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Prefeasibility Report

For the proposed


Capacity Expansion from
6.3 MTPA to 7.3 MTPA by
revamping and augmentation of existing facilities
Gajuvaka,
Visakhapatnam, Andhra Pradesh

Project Proponent

Rashtriya Ispat Nigam Limited


Visakhapatnam Steel Plant
Visakhapatnam
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Contents

1. Executive Summary 03
2. Introduction of the Project/Background Information 06
3. Project Description 08
4. Site Analysis 30
5. Planning Brief 33
6. Proposed Infrastructure 34
7. Rehabilitation and Resettlement (R&R) Plan 36
8. Project Schedule & Cost Estimates 47
9. Analysis of Proposal (Final Recommendations) 38

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
2/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

1. EXECUTIVE SUMMARY

M/s Visakhapatnam Steel Plant (VSP) is the first shore-based integrated steel plant in India owned by
M/s. Rashtriya Ispat Nigam Limited (RINL),Visakhapatnam, a Navratna PSE under Ministry of Steel,
Government of India.

It is located in Village Gajuwaka, District Visakhapatnam, State Andhra Pradesh was received Environmental
clearance for expansion of Hot metal from 4.0 to 6.5 MTPA by Ministry of Environment, Forest and climate
change (MoEFCC) vide their letter no.J-11011/196/2005-IA II (I) dated 11-08-2005.

The said EC was for increase in hot metal production from 4.0 to 6.5 MTPA, liquid steel production from 3.5 to
6.3 MTPA, saleable steel from 3.17 to 5.72 MTPA, coal chemicals from 0.18 to 0.23 MTPA and power
generation from 235 MW to 384 MW. Now RINL intends to expand its capacity of liquid steel production from
6.3 to 7.3 MTPA.

The total land area in possession with the company is 8827 ha of which the plant area is 3240 ha. No
additional land will be required for this capacity augmentation project.

Process Description

The process steps for steel production in sequence are as follows:

- Coal Carbonization in coke ovens with recovery of coke oven gas (COG)
- Agglomeration of iron ore fines by sintering
- Hot Metal making in BF by reduction of sintered and lump iron ore with coke in
presence of additive materials
- Oxidation of carbon present in the hot metal by oxygen blowing in presence of lime in
BOF for producing liquid steel.
- Refining of liquid carbon steel by addition of micro- alloys to get the desired chemistry
of liquid carbon steel for casting
- Continuous casting of refined liquid carbon steel to blooms and slab.

0 0 0 0
The existing plant lies between 17 34’ 29” to 17 38’ 49” N Latitude and 83 09’ 23” to 83 14’ 12” E Longitude
in Survey of India topo sheet No. 65 O/2, at an elevation of 10 m AMSL.

The plant water requirement is 1,36,350 m3/day (30 MGD) and for township and others it is estimated at
36,360 m3/day (8 MGD) for 6.3 MTPA stage. The additional water required for the proposed augmentation
would be 31,815 m3/day (7 MGD) of which 27,270 m3/day (6 MGD) would be required for the operation of
plant and 4,545 m3/day (1 MGD) for the township and others. The water will be sourced from existing Yeleru
Reservoir. RINL has accorded permission for withdrawal of 45 MGD from Visakhapatnam Industrial Water
Supply Company Limited (VIWSCO).

The power requirement for operating the steel plant including township at
6.3 MTPA stage is 470 MW of which in plant generation is 384 MW and the balance 86 MW is drawn from
APTRANSCO. The additional power required for the proposed expansion is 76 MW, which will be sourced
from the APTRANSCO.

Since the capacity augmentation project will be taken up within the existing land boundary of RINL/VSP and
therefore this project is not envisaged any R&R issue.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
3/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

The solid waste generated at 6.3 MTPA stage will be approx 11,700 TPD which includes granulated BF slag,
SMS slag, mill scales, sludges, ESP/Bag filter dust etc. In addition, about 2000 TPD of coal ash will be
generated at 6.3 MTPA stage. There would be additional generation of approx 1,700 TPD of solid waste. It is
estimated that 100% of the granulated BF slag would be sold to the cement making industries for
manufacturing of slag cement. Other waste such as mill scale, sludges, dust etc would be 100% recycled into
the sinter plant. 60% of the SMS slag would also be used within the steel plant and the balance would be
stored for further processing for secondary use.

