Tata Steel plans to install its first EAF facility in Punjab

10 May 2022 CW Team

Tata Steel plans to install its first electric arc furnace (EAF) facility in north India's Punjab state and bring on-line similar plants in west and south India.

The 750,000 tonnes per year EAF facility in Punjab will be aided by the company's 500,000 tonnes per year steel recycling plant at Rohtak in Haryana state, which was started last year. Tata also plans to collaborate with domestic auto dismantlers to purchase scrap for the facility.

The company told the media that the Neelachal Ispat Nigam's acquisition should be finalised by this current quarter, with the plant working 80,000-100,000 tonnes per month by the end of the current 2022-23 financial year (FY). By the third quarter, 6 mn tonnes per year pellet plant, and a pickling line and tandem cold-rolled mill in Kalinganagar will be commissioned.

Tata's Chief executive and managing director TV Narendran told the media that in the past, key disruptors in the global steel market like China adding substantial capacity and exporting high volumes are absent, and investments in the green steel transition will prevent firms from selling steel below a specific price level.

He said that the steel consumption would continue to increase on the back of demand from Africa, southeast Asia, and other parts of the globe.

Tata said its coking coal prices for Indian operations grew by $50 per tonne during January-March against the previous quarter. Prices will rise by another $100 per tonne during April-June. The firm's net sales realisations for steel in India during April-June will be higher by 8,000-8,500 rupees per tonne against $103-$110 per tonne from the prior quarter.

The company said that the current thermal coal shortage in India has created challenges for the firm's Bhusan Steel and Tata Steel Long Products plants, although it has not impacted operations, and the effect on demand has not been important.

Tata said last month it would stop purchasing coal from Russia following the conflict in Ukraine.

Image Source

Also read: Tata Steel to break ties from its business with Russia

Tata Steel plans to install its first electric arc furnace (EAF) facility in north India's Punjab state and bring on-line similar plants in west and south India. The 750,000 tonnes per year EAF facility in Punjab will be aided by the company's 500,000 tonnes per year steel recycling plant at Rohtak in Haryana state, which was started last year. Tata also plans to collaborate with domestic auto dismantlers to purchase scrap for the facility. The company told the media that the Neelachal Ispat Nigam's acquisition should be finalised by this current quarter, with the plant working 80,000-100,000 tonnes per month by the end of the current 2022-23 financial year (FY). By the third quarter, 6 mn tonnes per year pellet plant, and a pickling line and tandem cold-rolled mill in Kalinganagar will be commissioned. Tata's Chief executive and managing director TV Narendran told the media that in the past, key disruptors in the global steel market like China adding substantial capacity and exporting high volumes are absent, and investments in the green steel transition will prevent firms from selling steel below a specific price level. He said that the steel consumption would continue to increase on the back of demand from Africa, southeast Asia, and other parts of the globe. Tata said its coking coal prices for Indian operations grew by $50 per tonne during January-March against the previous quarter. Prices will rise by another $100 per tonne during April-June. The firm's net sales realisations for steel in India during April-June will be higher by 8,000-8,500 rupees per tonne against $103-$110 per tonne from the prior quarter. The company said that the current thermal coal shortage in India has created challenges for the firm's Bhusan Steel and Tata Steel Long Products plants, although it has not impacted operations, and the effect on demand has not been important. Tata said last month it would stop purchasing coal from Russia following the conflict in Ukraine. Image Source Also read: Tata Steel to break ties from its business with Russia

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