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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh 1 PRE-FEASIBILITY REPORT for Expansion of Sri Jayalakshmi Ferro Alloys Pvt. Ltd. from 31,320 TPA to 1,30,320 TPA Ferro Alloys production by installation 3x9 MVA + 2x12 MVA Submerged Arc furnace (SAF) with 1,50,000 TPA Briquetting Plant and 18,000 TPA Sinter Plant. at Village – Pedabantupalli, Gurla (Mandal), Vizianagaram (Dist), Andhra Pradesh-535101 APPLICANT M/s Sri Jayalakshmi Ferro Alloys Pvt. Ltd. Village – Pedabantupalli, Gurla (Mandal), Vizianagaram (Dist), Andhra Pradesh-535101

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Page 1: PRE-FEASIBILITY REPORTenvironmentclearance.nic.in/writereaddata/Online/TOR/03_May_2018... · 31,320 TPA to 1,30,320 TPA Ferro Alloys production by installation 3x9 MVA + 2x12 MVA

SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

1

PRE-FEASIBILITY REPORT

for

Expansion of Sri Jayalakshmi Ferro Alloys Pvt. Ltd. from 31,320 TPA to 1,30,320 TPA Ferro Alloys production by

installation 3x9 MVA + 2x12 MVA Submerged Arc furnace (SAF) with 1,50,000 TPA Briquetting Plant and 18,000 TPA

Sinter Plant. at

Village – Pedabantupalli, Gurla (Mandal), Vizianagaram (Dist), Andhra Pradesh-535101

APPLICANT M/s Sri Jayalakshmi Ferro Alloys Pvt. Ltd.

Village – Pedabantupalli, Gurla (Mandal), Vizianagaram (Dist), Andhra Pradesh-535101

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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CONTENTS

Chapter Particulars Page no.

1. Executive Summary 3

2. Identification of Project and Project Proponent 5

3. Project Description 8

4. Site Analysis 30

5. Planning Brief 32

6. Proposed Infrastructure 34

7. Rehabilitation and Resettlement (R&R) Plan 36

8. Project Schedule & Cost Estimates 37

9. Analysis of Proposal (Final Recommendations) 38

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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Chapter 1 EXECUTIVE SUMMARY

PREFACE

Ferro alloy refers to various alloys of iron, which are used in the production of mild steel, carbon steel, special alloy steel and stain less steel. India’s steel production is increasing every year, thereby the consumption of Ferro Alloys is also increasing. The Indian Ferro Alloy industry has a capacity of 5.15 million tones. It is accounting for nearly 10% of the world’s ferroalloy production and is among the 10 largest producers of the material in the world. In the midst of raw material availability being a key factor for Ferro Alloy industry growth, production is concentrated in a few pockets. India, South Africa, China and the CIS countries represent a large source for Ferro Alloys. India’s Ferro Alloy supply constitutes of Ferro chrome about 32%, Ferro Manganese and Silicon Manganese about 62% and rest others.

Considering the potential ferroalloys demand in India and for better utilization of raw materials. M/s Sri Jayalakshmi Ferro Alloys Pvt. Ltd., decided to install 5 nos. of Submerged Arc Furnaces 3x9 MVA + 2x12 MVA (SAFs) of capacity 60/75 TPD each as a Expansion project for production of 99,000 TPA Ferro Alloys with total capacity of 1,30,320 TPA at Village : Pedabantupalli, Gurla (Mandal), Vizianagaram (District), Andhra Pradesh.

SITE DESCRIPTION Sri Jayalakshmi Ferro Alloys Pvt. Ltd. is having an area of 45.50 Acres at Village: Pedabantupalli, Gurla (Mandal), Vizianagaram (District), Andhra Pradesh list enclosed. PROJECT DESCRIPTION

M/s Sri Jayalakshmi Ferro Alloys Private Limited has proposed to expand the existing plant from 31,320 TPA to 1,30,320 TPA by installation of 3x9MVA + 2x12MVA Submerged Arc Furnace with Briquetting Plant of 1,50,000 TPA and Sinter Plant of 18,000 TPA.

Units Planned for Installation / Expansion

S. No.

Unit Capacity Production TPA

Product

Existing 1

2

SAF #1

SAF #2

9 MVA

9 MVA

31,320 TPA

Ferro Manganese or Silico Manganese or Ferro Manganese + Silico Manganese

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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Units Planned for Installation / Expansion

Expansion 3

4

5 6

7

SAF #3

SAF #4

SAF #5

9 MVA

9 MVA

9 MVA

54,000 TPA

Ferro Manganese /Silico Manganese/ Ferro silicon/Ferro Chrome

SAF #6

SAF #7

12 MVA

12 MVA

45,000 TPA

TOTAL ANNUAL PRODUCTION (Existing + Proposed) 1,30,320 TONNES

8 Briquetting Unit

1 1,50,000 TPA Briquettes

9 Sinter Plant 1 18,000 TPA Sinter

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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CHAPTER 2

IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

2.1 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

PROJECT

M/s Sri Jayalakshmi Ferro Alloys Pvt. Limited has proposed to expand its existing unit at Pedabantupalli, District – Vizianagaram, Andhra Pradesh for production of 99,000 tons per annum of Ferro Alloys by installation of 3x9MVA + 2x12MVA with Briquetting Plant of 1,50,000 TPA and Sinter Plant of 18,000 TPA for which environmental clearance is required from the Ministry of Environment, Forest & Climate Change.