Tar sludge/solid sludge generated in by-product plant will be transported to coal yard for mixing with coal.
Alternatively,mechanized handling system will be explored to facilitate charging into ovens.

Liquid Effluent

WWTP will Consists of bowl rake classifier/spiral classifier, thickener, thickener under flow pumps sludge
dewatering units etc. A HRT will be provided to further reduce the sludge loading on the sludge filtration
equipment. HRT under flow pumps, Separate sludge tanks will be provided to collect the sludge from the HRT
and pump the same to vertical filter press (1 W +1S) of 12T/hr capacity. Working hours for same shall be 12
hrs max. The sludge tank will be provided with mechanical agitator including air agitation to maintain
consistency of the sludge. For emergency handling of the sludge, sludge pumps along with pipeline will be
provided at the sludge tank for pumping the sludge to the waste water treatment plant of the SMS-1.

Most part of the treated wastewater will be recycled within the plant. A small part (about 8%) of the treated
effluent may get discharged to sea, maintaining the statutory norms. No untreated waste-water will be
disposed of.

Out of total acquired land of 8827 ha, greenbelt has been done in 1969 ha within the plant area. On the whole
about 38% of the land is afforested with the planting of 5.16 million trees. This will help to attenuate the noise
levels and trap the dust generated due to operation of plant/project development activities.

The capital cost of the expansion project is estimated at around Rs 9439.53 crores .

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
4/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

2. INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION

Identification of project and project proponent

Visakhapatnam Steel Plant, popularly known as Vizag Steel is an integrated steel producer in Visakhapatnam,
India built using German and Soviet technology. Its products have been rated the best in the world market.
Vizag Steel Plant was conferred Navratna status on 17 November 2010. Founded in 1971, the company
focuses on producing value-added steel, with 214,000 tonnes produced in August 2010, out of 252,000
tonnes total of salable steel produced. It is the largest single site plant in India and Asia minor.

Since inception of VSP, it was planned to provide provision for future expansion within the plant boundary so
that the production capacity of hot metal can be achieved up to 12 MT per annum without much difficulty.

VSP received an Environmental clearance for increase in hot metal production from 4.0 to 6.5 MTPA, liquid
steel production from 3.5 to 6.3 MTPA, saleable steel from 3.17 to 5.72 MTPA, coal chemicals from 0.18 to
0.23 MTPA and power generation from 235 MW to 384 MW by Ministry of Environment, Forest and climate
change (MoEFCC) vide their letter no.J-11011/196/2005-IA II (I) dated 11.08.2005. During commissioning and
revamping of the equipment of 6.3 MTPA expansion programme, RINL adopted the ‘Best Available
Technologies (BAT)’ which help in reduction of pollution and increase in productivity. After reviewing the
detailed design and technology options, it was seen that the plant can achieve 7.3 MTPA of liquid.

Brief description of nature of the project

The proposal would be primarily based on revamping of Blast furnace 1&2, Sinter plant 1&2, Steel Melting
Shop-1 and installation of convertor-3 (1 X 150 T capacity ) & caster-4(1 x 5-strand combi-caster) The
production of hot metal and liquid steel will be around 7.5 MTPA and 7.3 MTPA respectively after the above
expansion and modernisation schemes are executed.

The plant is located in Village Gajuwaka, District Visakhapatnam, State Andhra Pradesh The plant lies
between 17034’29” to 17038’49” N Latitude and 83009’23” to 83014’12” E Longitude in Survey of India topo
sheet No. 65 O/2, at an elevation of 10 m AMSL. The total land area in possession with RINL is 8827 ha of
which the plant area is 3240 ha. Since the capacity augmentation will be taken up within the existing plant
boundary, therefore, no additional land will be required for this capacity augmentation project. Also due to
adoptation of BAT, the net pollution load after 7.3 MTPA augmentation will also come down from the existing
pollution load at 6.3 MTPA stage.

