collaborate to begin recycling steel mill dust
Nippon Steel Corporation and Kobe Steel, Ltd.
announced that they will begin construction of a plant to recycle
steel mill dust into direct reduced iron. As part of the objectives
to enhance and expand their alliance, the two companies decided
to carry out the project through a joint venture and undertook
preparations to start the new business.
The joint venture plans to stably produce competitive iron units
by recycling steel mill dust, a byproduct from the steelmaking
process. Due to the sharp increase in steel demand centered on
emerging countries, raw material prices have escalated. This
business would be an extremely effective approach to secure competitive
iron units in a business environment of unstable raw material
prices and availability.
Through the joint business, both Nippon Steel and Kobe Steel
will be able to promote steel dust recycling and zero emissions
in the local region beyond the framework of each individual company
by integrating the process technology established by Kobe Steel
and operation know-how established by Nippon Steel on the recycling
and effective utilization of steel dust.
In addition to the new business, Nippon Steel will be able to
use its existing dust recycling plants at its Hirohata Works
to recycle steel mill dust generated from the steelmakers, including
alliance partners, located in the Kansai region.
Nippon Steel and Kobe Steel will use steel mill dust and iron
ore fines from their steel mills as raw materials to recycle
iron into direct reduced iron (DRI) and recover zinc. For this
purpose, a joint venture company has been established within
Nippon Steel’s Hirohata Works.
The name of the joint business is Nittetsu Shinko Metal Refine
Co., Ltd. with Nippon Steel owning 70 percent and Kobe Steel
Nittetsu Shinko Metal Refine will construct a direct reduction
plant utilizing Kobe Steel’s FASTMET® Process within Nippon Steel’s
Hirohata Works. Nittetsu Shinko Metal Refine will recycle the
steel mill dust it receives and use it to produce DRI. The DRI
will be supplied to Nippon Steel and Kobe Steel, with a portion
also going to Sanyo Special Steel Co., Ltd., a group company
of Nippon Steel.