Details of the project are as follows:

The capacity of the plant and the Units which are to be installed under the project for production of 99,000 TPA Ferro Alloys are as follow:

UNIT(S)

FURNACE RATING

CAPACITY IN TONES PER YEAR

PRODUCT

EXISTING UNITS SAF #1 SAF #2

9 MVA 9 MVA

31,320 TPA

Ferro Manganese or Silico Manganese or Ferro Manganese + Silico Manganese

PROPOSED UNITS SAF #3 SAF #4 SAF #5

9 MVA 9 MVA 9 MVA

54,000 TPA

Ferro Manganese /Silico Manganese/Ferro silicon/Ferro Chrome

SAF #6 SAF #7

12 MVA 12 MVA

45,000 TPA

Total production from the proposed Units

99,000 TPA

Total production from Existing + Proposed Units

1,30,320 TPA

Sinter Plant 18,000 TPA Briquetting Plant 1,50,000 TPA

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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PROJECT PROPONENT

M/s Sri Jayalakshmi Ferro Alloys Private Limited is a company incorporated on 21st September 2007. M/s Sri JayaLakshmi Ferro Alloys Private Limited is an existing private limited company in the business of production of Ferro Alloys (Ferro Manganese / Silico Manganese / Ferro silicon / Ferro Chrome). The Company had change of ownership after the founder promoters exited this business in March 2017 and new promoters Mr. B.K. Agarwalla and Amit Agarwalla acquired the sick company in April 2017. Since commencement, the Company never achieved rated full production in the last 6-7 years of existence and operation.

Boards of Directors and key technical person of the existing Company M/s Sri Jayalakshmi Ferro Alloys Pvt. Limited are;

Sri B.K. Agarwalla - Chairman-cum-Whole Time Director is an eminent industrialist and is associated with various industries such as refractories, ferro alloys, iron and steel and coal mining, among others. He has rich experience for more than 40 years in fields of finance, marketing, general management, Corporate Governance, strategic issues, corporate and financial structuring and resource mobilization, among others.

Sri Amit Agarwalla - Managing Director and CEO possesses over 25 years of rich experience in Ferro Alloys industry and has a strong understanding of business processes and excellent communication and people management skills. He focuses on project setup, corporate planning and business development, human resource development, planning and budgeting and related functions.

Sri K Shanker Raju - B.Tech., aged 53 years is the Technical Head and COO and strengthens the operational activities of the Unit.

2.2 NATURE OF THE PROJECT

Project is for expansion of Sri Jaylakshmi Ferro Alloys Plant for total production of 1,30,320 TPA Ferro Alloys. The project falls under Category ‘A’ as per the EIA Notification, 2006

2.3 NEED FOR THE PROJECT AND IMPORTANCE TO THE REGION

Ferro alloy refers to various alloys of iron, which are used in the production of mild steel, carbon steel, special alloy steel and stain less steel. India’s steel production is increasing every year, thereby the consumption of Ferro alloys is also increasing. The Indian Ferro Alloy industry has a capacity of 5.15 million tons. It is accounting for nearly 10% of the world’s ferroalloy production and is among the 10 largest producers of the material in the world.

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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In view of above Sri Jayalakshmi Ferro Alloys Pvt. Ltd., not only wants to be a global scale producer of Ferro Alloys but be an industrial base in the district of Vizianagaram and entire Southern India in the state of Andhra Pradesh.

2.4 EMPLOYMENT GENERATION (DIRECT AND INDIRECT) DUE TO THE PROJECT

The estimated manpower (direct employment) after the proposed expansion shall be 1,000 total after expansion, comprising administrative, technical, non-technical, skilled and unskilled workforce.

In addition to this there shall be indirect requirement of manpower in transportation sector for transportation of raw material.

--------------------------------

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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CHAPTER 3 PROJECT DESCRIPTION

2.1 TYPE OF THE PROJECT INCLUDING INTERLINKED AND INTERDEPENDENT PROJECTS, IF ANY

The Project involves production of Ferro Alloys using Manganese Ore, Chromite Ore, Ferro Manganese Slag, Quartz, Dolomite, Coke and Coal as raw material.

There is no interlinked project or interdependent project.

3.2 LOCATION

The location of the plant is Village – Pedabantupalli, Gurla (Mandal), District – Vizianagaram, Andhra Pradesh.

Figure 3.1: Google Image of Project Site

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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Figure 3.2: Location Map of project site

3.3 SIZE OR MAGNITUDE OF OPERATION

The proposed project is for production of 99,000 TPA Ferro Silicon, Ferro Manganese and Silico Manganese from 3x9MVA + 2x12MVA, Submerged Arc Furnace (SAF).

3.4 PROJECT DESCRIPTION WITH PROCESS DETAILS

Process Details

Ferro Alloys Plant: Ferro alloys are consumables required to manufacture steel. Ferro alloys are used to manufacture various types of carbon and steel, essentially to impart certain physical and chemical properties in a particular grade of steel viz. change of tensile strength, ductility, hardness, corrosion resistance, wear resisting or abrasion resistance properties etc. Ferro alloys are also commonly used for de-oxidation and refining of quality steel.

Project Site

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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Manufacturing Process of Silico Manganese/Ferro Chrome/Ferro Manganese/ Ferro Silicon

Physio-Chemical Conditions of the Process - The raw materials of above products, which are smelted by a continuous process with the electrodes submerged deep into the charge. The smelting processes include the following stages:

1. Removal of volatiles and moisture from the charge and heating of the charge by the heat of burning

2. Gases which leave the furnace and after-burn at the top; 3. Reduction of iron and ores with simultaneous formation of metal carbides; 4. Melting of the elements reduced with the formation of molten metal; 5. Formation and melting of slag; 6. Reduction of Manganese / Chrome and Silicon from the slag.

