Nagarnar Steel Plant Overview and Operations

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The Nagarnar Steel Plant is located in Chhattisgarh, India, and it's a massive undertaking. It's being developed by the NMDC Limited, a public sector undertaking under the Ministry of Steel, Government of India.

The plant is spread over an area of 3,654 acres and is expected to have a production capacity of 3 million tonnes per annum. This will make it one of the largest steel plants in the country.

The plant's construction began in 2015 and is expected to be completed in phases. The first phase is expected to be operational by 2023.

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Raw Materials

The Raw Material Handling System Package for Nagarnar Steel Plant was signed with BHEL on 3rd September 2011, valued at Rs 1395 Crore to be completed within 30 months.

BHEL has awarded part of the work to McNally Bharat Engineering Company Ltd for Design, Engineering, Manufacture, Supply, Erection, Testing, Commissioning & PG Tests of Stacker Reclaimer Machines, valued at Rs 98.23 Crores.

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The Raw Material Handling System will handle 10 MT/year of Raw Material catering to the different units of the proposed Plant.

The Ore Handling Plant part of the order was awarded to Tecpro Systems and is valued at Rs 406.9 Crore, while the Coal handling Plant part is valued at Rs 114.6 Crore.

Iron ore requirement for the steel plant would be 5 MTPA, and the Deposit 4 iron ore mine has a production capacity of 7.0 MTPA.

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Iron Ore

Iron ore is a crucial raw material for the steel industry, and in this case, it's being sourced from the Bailadila Deposit 4 in Chhattisgarh.

The Deposit 4 iron ore mine has a production capacity of 7.0 MTPA and is expected to meet the iron ore requirement of 5 MTPA for the Integrated Steel Plant at Nagarnar.

The mine is spread over a mining lease area of 646.596 hectares and has a remaining production capacity of 2 MTPA after meeting the Nagarnar plant's requirement.

Credit: youtube.com, Steel Raw Materials Monthly: Should iron ore and steel producers worry about China?

The iron ore will be sold to domestic customers in Chhattisgarh after meeting the Nagarnar plant's requirement, providing a steady market for the excess production.

A JV Company between NMDC and Chhattisgarh Mineral Development Corporation (CMDC) was formed to develop the new deposit with a production capacity of 7 MTPA.

The mining plan along with a progressive mine closure plan has been approved by the Indian Bureau of Mines (IBM) for a production capacity of 7.0 MTPA.

The Deposit 4 mine is expected to have an estimated investment of Rs 1899.74 crores for its development as a standalone project.

95.13 hectares of forest land and 50 hectares of non-forest land will be required for the development of infrastructure and other facilities.

NMDC has a long-term commitment to supply iron ore to major steel plants across the country from existing mines, ensuring a reliable supply chain for the industry.

Mecon

MECON is a key player in the steel industry, having signed a contract with NMDC in 2011 for engineering, design, and consultancy services for the upcoming Steel Plant Nagarnar.

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MECON will provide a range of services, including procurement services, basic engineering services, and detailed engineering services.

These services will be crucial in ensuring the smooth commissioning of the Steel Plant Nagarnar, with MECON also providing designer's supervision services and inspection services to guarantee quality and safety.

MECON's expertise will be invaluable in helping NMDC bring this project to life, and their services will play a significant role in the plant's success.

Power and Energy

The Nagarnar Steel Plant has a significant power requirement, with a total of 296 MW needed to operate efficiently.

This power demand is being met through a combination of grid power and in-house generation. NMDC plans to take 241 MW from the grid through Chhattisgarh State Power Transmission Company Limited (CSPTCL).

The remaining power will be generated in-house, utilizing a captive power plant designed and built by Thermax. Under a Rs 503-crore contract, Thermax will provide a turnkey solution for the captive plant.

The captive power plant will be equipped with three 160 tonne per hour capacity boilers that use multiple fuels, including blast furnace gas and coke oven gas from the steel process, as well as light diesel oil.

Production and Capacity

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The Nagarnar Steel Plant has made significant strides in production and capacity. The blast furnace at the plant is India's largest, with a capacity of 3321 ttpa and a size of 4506.0 m3.

The plant's raw material handling system has achieved a record daily base mix production of 23,307 tonnes, with a fastest-ever wagon tippling cycle of just 2 hours and 35 minutes.

The blast furnace has also achieved a record with a daily hot metal production of 11,034 tonnes, which is fundamental to ensuring adequate supply to the steel melting shop. The SMS processed 52 heats and produced 9,342 tonnes of liquid steel.

Here's a breakdown of the plant's production records:

  • Raw Material Handling System: 23,307 tonnes (daily base mix production)
  • Coke oven battery: 186 daily pushings
  • Blast furnace: 11,034 tonnes (daily hot metal production)
  • Steel Melting Shop: 9,342 tonnes (liquid steel production)
  • Sinter plant: 12,886 tonnes (sinter production)
  • Thin Slab Caster: 8,850 tonnes (crude steel production)
  • Hot Strip Mill: 8,673 tonnes (hot rolled coils production)

Pellet Plant and Slurry Pipeline

The pellet plant and slurry pipeline is a crucial part of NMDC's operations, transporting iron ore fines from Bailadila to Nagarnar for pelletisation.

A 15 MTPA Slurry Pipeline System is being implemented by NMDC to connect Bailadila and Nagarnar. This pipeline will be used for transporting iron ore fines.

The 2 MTPA Pellet Plant at Nagarnar is also being implemented by NMDC. It's a significant investment in the company's production capacity.

The pipeline is planned for further extension from Nagarnar to Visakhapatnam, to be implemented by a JV company of NMDC, RINL, and KIOCL.

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Product Mix

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The product mix proposed for the plant includes a variety of steel products that cater to different industries and applications.