The major production facilities :


- Coke oven battery -5 of 0.8 MTPA capcity. Out of the 5 batteries, out of which only 4 batteries will be
operating at a time owing to capital repairs to be carried out in battery Nos. 1, 2 & 3 in
phases.(Existing)
- Sinter plant 1&2 of 2.85 MTPA capacity each will produce 3.64 MTPA each after revamping
- Blast furnaces 1&2 will produce additional 1 MTPA of hot metal after revamping
- SMS -1 after revamping and - SMS-2 after addition of 150T convertor-3 & one additional 1 x 5-
strand combi caster-4 will produce additional 1 MTPA of liquid steel
- Re bar Mill of 0.6 mtpa capacity for conversion of part of surplus billet in SMS-2 into value added
product of 8 mm to 16 mm rebar, is planned in lieu of the Seamless Tube mill considered under 6.3
MTPA.

UTILITIES:
- LPG/Propane storage installation comprising of 3 nos of horizontal, cylindrical, mounded storage
vessel each of capacity 75 tons inclusive of LPG/propane unloading storage evaporation and
distribution system complete with all auxiliary facilities.
-One no. 200 m3 , 40 kscg, Nitrogen Buffer Vessel with associated pipework including valves.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
5/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

3. PROJECT DESCRIPTION

Type of project including interlinked and interdependent projects, if any.

Visakhapatnam Steel Plant (VSP) is the first shore-based integrated steel plant in India owned by Rashtriya
Ispat Nigam Limited (RINL), Visakhapatnam, A.P, India. It is currently operating SMS -1 complex, which is
capable of producing 3.5 MTPA (Million Tons per Annum) liquid steel. The SMS-1 complex was fully
commissioned and dedicated to the nation on 2nd August 1992.

RINL, Visakhapatnam, has recently commissioned SMS-2 complex facilities to increase the plant capacity to
6.3 MTPA liquid steel. The envisaged production capacity of SMS -2 complex is 2.8 MTPA liquid steel.
Provision was also kept for installation of one more Converter and one more Caster and associated facilities
in the existing layout of SMS-2 complex. RINL is now installing one more LD Converter (BOF#3) and one
more 5-strand Bloom cum Round Caster (CCM#4) alongwith associated auxiliary facilities in SMS-2 Complex
to take care of the additional Hot Metal production from existing Blast Furnaces after Category– I Capital
Repairs, in order to increase production capacity of SMS-2 complex from 2.8 MTPA to 3.8 MTPA liquid steel.
CCM#4 is envisaged to handle 1.0 MTPA liquid steel produced from BOF#3 in order to produce Billets of
cross-section 200x200 mm in 6.0 to 12.0 meters length and Rounds of cross-section 410 mm, 450 mm
diameter in 4.0 to 6.5 meters length. With installation of the above facilities in SMS-2 complex, overall plant
capacity of VSP will reach to 7.3 MTPA liquid steel.

The facilities and revamping envisaged for the proposed project are given Table 1 below:
S.No Facility
1 Revamping of Sinter Plant 1 &2
2 Revamping of SMS-1
3 Installation of Conv.3 & Caster4 (SMS -2)
4 Installation of LPG storage facility
5 Installation of Nitrogen Plant
6 Installation of Twin Laddle Heating furnace in SMS 2
7 Revamping of Blast Furnace 1
8 Revamping of Blast Furnace 2
9 Installation of Re bar mill
10 Installation of Coke Oven Battery -5
11 Revmaping and Modernization of Continuous Casting Department
Revamping and upgradation of Walking beam type reheating Furnaces ofthe light and medium
12 merchant mill (LMMM)
13 Rebuilding of Coke Oven Battery No. 1
OTHERS
Revamping & Upgradation of Electrostatic Precipitators of Two Boilers in Thermal Power Plant
14 (TPP)
15 Guard Pond
16 Turbo Blower -5
17 Kanthi Balancing Reservoir