Hygroscopic moisture of the charge materials is removed in 10-15 minutes upon charging, while the volatile matters are run-off in the temperature range of between 200-1000ºC. The iron contained in the manganese ore is reduced to a high extent in the process. Ferric oxides are reduced with carbon monoxide and hydrogen at low temperatures. Ferrous oxide is first reduced with carbon monoxide and hydrogen at 500-600°C temperature and after that with solid carbon in the deeper zones of the bath.

The reduction of manganese from pyrolusite occurs stepwise: MnO2->Mn3O4-> MnO->Mn3C with a reducing atmosphere in the furnace, the dissociation of manganese oxides can take place at low temperatures. Carbon monoxide and hydrogen can also reduce Mn3O4 to MnO at low temperatures. The process of smelting silico manganese essentially consists in Manganese and Silicon being simultaneously reduced from manganese silicates, slag, ore and quartz. The process relies on a higher temperature; the temperature at tapping is 1500°C. Apart from the high temperature, for successful reduction of silicon the process requires high concentration of silica in the slag. The metal and slag are tapped from the furnace every two hours. The metal and slag are tapped through two tap holes into a ladle or onto casting pans. The slag over flows and collected into another ladle or in casting pans.

General: Mixed charge is delivered to the furnace from furnace bays along four movable chutes. Three chutes serve to deliver the charge to spaces between the electrodes and the fourth, into the space between the central electrode and furnace wall. Charging is done periodically to allow the previous charge settled at the top, to move down. With normal run of the furnace, yellow flames shoot up evenly all over the surface of the furnace top. The following measures are essential to maintain the top in normal conditions:

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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The charge should always have the specified composition; • The charge should be given evenly to each phase electrode; • Consumption of electric energy should strictly correspond to the number of unit

charges without letting the top overheat; • Charge cones should be pierced periodically.

Disturbances in the furnace run may be caused by various factors. Most often they are linked with an inappropriate consumption of the slag and with a deficiency or excess of the reducer in the charge. Each type of disturbance has quite typical external features: deep or shallow position of the electrodes, an increase or decrease in the content of carbon or silicon, overheating or chilling of the top, evolution of white smoke at the electrodes, ejects of coke breeze, intense slagging at the electrodes etc. The electrodes are slipped every shift or sometimes twice a day. The metal and slag are tapped simultaneously three times a shift. The ladle for tapping is mounted on a carriage under the tap hole, the slag flows over the ladle nose into a slag pot installed on a parallel railway. During tapping, the top hole is often poked with an iron bar so as to let out the metal and slag completely from the furnace. The tap hole is packed with thick clay as soon as metal appears at the ladle nose (i.e. when the ladle is filled with metal).

PROCESS FOR PRODUCTION OF FERRO MANGANESE

Several manganese-containing ferroalloys are produced. The most commonly used is high-carbon ferromanganese (HC FeMn). The submerged electric arc furnace process, in that slags can be further processed to sillico manganese and refined ferro manganese. The choice of process is also dependent on the relative price of electricity and coke. In three-phase submerged arc furnaces the electrodes are buried in the charge material. The raw materials are heated and the manganese oxides pre-reduced by hot CO gas from the reaction zones deeper in the furnace. The exothermic reaction contributes favorably to the heat required. Efficient production of HC FeMn depends on the degree of pre-reduction that occurs in the upper region of the furnace. The raw materials are manganese ores, coke and dolomite.

PROCESS FOR PRODUCTION OF FERRO SILICON

High Carbon Ferro Silicon is made by reducing quartzite with a carbonaceous reductant in a submerged arc furnace. The techno economics of the process of ferrosilicon production improves considerably with increase in the capacity of the furnace. Silicon – bearing substances namely quartz, rock crystal, amethyst, opal, onyx, cornelian, jasper, sand and others are employed in the manufacture of ferro silicon, Quartz is the compact crystalline mineral with a specific gravity of 2.59 – 2.69 hardness. Its SiO2content should be minimum 96%, Preferably 97 – 99%, Al2O3, MgO, CaO content should be minimum possible and P2O5content should not exceed 0.02% Volatile Matter and 4 – 6% Moisture is a costly reductant and is used mainly for the production of high silicon alloy (90% ferro silicon) and

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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crystalline silicon. Quartz / Quartzite should be crushed into lumps of 35 – 70 mm in size and fines should be sieved through a 20 – 30 mm sieve for better permeability of the charge.

The reduction of silicon from silica occurs by solid carbon at 1,500°C. Molten iron dissolves the reduced silicon and removes it from the reaction zone, thus allowing the reaction to proceed from left to right. Since an iron-silicon alloy does not dissolve carbon, the ferro silicon smelting furnace is usually lined with graphite.

Ferro silicon smelting is essentially a slag-less process. Still some slag formation takes place because of the presence of impurities in raw materials, namely, aluminum oxide, calcium oxide and magnesium oxide. Slag is generally viscous and hard to fuse.

Due to its high viscosity, some slag always remains in the furnace and causes accretions, which decreases the yield of the furnace and increases the specific power consumption. If excess slag accumulates in the furnace, it can be removed by addition of lime to furnace hearth. The lime shall dilute the slag and permit its tapping. The net reaction of the silicon reduction process may be represented as follows:

SiO2 + 2C = Si + 2CO The reaction begins at 1,5000 C, and is practically complete at 1,8000 C. A further rise in temperature causes considerable evaporation. In presence of iron, silica reduction produces ferro silicon according to the reaction.