The plant will manufacture HR Plates & sheets, which are used in the manufacture of bridges, steel structures, ships, large diameter pipes, storage tanks, boilers, railway wagons, and pressure vessels. These plates and sheets are made to IS 2062, IS 5986, IS 3039, IS 2002 & IS 2041 specifications.

API - 5L Quality plates and coils will also be produced, which are used in the transportation of oil and gases. These plates and coils are made to API - 5L quality standards and have a thickness of up to 6-12 mm and a width of up to 1650 mm.

The plant will also manufacture LPG Cylinders, which are used in the manufacturing of LPG cylinders. These cylinders are made to IS 6240 specifications and have a thickness of 2.0-3.15 mm and a width of 1000-1650 mm.

Credit: youtube.com, PRODUCT MIX DECISIONS WHEN CAPACITY CONSTRAINTS EXIST

HR Coils General Engineering steels will be produced, which are used in the manufacture of pipes and tubes, bicycle frames, LPG cylinder frames, rings, and general engineering parts. These coils are made to IS 10748 and IS 1079 specifications.

High Carbon Steel will also be manufactured, which is used in the automobile and machine tool industries. These steels are made to SAE 1040/1045 specifications and have a thickness of 2.5-4 mm and a width of 1000-1450 mm.

Silicon steel will be produced, which is used in generators, motors, and transformers. These steels are made to IS 15391 and IS 648 specifications and have a thickness of 1.0-2.0 mm and a width of 900-1250 mm.

Automotive steel will also be manufactured, which is used in the manufacturing of automobiles. These steels are made to IS 11513/SAE J1392/BSK 46 specifications and have a thickness of 1.0-6 mm and a width of 900-1250 mm.

Here is a summary of the products and their applications:

Upstream Production Capacity (kton/year)

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NMDC's blast furnace at Nagarnar has a daily production capacity of 9900 tonnes, which translates to 3,621,000 tonnes per year.

The sinter plant at Nagarnar produces 12,886 tonnes of sinter per day, which is a critical feed for blast furnaces.

The Raw Material Handling System (RMHS) at Nagarnar registered a record daily base mix production of 23,307 tonnes.

NMDC's coke oven battery at Nagarnar achieved a record with 186 daily pushings, a critical step in converting coal into coke.

The blast furnace at Nagarnar recorded its highest daily hot metal production at 11,034 tonnes.

The steel melting shop (SMS) processed 52 heats and produced 9,342 tonnes of liquid steel per day.

Here's a breakdown of the upstream production capacity at Nagarnar:

Note: The production capacities mentioned above are based on the daily production rates mentioned in the article sections.

Plant Details

The Nagarnar Steel Plant is a massive facility with some impressive numbers. It's installed on less than 1,800 acres of land.

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The plant has a blast furnace complex with a capacity of 4,506 cubic meters. This is a significant size, and it's worth noting that the furnace is operating, with a start date of 2023.

The Nagarnar Steel Plant has a number of facilities, including a Coke Oven & By Product Complex with 7m tall batteries. There are 2 of these batteries in total.

Here's a breakdown of the plant's facilities:

The plant also has a number of other facilities, including a Sinter Plant with a size of 460 square meters, and a Pig Casting Machine with a capacity of 1700 tons per day.

Privatisation and Politics

The decision to privatize the Nagarnar Steel Plant has been met with strong opposition from the state government of Chhattisgarh. The government has requested the Central Government to reconsider the decision for the strategic disinvestment of the plant.

The protests in the region confirm the apprehension of the state government, which was conveyed to the centre. The government of Chhattisgarh has asked the central government to rethink the decision to privatize the plant.

Credit: youtube.com, PM Modi Eye on Chhattisgarh Nagarnar Steel Plant Privatisation ? | Tribals Accuse Modi Govt |T News

NMDC's rationale for bringing in a partner for its first steel venture, which has been eight years in development, is to infuse working capital and to bring in steel-making expertise. This move aims to give the plant a much-needed boost.

However, the transaction advisors and the legal advisers engaged by NMDC for divestment have raised certain issues. They have questioned whether it is possible to privatise the lease held by a public sector company in a scheduled area.

The Inter Ministerial Group for Strategic Disinvestment has recommended to the government that the privatisation process may be deferred for the time being. This is based on the feedback from the transaction advisors and legal advisers.

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Location and Ownership

The Nagarnar Steel Plant is situated in Nagarnar, South Bastar, Chhattisgarh, India.

The exact location of the plant can be pinpointed on a map, with coordinates (WGS 84) at 19.0931901, 82.17.

Location

The plant is located in Nagarnar, South Bastar, Chhattisgarh, India, which is a specific region in the country.

You can find the exact location on a map, and the coordinates are 19.0931901, 82.17 (WGS 84).

Company and Partners

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Nagarnar Steel Plant has a partial state-owned entity status.

The parent company of Nagarnar Steel Plant is NMDC Steel Ltd. The PermID of NMDC Steel Ltd is 5044197117, and the GEM ID is E100002004554.

NMDC Steel Ltd is the owner of Nagarnar Steel Plant, with the same PermID and GEM ID as the parent company.

Frequently Asked Questions

Which is the biggest steel plant in India?

The largest steel plant in India is JSW Steel's Vijayanagar Works, with a production capacity of 12MTPA. It is also one of the oldest and most notable steel plants in the country, with a rich history dating back to 1982.

Maurice Pollich

Senior Writer

Maurice Pollich is a seasoned writer with a keen interest in the digital world. With a background in technology and finance, he brings a unique perspective to his writing. Maurice's expertise spans a range of topics, including cryptocurrency tokens, where he has developed a deep understanding of the underlying mechanics and market trends.

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