Location (map showing general location, specific location, and project boundary & project site layout)

The plant is located in Village Gajuwaka, District Visakhapatnam, State Andhra Pradesh The plant lies
between 17034’29” to 17038’49” N Latitude and 83009’23” to 83014’12” E Longitude in Survey of India topo
sheet No. 65 O/2, at an elevation of 10 m AMSL. The total land area in possession with RINL is 8827 ha of
which the plant area is 3240 ha. Since the capacity augmentation will be taken up within the existing plant
boundary, therefore, no additional land will be required for this capacity augmentation project.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
6/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3 MTPA by revamping and augmentation of
existing facilities Gajuvaka, Visakhapatnam, Andhra Pradesh

Project Location Map

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
7/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3 MTPA by revamping and augmentation of
existing facilities Gajuvaka, Visakhapatnam, Andhra Pradesh

Layout of the Project

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
8/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Details of alternate sites considered and the basis of selecting the proposed site

The proposed project is Capacity Expansion from 6.3 MTPA to 7.3 MTPA by revamping and augmentation of
existing facilities Gajuvaka, Visakhapatnam, Andhra Pradesh. Hence, no alternative sites are considered.

Raw material required along with estimated quantity & Storage details.
For the proposed capacity augmentation from 6.3 MTPA to 7.3 MTPA liquid steel, it is
estimated that nearly 3.065 MTPA minerals would be required additionally. The additional
requirements of the minerals is presented in Table 2.

TABLE 2 - RAW MATERIAL REQUIREMENT


Sl. No. Minerals Quantity, MTPA
1 Sized Iron Ore 0.33
2 Iron Ore (fine) 1.06
3 PCI Coal 0.11
4 Limestone 0.20
5 Dolomite 0.15
6 Quartzite 0.015
7 Coal 1.2
Total 3.065

Piles of about 8500, Concrete of about 0.45 million cum, Structural steel of about 11300 MT
Sheeting & cladding materials about 0.4 million sq m

Availability of Water

The plant water requirement is 1,36,350 m3/day (30 MGD) and for township and others it is estimated at
36,360 m3/day (8 MGD) for 6.3 MTPA stage. The additional water required for the proposed augmentation
would be 31,815 m3/day (7 MGD) of which 27,270 m3/day (6 MGD) would be required for the operation of
plant and 4,545 m3/day (1 MGD) for the township and others. The water will be sourced from existing Yeleru
Reservoir. RINL has accorded permission for withdrawal of 45 MGD from Visakhapatnam Industrial Water
Supply Company Limited (VIWSCO) and the copy of the permission is appended in Appendix-1.

Power Requirement

The power requirement for operating the steel plant including township at 6.3 MTPA stage is 470 MW of which
in plant generation is 384 MW and the balance 86 MW is drawn from APTRANCO. The additional power
required for the proposed augmentation is 76 MW, which will be sourced from the APTRANCO.

Manufacturing Process

Process Route
Existing conventional Blast Furnace-Basic Oxygen Furnace (BF-BOF)–Continuous Caster Route and Rolling
Mills for production of long products.

Process Description

The process comprises five (5) steps of operation, namely,


i) coke making in by-product recovery type coke ovens,
ii) sintering of iron ore fines, limestone/dolo fines, coke fines etc to produce sinter as one of the
burden materials of Blast Furnaces,
iii) iron making in Blast Furnaces by charging iron ore, sinter, coke and fluxes,

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
9/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

iv) conversion of molten iron to liquid steel followed by casting of liquid steel to blooms, billets
and rounds as semis in continuous casting machines and finally
v) reheating of semis for rolling in different types of rolling mills to produce finished steel
products.

The supporting production facilities are calcination of limestone and dolomite, production of oxygen, nitrogen
and argon in air separation plant and captive power generation.