SiO2 + Fe + 2C = FeSi + 2CO The following reaction may occur when an excessive amount of reductant is charged into furnace:

SiO2 + 3C = SiC + 2CO However, SiC is quickly destroyed by iron according to the reaction SiC + Fe = FeSi + C

Operating Considerations: 1. Ferro silicon is generally produced in submerged arc furnaces with rotating baths. 2. The silicon losses from evaporation are considerable. Therefore, deep and stable

electrode and uniform evolution of gases over the whole charge surface are essential to minimize the silicon losses.

3. The electrical parameters namely electrode, secondary voltage and electrode current considerably affect the performance of the furnace; hence these should be approximately selected.

4. The furnace resistance is adjusted by increasing or decreasing the conductivity of the charge mix and increasing or decreasing electrode circle.

5. Lack of reductant in the charge mix leads to the crusting of the furnace and the operation of tap hole becomes difficult, while a excess of the electrodes, absence of slag, freezing of the reductant in the charge mix for a prolonged period of time will lead to the formation of corundum.

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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PROCESS FLOW DIAGRAM – FERRO MANGANESE

Mn. Ore, Coke, Coal, Dolomite

Ground Hopper

Conveyor

Screen House

Conveyor

Day Bins

Vibro Feeders

Weigh Hopper

Skip – A

Discharge Feeders

Reversible Conveyor

Skip – B

Telfar Car Telfar Car

Charging Chutes Charging Chutes

23 MVA Trf.

132 KV Incoming

10/11 MVA Furnace

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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GCP

Furnace- 9 MVA

Furnace- 9 MVA

Furnace-9 MVA

Furnace- 9 MVA

Furnace-12 MVA

Furnace- 12 MVA

Furnace- 9MVA

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

Metal Cake

Sizing, Packing & Dispatch

Sediment Collection

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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PROCESS FLOW DIAGRAM FERRO SILICON

Quartz, Coke, Charcoal

Ground Hopper

Conveyor

Screen House

Conveyor

Day Bins

Vibro Feeders

Weigh Hopper

Skip – A

Discharge Feeders

Reversible Conveyor

Skip – B

Telfar Car Telfar Car

Charging Chutes Charging Chutes

23 MVA Trf.

132 KV Incoming

10/11 MVA Furnace

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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GCP

Furnace- 9 MVA

Furnace- 9 MVA

Furnace-9 MVA

Furnace- 9 MVA

Furnace-12 MVA

Furnace- 12 MVA

Furnace- 9MVA

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

Metal Cake

Sizing, Packing & Dispatch

Sediment Collection

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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Refining of Ferro Silicon:

The Ferro Silicon required for making steels electrical steels must have low content of aluminum, calcium, titanium and carbon. Their presence brings down the magnetic permeability and increases the core loss. Hence, commercial grade ferrosilicon needs further refining for the production of silicon steels. The processes for refining of ferrosilicon are:

Solid /liquid oxide methods - Oxidizing treatment with gaseous /enriched air.

Refining with chlorine gas - Purification by carbon dioxide gas.

PROCESS FOR PRODUCTION OF FERRO CHROME

Manufacturing of High Carbon Ferro Chrome basically used Chrome Ore (Different Grade of Chrome Ores from 40% CR2O3 to 58%), Coke (F.C.85%), Magnesite (Min 50%) and quartz (98-99%). This are the carbonaceous materials used as reducing agent in Ferrochrome Production. At high temp oxide ores (Chrome Ore) react with carbon and magnesite and Quartz to foam Metallic Compound which is called High Carbon Ferrochrome. There is generation of Slag which is disposed with Solid waste management system i.e. provide special dumping yard with having of solid walls with concrete.

PROCESS FOR PRODUCTION OF SILLICO MANGANESE

Standard proportion of silico manganese alloy contains 60 to 70 wt % of manganese, 14 to 29 wt % silicon, and 0.5 to 2.5 wt % carbon. They are normally produced from raw materials such as mixture of manganese ore, ferro manganese slag, quartz and fluxes that mostly include dolomite or lime stone.

Silico manganese is smelted with dolomite to increase the slag fluidity and at the same time also help reducing manganese oxide content from the slag. The slag on the other hand ranges between 1573 K and 1653 K as per its composition. Scientifically speaking, increasing the temperature or the silica content in the slag and decreasing the (CaO+MgO)/Al2O3 ratio, increases the metal–slag partitioning co-efficient. The manufacturing process of silico manganese undergoes preheating, pre reduction and coke bed zone. A furnace is used to reduce the ferromanganese slag and the manganese ore placed at the top of the bed. However, it is seen that behavior of the charged materials depends upon the heating and its intensity of reaction with carbon. This directly affects the consumption of coke and electrical energy. The quantity of slag and its composition and furnace productivity is also affected by and large. The slag obtained is mostly used as an active source of manganese in the production of silico manganese. Plus, the use of ferromanganese slag in silico manganese production.

