleted in about twomonths, followed by the hotcommissioning of 1.28million tonnes DRI Plant.

Your Right to KnowDAILYTIMES.COM.PK Sunday, May 2, 2010

Daily Times

By producing high-quality steel within Pakistan,we can manufacture suchequipment locally by valueaddition, with the help of

downstream industries

”“

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Making Pakistan steel-strongMoonisAhmed isDailyTimes’BusinessReporter

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BY

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We have anoutstanding teamof multidisciplinaryengineers, whose

cumulative experiencecan benefit externalclients in the industrialsectors in Pakistan andUAE. Most of our staffis young andenergetic ”

I N T E R V I E W

Al-Tuwairqi’s1.28 MTPYDRI Plant

BOSS