Following description gives a brief outline of the principal process steps stated above.

Coke making
Metallurgical coke is required for reduction of iron ore to produce hot metal. Metallurgical coke is produced by
carbonising the coking coal at a temperature of around 10000C under reduced atmosphere in closed door
multiple ovens. The coke ovens produce metallurgical coke and by¬product coke oven gas which after
separation of ammonia, tar, naphthalene etc is used for plant fuel purpose. The run-of-oven coke after dry
quenching with nitrogen is screened to separate out the sized coke and coke breeze. This coke dry quenching
(CDQ) facility provides power.

Sintering
Sintering is a high temperature (1200-13000C) process for sintering of iron ore fines, with coke breeze and
other recycled minerals like limestone, lime fines, metallurgical process wastes, LD slag, BF flue dusts etc.
Sinter plant in fact is a waste utilisation plant for the solid wastes like fines and sludges produced in the steel
plant.

Iron making
Sized iron ore, coke, sinter along with other fluxing agents are charged to the tall vertical blast furnace for
production of hot metal in presence of hot blast air. The operational temperature is around 16000C. The
gangue minerals present in the iron ore are converted to slag known as BF Slag. Fe content of the ore gets
converted to hot metal due to reduction of oxide ore by carbon of the coke. The hot metal after
desulphurisation is ready for conversion to steel in LD converters. The BF gas after cleaning in the Wet Gas
Cleaning Plant is used for fuel purpose in the plant.

Steelmaking
In LD converters, the desulphurised hot metal along with burnt lime, limestone and other fluxing minerals is
reacted with Oxygen to oxidise the excess carbon present in the hot metal. The operational temperature of LD
converter is around 17500C. The crude liquid steel so produced gets further refined by vacuum degassing
and chemistry is adjusted with the addition of ferro alloys in ladle furnaces. The desired quality of steel in
molten state is continuously cast in a special machine to produce semis in the form of blooms and billets
respectively.

Rolling of semis
The billets are reheated to a temperature of around 12000C in the furnace for rolling in different types of long
product mills to produce long merchant products like bars, rods, sections, tubes etc. Rolling Mills are of
proprietary designs, which give the finished shape of reheated semis to the desired forms like bars, rods,
angles, channels etc of commercial quality.

Lime calcination
Burnt lime and dolomite are required for steel making. Limestone and Dolomite are burnt in the kilns at a
temperature of around 10500C to produce burnt lime and dolo, which after screening are fed to the LD Shops.

Air separation
Steel making in the LD Converters requires Oxygen of high purity. Air separation plant produces liquid
Oxygen, Nitrogen and Argon. Oxygen lancing is required in LD Converters for converting hot metal to liquid
steel of desired carbon level. Argon is required for rinsing the molten bath and Nitrogen is used by the process
at various steps of operation.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
10/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Utilities

LPG/Propane storage installation comprising of 3 nos of horizontal, cylindrical, mounded storage vessel each
of capacity 75 tons inclusive of LPG/propane unloading storage evaporation and distribution system complete
with all auxiliary facilities. The storage facility of LPG will be about 15.07 Cum

Nitrogen Buffer Vessel with associated pipework including valves of capacity 3.5 Cum

Quantity of wastes to be generated (liquid and solid) and scheme for their Management/disposal.

The solid waste generated at 6.3 MTPA stage will be approx 11,700 TPD which includes granulated BF slag,
SMS slag, mill scales, sludges, ESP/Bag filter dust etc. In addition, about 2000 TPD of coal ash will be
generated at 6.3 MTPA stage. There would be additional generation of approx 1,700 TPD of solid waste. It is
estimated that 100% of the granulated BF slag would be sold to the cement making industries for
manufacturing of slag cement. Other waste such as mill scale, sludges, dust etc would be 100% recycled into
the sinter plant. 60% of the SMS slag would also be used within the steel plant and the balance would be
stored for further processing for secondary use.