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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PROCESS FLOW DIAGRAM FERRO CHROME

Chrome Ore, Friable, Briquettes, Coke, Magnasite, Bauxite, Quartz

Ground Hopper

Conveyor

Conveyor

Day Bins

Vibro Feeders

Weigh Hopper

Skip – A

Discharge Feeders

Reversible Conveyor

Skip – B

Telfar Car Telfar Car

Charging Chutes Charging Chutes

23 MVA Trf.

132 KV Incoming

10/11 MVA Furnace

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SRI JAYALAKSHMI FERRO ALLOYS PVT LTD. Village- Pedabantupalli, Gurla (Mandal) Pre-Feasibility Report District : Vizianagaram, Andhra Pradesh

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GCP

Furnace- 9 MVA

Furnace- 9 MVA

Furnace-9 MVA

Furnace- 9 MVA

Furnace-12 MVA

Furnace- 12 MVA

Furnace- 9MVA

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

Metal Cake

Sizing, Packing & Dispatch

Sediment Collection

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PROCESS FOLW DIAGRAM SILICO MANGANESE

Mn. Ore, Fe. Mn. Slag, Coke, Sinter, Steam Coal, Quartz

Ground Hopper

Conveyor

Shuttle Conveyor

Day Bins

Vibro Feeders

Weigh Hoppers

Discharge Feeders

Reversible Conveyor

Skip-A Skip-B

Telfar Car

Charging Chutes

Telfar Car

Charging Chutes

132 KV Incoming

25 MVA Trf.

10/11 MVA Furnace

Transformer

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GCP

Furnace- 9 MVA

Furnace- 9 MVA

Furnace-9 MVA

Furnace- 9 MVA

Furnace-12 MVA

Furnace- 12 MVA

Furnace- 9MVA

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

CI Pan

Metal Cake

Sizing, Packing & Dispatch

Sediment Collection

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BRIQUETTING UNIT OF 1,50,000 TPA

Blending:

The Briquette quantity, grade and ratio is received from Operation head of Ferro- chrome Plant. Requirement of desired grade is designed with available grade and ratio of virgin chrome ore fines. Respective quantity of various grade of Chrome ore fines are issued from R/M storage yard to blend yard through Weigh Bridge. Blending is prepared in open yard using heavy earth movers (Poclain, Payloader, JCB etc.).

Feeding to Under Ground Bunker:

The bended fines are loaded to tippers and sent to underground bunker (hopper) feed after weighment at Weigh Bridge. Over size chrome ore lumpy (Boulders) are handpicked at Grizzly of the Feed Hopper. The hoppers discharge onto a common belt leading to +15mm screen house. Then (-15mm) size feed in conveyed into a rotary dryer.

Drying

The drying process is a solid-state physical preparatory process for the removal of superficial water from the solid ore fines/concentrates by thermally induced evaporation. This is achieved by passing a forced draught of hot air from burning fossil fuels through a cylindrical 9meter long vessel of double shell construction and rotating about its longitudinal axis. Fines are turned over continually by the rotation of the dryer. Meantime appropriately sized fossil fuel* is burnt over slow moving stoker gratings and the hot combustion gases pass through the dryer in a co-current draught.

* Furnace Oil used as fuel of Dryer. The total quantity is likely 3140 LPA (@ 0.016 Ltr. required to produce 1 MT Briquette)

Screening

The dry ore fines are feed to a closed screen of +6mm size and the – 6 mm size is conveyed to a Pan-mixer through weigh hopper.

Mixing

The chrome ore fines discharge from the weigh hopper, lime and Molasses are mixed with the chrome ore to provide for the binding of ore to facilitate the briquetting process. The mixture material is feed to a Hydraulic Briquetting Press.

Briquetting

Chrome ore is briquetted under pressure by passing the mixture over a set of rolls equipped with segment pockets. The resulting briquette (70mm long, 45wide and 22-28mm thick) is screened; the undersize is recycled in a closed circuit while the oversize is warehoused in a shed.

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Curing

Curing of briquettes occurs in a shed over a 96-hour period during which lime sets in to confer long-term strength on the briquette. The briquette stockpiles ought not to exceed 1-2m in height as this may allow for high heat retention with the consequent loss of molasses' binding ability. The compressive strength of the briquette is tested at the point of manufacture and thereafter at 24 hourly intervals for four days. The briquettes take between 72 - 96 hours to attain complete strength that exceeds the levels necessary for transportation and feeding into a submerged electric arc furnace. After curing the briquettes retain their strength, and feed to furnace for production of High carbon Ferro Chrome. During furnace feeding the lower size particles are separated through a vibrating screen. The under size material (usually called Return Fines) are again subjected to go through the Briquetting Process Material balance: 94% chrome ore fines, 5% Molasses, 2.5 % lime

PROCESS FLOW DIAGRAM (BRIQUETTING PLANT)

MOLASIS Ch. Ore Fines LIME POWDER

Muller Mixture

Oven

Drier

Hydraulic Briquetting Press

Storage Yard

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SINTER PLANT OF 18,000 TPA

Abstract the maximum utilisation / consumption of sinter in SAF depend on commercial benefits and technical suitability for SAF operations. As on today, sinter has become widely accepted and preferred burden material in SAF. The sintering technology was developed for the treatment of the waste fines of Mn ore & Coke. This topic features are related and suitable for 10 m 2 annular sinter machine. All topics have been written and formatted based on the practical observations. Producing quality sinter is much similar in all types of sinter machines and producing quantity deeply depends on what raw material we choose / available.

Uses of sinter in SAF operation

• Avoid / eliminate the raw flux usage in furnace • Lower thermal load • Better indirect reduction of the burden’ will increase the productivity and decrease the • Coke rate with consistent quality of hot metal

Metallurgical wastes

Flue dust and GCP dusts (from Bag Filter) are being used at present by collecting from proportionate bunkers.

PROCESS FLOW DIAGRAM SINTER PLANT

Mn. Ore (Fines) Pollution Dust of Fe.Mn. & Si.Mn.

Oxidation

Hot Cake

Sizing of Cake

R M H S

Furnaces

Coke (Fines)

Pulse Jet Bag Filter 20500 Nm3

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Brief description about process As per given burden, raw materials will be collected on a common Platform from the respective Metal Yard through weighment and then mixed homogeneously, then feed on sinter machine. Generally, raw mix bed height is 550 mm and will be adjusted based on quality of the raw material. The bed will be taken to ignition front. The raw mix undergoes through the ignition platform and there is a negative suction from bottom. As soon as suction takes place, hot products of combustion are sucked through the bed and transfer its heat to the next layer of the bed keeping it ready for the combustion. After completion of the sintering process, sinter cake will be crushed and manually it will go to SAF.

3.5 PROJECT HIGHLIGHTS

Expansion project of M/s Sri Jayalakshmi Ferro Alloys Pvt. Ltd. for production of 99,000 TPA ferro alloys production by installation of 3x9MVA + 2x12MVA MVA SAFs as per the details given below:

UNIT(S)

FURNACE RATING

CAPACITY IN TONES PER YEAR

PRODUCT

EXISTING UNITS SAF #1 SAF #2

9 MVA 9 MVA

31,320 TPA

Ferro Manganese or Silico Manganese or Ferro Manganese + Silico Manganese

PROPOSED UNITS SAF #3 SAF #4 SAF #5

9 MVA 9 MVA 9 MVA

54,000 TPA

Ferro Manganese /Silico Manganese/Ferro silicon/Ferro Chrome

SAF #6 SAF #7

12 MVA 12 MVA

45,000 TPA

Total production from the proposed Units

99,000 TPA

Total production from Existing + Proposed Units

1,30,320 TPA

Sinter Plant 18,000 TPA Briquetting Plant 1,50,000 TPA

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3.6 RAW MATERIAL REQUIREMENT For manufacturing of Ferro Alloys, the key inputs required are presented here.

Table: Raw Materials Requirement

Raw Materials Production 1,30,320 TPA of either of the product

Ferro-manganese

Ferro-chrome Ferro-silicon Silico-manganese

Mn. Ore 3,39,000 - - 231000

Coke 104250 118000 26000 65160

Dolomite 26000 - - -

Chrome Ore Briquettes

- 150000 - -

Chrome Ore Lumps

- 33000 - -

Friable - 57000 - -

Magnesite - 52000 - -

Quartz - 105000 234600 -

Charcoal - - 170000 -

Mill Scale - - 6500 -

Coal - - - 78000 High MNO Slag - - - 63000

Sinter - - - 18000

Total 469250 515000 437100 455160

3.8 RESOURCE OPTIMISATION

Water Requirement

Water is pre-dominantly required in the Ferro Alloys Plant for cooling. In addition, it shall be used for control of dust and for drinking and sanitation, for fire fighting and for miscellaneous purposes. The plant water system comprises a make-up water system, drinking water and fire fighting water system as well as emergency water supply system for the vital units of the plant.

Water shall be sourced from of combination of Borewell and water pipeline from the local Irrigation and Water supply authority for the project. Permission for the same will be obtained from the concerned authority.

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For Installed Units Actual Consumption (KLD) Process Drinking Sewage Total Consumption

35 5 5 45

For Expansion Units Proposed Consumption (KLD)

105 10 5 125 Total Existing + Expansion 140 15 10 170

## The Briquetting & Sinter Units do not consume water in the process of Manufacturing.

3.9 SOLID WASTE GENERATION AND MANAGEMENT (Tons / year)

Solid Wastes Production 1,30,320 TPA of either of the product

Ferro-manganese

Ferro-chrome Ferro-silicon Silico-manganese

Slag generation 7,80,00 65,000 - 65,000 Bag Filter Dust generation

3,000 2,600 - 2,500

3.10 POLLUTION CONTROL MEASURES

Pollution, once generated, needs to be arrested and treated before the pollutants are released into the ambient environment. The flue gas from the Ferro Alloys Plant shall be sent to Bag Filter before discharging to the atmosphere to comply with particulate emission limit. All the dust collected in the Pollution Control Equipment shall be recycled in the process.

Closed circuit cooling system has been adopted in Ferro Alloys Plant. Hence there is no scope of any waste water generation from process and cooling. Sanitary waste water is being treated in septic tank followed by soak pit.

Flow diagram for each product showing location and type of Pollution Control facilities is given below:

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EXISTING PROPOSED / EXPANSION

Furnace No.1 (9MVA)

Furnace No.2 (9 MVA)

Pollution Control System (GCP-1),

Capacity -155000 Nm3

Pollution Control System (GCP-2),

Capacity -155000 Nm3

Furnace No.7 (12MVA)

Furnace No.6 (12MVA)

Furnace No.5 (9MVA)

Furnace No.4 (9MVA)

Furnace No.3 (9MVA)

Pollution Control System (GCP-3),

Capacity -210000 Nm3

Pollution Control System (GCP-4),

Capacity -300000 Nm3

Pollution Control System (GCP-4),

Capacity -300000 Nm3

Pollution Control System (GCP-4),

Capacity -210000 Nm3

Pollution Control System (GCP-3),

Capacity -210000 Nm3

Chimney

Chimney

Common Chimney

Common Chimney

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3.11 Plant Layout Drawing is given below: To be replaced with new drawing

Figure 3.3: Layout Plan

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CHAPTER 4 SITE ANALYSIS

4.1 CONNECTIVITY Site Location Village: Pedabantupalli, Gurla (Mandal),

District – Vizianagaram, Andhra Pradesh Height above MSL 116 meters Road Connectivity Chennai - Kolkata National Highway – 30 km. Rail Connectivity The nearest Railway Station is Gadividi,

Vizianagaram – 9 KM Nearest Airport Visakhapatanam – 90 KM Nearest Town Gadividi – 9 KM Nearest River Nellimarla – 27 KM National Park, Wildlife Sanctuary, Reserve Forest within 10 KMS

Nil

4.2 LAND USE

The project site is located adjacent Gadividi – Garbam Road and an industrial land. Total Area 45.50 Acres.