Tar sludge/solid sludge generated in by-product plant will be transported to coal yard for mixing with coal.
Alternatively,mechanized handling system will be explored to facilitate charging into ovens.

Liquid Effluent

WWTP will Consists of bowl rake classifier/spiral classifier, thickener, thickener under flow pumps sludge
dewatering units etc. A HRT will be provided to further reduce the sludge loading on the sludge filtration
equipment. HRT under flow pumps, Separate sludge tanks will be provided to collect the sludge from the HRT
and pump the same to vertical filter press (1 W +1S) of 12T/hr capacity. Working hours for same shall be 12
hrs max. The sludge tank will be provided with mechanical agitator including air agitation to maintain
consistency of the sludge. For emergency handling of the sludge, sludge pumps along with pipeline will be
provided at the sludge tank for pumping the sludge to the waste water treatment plant of the SMS-1.

Most part of the treated wastewater will be recycled within the plant. A small part (about 8%) of the treated
effluent may get discharged to sea, maintaining the statutory norms. No untreated waste-water will be
disposed of.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
11/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

4. SITE ANALYSIS

Connectivity

Road: Site is approachable from Gajuwaka on NH 5 connecting Howrah and Chennai. Approach to site is
possible through the road network within the VSP premises.. Transportation of heavy equipment from
manufacturer’s works to site shall be by road and by railway network.

Rail: The nearest railway station is Duvvada which is about 10 km from project site. The rail line will be used
for transportation of heavy equipment to the site in consultation with Indian Railways for permissible weight &
height of consignments during construction period and subsequently for transportation of coal & fuel oil during
operation & maintenance.

Air: Visakhapatnam Airport is at a distance of 12.5 km

Port: Gannavarm port is about 10 km from the project site.

The total land area in possession with RINL is 8827 ha of which the plant area is 3240 ha. Since the capacity
augmentation will be taken up within the existing plant boundary, therefore, no additional land will be required
for this capacity augmentation project.Topography (along with map)

The elevation of the contours of the site varies between 72m to 93m accounting to a level difference of 13m.

Existing land use pattern (agriculture, non-agriculture, forest, water bodies (including area under
CRZ)), shortest distances from the periphery of the project to periphery of the forests, national park,
wild life sanctuary, eco sensitive areas, water bodies (distance from the HFL of the river), CRZ. In case
of notified industrial area, a copy of the Gazette notification should be given.

There is no National park, wild life sanctuary, eco sensitive areas within 10 km radius of study area.

Existing Infrastructure

Location: The plant is located in Village Gajuwaka, District Visakhapatnam, State Andhra Pradesh. The plant
lies between 17034’29” to 17038’49” N Latitude and 83009’23” to 83014’12” E Longitude in Survey of India
topo sheet No. 65 O/2, at an elevation of 10 m AMSL

Industry: Production facilities at VSP

Facilities at Production at Facilities at Production at


6.3 MTPA 6.3 MTPA stage, 7.3 MTPA 7.3 MTPA stage,
Sl. stage MT stage MT
No. Production Unit
Coke Ovens and By- COB-1 COB- 0.695 COB-1 COB- 0.775
products Recovery 2 COB-3 0.695 2 COB-3 0.775
1 Plant (COBP) of COB-4 0.695 COB-4 0.775
capacity 0.8 MTPA 0.695 0.775
each
SP-1 2.85 SP-1 3.64
2 Sinter Plant SP-2 2.85 SP-2 3.64
SP-3 3.25 SP-3 3.25
BF-1 2.0 BF-1 2.5
3 Blast Furnace BF-2 2.0 BF-2 2.5
BF-3 2.5 BF-3 2.5

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
12/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Facilities at Production at Facilities at Production at


6.3 MTPA 6.3 MTPA stage, 7.3 MTPA 7.3 MTPA stage,
Sl. stage MT stage MT
No. Production Unit
Kiln#1-5 0.425 Kiln#1-5 0.425
Kiln#6&7 0.365 Kiln#6&7 0.365
4 Lime/dolo Plant

SMS-1 3.5 SMS-1 3.5


5 LD Shop SMS-2 2.8 SMS-2 3.8
6
Wire Rod Mill 1.65 Wire Rod Mill 1.78
Special Bar Special Bar
Mill 1.65 Mill 1.77

Rolling Mill Structural Mill 1.75 Structural Mill 1.91


Rebar - Rebar 0.6
Semis (Bloom/ Semis (Bloom/
Rounds/ Rounds/
Billets) 1.25 Billets) 1.24

Coal Based 315 MW Coal Based 315 MW


Waste Gas 69 MW Waste Gas 69 MW
7 Captive Power Gas Based 120 MW Gas Based 120 MW
Nedo 20.6 MW Nedo 20.6 MW
Sinter Sinter
cooler cooler

Climatic data from secondary sources.

Visakhapatnam has a tropical wet and dry/ savanna climate (Köppen-Geiger classification ) with a
pronounced dry season in the low-sun months , no cold season, wet season is in the high-sun months.
According to the Holdridge life zones system of bioclimatic classification Visakhapatnam is situated in or near
the subtropical dry forest biome.

Temperature
The annual average temperature is 28.4 degrees Celsius (83.1 degrees Fahrenheit).Average monthly
temperatures vary by 8.4 °C (15.1°F). This indicates that the continentally type is hyperoceanic, subtype
barely hyperoceanic..

Rainfall
Total annual Precipitation averages 955 mm (37.6 inches).

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
13/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

5. PLANNING IN BRIEF

(i) Planning Concept (type of industries, facilities, transportation etc) Town and Country Planning /
Development authority Classification.

The major phases of the project during its implementation are as follows:
1) Planning & Contract Packaging
2) Design, Engineering, Tendering & Contract award
3) Manufacturing, Inspection & Expediting
4) Construction, Erection & Commissioning
5) Operation & Maintenance and Manpower Training & Placement.

During construction phase, a team of engineers headed by General Manager (Projects) of VSP supported by
Implementation Consultant’s Site Construction Manager & Construction supervision Engineers will supervise
the activities of the EPC Contractor.

(ii) Population Projection


The area surrounding the plant site is having many villages in 10-km radius. There would be negligible influx
of population with project associated activities in the project nearby area.

(iii) Land use planning (breakup along with green belt etc).
The proposed revamping and additional facilities are proposed in the existing project site of VSP.
The land requirement for the new facilities proposed are

1. COB 5 – 112 acres


2. Kanthi Balancing Reservoir - 225 acres
3. Twin Laddle Furnace - 10 acres
4. Cast 4 - 5 acres

(iv) Assessment of Infrastructure Demand (Physical & Social).


On Assessment of Infrastructure Demand near the project area, following are the few requirements
for the nearby villages of project area.
 Colleges with ITI / Vocational Training institutions, (nearby available).
 Hospitals / Primary Healthcare centers with Ambulance facility, (-- do-)
 Fire stations, (Own as well as nearby available)
 Community halls etc., (--do--)
 Amenities/Facilities. (--do--)

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
14/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

6. PROPOSED INFRASTRUCTURE

Industrial Area (Processing Area)


The existing area will be used for construction and development of project.

Residential Area (Non Processing Area)


Considering all the factors and on the ground of economy, accommodation is proposed for personnel for the
power Station operation and maintenance staff, staff employed in finance, administration, accounts, welfare
and purchase, and staff for schools, bank, post office, hospital, park, township maintenance,for the security
and firefighting staff. Guesthouse & bachelor hostels will also be provided.

Green Belt

Out of total acquired land of 8827 ha ( 21811.99 Acres ), greenbelt has been done in 1969 ha (4866 Acres)
within the plant area. On the whole about 38% of the land is afforested with the planting of 5.16 million trees.
This will help to attenuate the noise levels and trap the dust generated due to operation of plant/project
development activities.