Land Use Area in Acres Area in Hectares

Plant & Machineries 10 4.05

Internal Road 16 6.48

Storage Area 4 1.62

Green Belt 15.5 6.27

Total 45.5 18.42

4.3 TOPOGRAPHY OF THE LAND

The Land is Flat and Plain level land.

4.4 EXISTING LAND USE PATTERN

The land is Industrial Land

4.5 EXISTING INFRASTRUCTURE

National and State Highways are near to the project site. Kolkata – Chennai, NH-5 is 32 km from the project site. Gadividi Railway Station is about 9 KM from the project site. As there are many other industries nearby location and worker/staff and skilled / unskilled workers are available in the area.

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4.6 SOIL CLASSIFICATION

Red sandy loams and few are of clay loams.

4.7 CLIMATE DATA

The project site lies in Gurla Mandal of Vizianagaram District.

Summer Season March to May

Rainy Season June to September

Winter Season October to February

Min Temperature 18.2°C in Winter

Max Temperature 34.8°C in Summer

Height above Sea Level 116 Mts.

Wind Direction South-West (SW) to North-East (NE).

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CHAPTER 5 PLANNING BRIEF

5.1 PLANNING CONCEPT Sri Jayalakshmi Ferro Alloys Pvt. Ltd., has planned to expand the following units for production of 1,30,320 TPA Ferro Alloys within 5 years after obtaining the environmental Clearance from Ministry of Environment, Forest & Climate Change (MoEF&CC) and other statutory clearances:

YEAR OF INSTALLATION

UNIT(S) Existing/

TO BE INSTALLED

FURNACE RATING

CAPACITY IN TONES PER DAY

PRODUCT

2008 2012

SAF #1 SAF #2

9 MVA 9 MVA

31,320 TPA

Ferro Manganese or Silico Manganese or Ferro Manganese + Silico Manganese

5 years after grant of EC and other statutory

clearances

SAF #3 SAF #4 SAF #5

9 MVA 9 MVA 9 MVA

54,000 TPA

Ferro Manganese /Silico Manganese/ Ferro silicon/Ferro Chrome SAF #6

SAF #7 12 MVA 12 MVA

45,000 TPA

Total Production (1,30,320 TPA) Briquetting Unit 1,50,000 TPA

Sinter Plant 18,000 TPA

5.2 POPULATION PROJECTION

Manpower requirement for the proposed project shall be limited to 1000 which shall be sourced from local population. Hence there will not be increase in population due to direct employment in the area due to the proposed project.

5.3 LAND USE PLANNING Total land required of the proposed project shall be 45.50 Acres (18.42 Ha.) which is in procession. 33% of the total plant area i.e. approx. 15.5 Acres (6.27 Ha.) shall be kept for greenbelt development.

5.4 ASSESSMENT OF INFRASTRUCTURE DEMAND

The plant has well connected National Highway as mentioned in the above chapters. As the site for the proposed expansion is adjacent to the Sri Jayalakshmi Ferro Alloys Pvt. Limited and has the well developed roads, connecting roads to the project site shall

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developed for the proposed site inside plants for movement of raw material in addition to the storage areas for raw materials and finished products. Other infrastructure like Canteen, Rest Room, Administrative Building, Garage / Parking shall be developed.

5.1 AMENITIES / FACILITIES

The following facilities shall be provided at the project site:

• Canteen and welfare center • Toilets and Rest rooms • Car parks and cycle / scooter stands • Time and security offices • First aid and fire fighting station

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CHAPTER 6 PROPOSED INFRASTRUCTURE

6.1 INDUSTRIAL AREA (PROCESSING AREA)

The industrial area (Processing Area) of M/s Sri Jayalakshmi Ferro Alloys Private Limited shall have 5x9MVA + 2X12MVA of Submerged Arc Furnaces (SAFs) including facilities for Raw Material Handling unit, Cooling Towers, Effluent Treatment Plant, Raw Materials Storage Areas and Finished Material Storage Yard etc. Total area of the plant is 45.50 Acres.

Softening Water Plant

1 no. of Softening Water Plant of capacity 2.5 cubic meter has been installed. For the proposed expansion, total Softening Water Plant of capacity 7.5 cubic meters will be required.

Cooling Towers

4 nos. of Cooling Towers of capacity 300 Cubic meters (total for proposed 1200 cubic meters) shall be provided in addition to the existing 2 nos. of 212.5 Cubic meter, each (existing capacity 425 Cubic meters).

Oxygen Plant

Oxygen requirement is approx. 2 kg for 1 ton of production. Present requirement of Oxygen is approx. 60 Tons per year for the production of 31,320 Tons of ferroalloys. After the proposed expansion approx. 250 Tons of Oxygen will be required per year. Capacity of the Oxygen column is 10,000 KL.

Cranes

2 nos. of 20/5 MT double girders EOT cranes to handle the raw material and finished product have been provided.

Two more cranes of 20/5 MT capacity shall be provided for the proposed expansion. All cranes will comply IS 3177 – Code of practice for electric overhead travelling cranes and IS-807 – Code of practice for electric overhead traveling cranes, which is meant for EOT cranes in steel plants.

6.2 RESIDENTIAL AREA (NON PROCESSING AREA)

There is no proposal of any residential colony as the required manpower will be sourced from local population.

6.3 GREEN BELT

Green Belt will be developed over 33% of the plant area. Indigenous trees had planted in 14 Acre out of the total green belt area of 16 Acre. Tree density of 800-1200 trees per hectare with local board leaf specification will be planted.

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6.4 CONNECTIVITY

Project site is well connected by road and rail.

Road Connectivity through National Highway NH-5, which is 9 km away from the site.

Rail connectivity – Gadividi Railway Station which is 9 KM from the project site.

6.5 DRINKING WATER MANAGEMENT

Raw water from bore wells shall be treated in Water Treatment Plant and will be supplied for drinking purpose in Offices, Canteen and Work place. Employees shall be provided potable water for drinking.

6.6 SEWAGE SYSTEM

Sufficient and suitable toilet facilities of proper standard and hygiene shall be provided. These facilities shall be connected with Septic Tank with Soak Pit.

6.7 INDUSTRIAL WASTE MANAGEMENT

There will be no waste water discharge from the plant. The water shall be used for cooling and dust suppression. Cooling water shall be recycled after cooling in the Cooling Towers. Blow down water from Cooling Towers shall be used for slag cooling. Zero discharge shall be maintained after the proposed expansion.

6.8 SOLID WASTE MANAGEMENT

Fines collected at Bag Filter from Submerged Arc Furnace shall be recycled in the process and / or sold to vendors. Si-Mn and M.C. Si-Mn Slag shall be utilized in road / land development. Fe-Mn Slag shall be reused in the Si-Mn production. A separate yard within the premises would be earmarked to store the same temporarily.

6.9 POWER REQUIREMENT & SUPPLY / SOURCE

Power Requirement

The company shall require 56 MVA of power. Substation with adequate capacity to supply necessary power for the project shall be provided. Power shall be taken from Eastern Power Distribution Company Of Andhra Pradesh Limited (APEPDCL). Necessary permission shall be obtained. Power Consumption for operation of the Plant shall be 52,16,40,000 Units per year.

Power requirement shall be met from Eastern Power Distribution Company Of Andhra Pradesh Limited (APEPDCL)

DG Set of 1x250 KVA shall be installed in addition to the existing 1x125 KVA to meet emergency power requirement. Emergency requirements of the plant utilities such as circulating water for cooling critical furnace components, in case of power shutdown.

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CHAPTER 7 REHIBILITATION AND RESETTLEMENT (R&R) PLAN

Land required for the proposed project is in possession of M/s Sri Jayalakshmi Ferro Alloys Private Limited and has no habitations in the project site. Hence, no rehabilitation or resettlement plan is required.

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CHAPTER 8

PROJECT SCHEDULE & COST ESTIMATE

8.1 PROJECT SCHEDULE

Project implementation schedule is 5 years from the date on which the all statutory clearance to start the project are received.

8.2 COST ESTIMATE

The cost estimate for the project is Rs. 18,213.97 Lakhs. Term loan of Rs. 10500.00 Lakhs shall be availed for the Project and balance Rs. 7,713.97 Lakhs shall be sourced from internal accruals. The breakup of the project cost is presented below:

S. No. Item Cost (Rs. In lakhs) 1 Raw Materials Shed 343.25 2 Furnaces of 3x9 MVA + 2x12 MVA including Shell,

Lining, Insulation, Secondary Bus System, Assembly Cooling System, Hydraulic System, Blowers, Panels, Cooling Tower, Gas Cleaning System, Raw Material & Finished Product Handling Systems,

7459.87

3. Pollution Control Equipments 1100.00 4. Supporting structures for furnaces 3948.23 5 Furnace Transformer (11 nos.) 2150.10 6 Switch Yard 362.52 7 Electricals 2792.12 8. Engineering Fee 22.88

9. Green Belt Development & Corporate Social Development 35.00 Total 18,213.97

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CHAPTER 9 ANALYSIS OF PROPOSAL

Over the last few years, there has been a great change in the Indian Economic Scenario due to Global slowdown which affected the whole world including India. The major sector which took the toll was Steel & Power Sector.

Ferro alloy refers to various alloys of iron, which are used in the production of mild steel, carbon steel, special alloy steel and stain less steel. India’s steel production is increasing every year, thereby the consumption of Ferro alloys is also increasing. The Indian Ferro Alloy industry has a capacity of 5.15 million tonnes. It is accounting for nearly 10% of the world’s ferro alloy production and is among the 10 largest producers of the material in the world.

In view of the above M/s Sri Jayalakshmi Ferro Alloys Private Ltd. wants to be a global scale producer of Ferro Alloys but be a leading industrial base for the district of Vizianagaram and entire Southern India region in the state of Andhra Pradesh and thereby providing direct and indirect job opportunities for the community in this area.

The Directors / Vice Presidents of Sri Jayalakshmi Ferro alloys Ltd. are experienced Industrialist in the field of production of Ferro Alloys.

The technology involved in the project is well proven and reliable. Many plants are operating all over the country in this pattern are successful. All equipments purchased shall be brand new & latest in model and will be purchased from reputed suppliers. For O&M of the plant, experienced Engineers /Technicians are available in the region.

The region shall also be benefited from the project as there will be direct employment of people in the Steel plant. Preference will be given to the people of the state possessing requisite skill and qualification criteria. Also there will be lot of scope for indirect employment of the people of the state in and around the project site like in transportation sector.

In view of the above the proposed Project of M/s Sri Jayalakshmi Ferro Alloys Private Limited is technically feasible and financially viable thus, we request EAC to recommend TOR for conducting the EIA Study for obtaining Environmental Clearance from Ministry of Environment, Forest & Climate Change.

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