The detail breakup of the greenbelt location in the project site is given below
Sl.No Location of Greenbelt Area in Acres
1A North and West of Township 975
1B North and West of Sector – 12 1980
2 Coastal Area 745
3 Kappari Konda 100
4 Golla Konda 50
5 City Center Hillock 60
6 Area Around Hill Top Guest House (HTGH) 256
7 K.Kotapadu 700
Total 4866

Social Infrastructure

In association with the neighbouring industrial community as a corporate responsibility social infrastructure will
be developed in the project study area. This development will be in association with the local bodies and
village people.
On Assessment of Infrastructure Demand near the project area, following are the few requirements for nearby
villages of project area.
 Schools/training institutions
 Hospitals / Primary Healthcare centers with Ambulance facility,
 Fire stations,
 Community halls etc.,

(v) Connectivity (Traffic and Transportation Road/ Rail/Metro/Water ways etc)

Connectivity

Road: Site is approachable from Gajuwaka on NH 5 connecting Howrah and Chennai. Approach to
site is possible through the road network within the VSP premises.. Transportation of heavy
equipment from manufacturer’s works to site shall be by road and by railway network.

Rail: The nearest railway station is Duvvada which is about 10 km from project site. The rail line will
be used for transportation of heavy equipment to the site in consultation with Indian Railways for
permissible weight & height of consignments during construction period and subsequently for
transportation of coal & fuel oil during operation & maintenance.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
15/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Air: Visakhapatnam Airport is at a distance of 12.5 km

Port: Gannavarm port is about 10 km from the project site.

(vi) Drinking Water Management (Source & Supply of water)

The water will be sourced from existing Yeleru Reservoir. RINL has accorded permission for
withdrawal of 45 MGD from Visakhapatnam Industrial Water Supply Company Limited (VIWSCO).

Industrial Waste Management.

Solid Wastes Generation & Disposal

The solid waste generated at 6.3 MTPA stage will be approx 11,700 TPD which includes granulated
BF slag, SMS slag, mill scales, sludges, ESP/Bag filter dust etc. In addition, about 2000 TPD of coal
ash will be generated at 6.3 MTPA stage. There would be additional generation of approx 1,700 TPD
of solid waste. It is estimated that 100% of the granulated BF slag would be sold to the cement
making industries for manufacturing of slag cement. Other waste such as mill scale, sludges, dust etc
would be 100% recycled into the sinter plant. 60% of the SMS slag would also be used within the
steel plant and the balance would be stored for further processing for secondary use.

Tar sludge/solid sludge generated in by-product plant will be transported to coal yard for mixing with
coal. Alternatively,mechanized handling system will be explored to facilitate charging into ovens.

Liquid Effluent

WWTP will Consists of bowl rake classifier/spiral classifier, thickener, thickener under flow pumps
sludge dewatering units etc. A HRT will be provided to further reduce the sludge loading on the
sludge filtration equipment. HRT under flow pumps, Separate sludge tanks will be provided to collect
the sludge from the HRT and pump the same to vertical filter press (1 W +1S) of 12T/hr capacity.
Working hours for same shall be 12 hrs max. The sludge tank will be provided with mechanical
agitator including air agitation to maintain consistency of the sludge. For emergency handling of the
sludge, sludge pumps along with pipeline will be provided at the sludge tank for pumping the sludge
to the waste water treatment plant of the SMS-1.

Most part of the treated wastewater will be recycled within the plant. A small part (about 8%) of the
treated effluent may get discharged to sea, maintaining the statutory norms. No untreated waste-
water will be disposed of.

Power Evacuation & Supply / source.

The power requirement for operating the steel plant including township at 6.3 MTPA stage is 470 MW
of which in plant generation is 384 MW and the balance 86 MW is drawn from APTRANCO. The
additional power required for the proposed augmentation is 76 MW, which will be sourced from the
APTRANCO.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
16/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

7. REHABILITATION AND RESETTLEMENT (R&R) PLAN

Policy to be adopted (Central/State) in respect of the project affected persons including home
outstees, land outstees; and landless labourers (a brief outline to be given)

The proposed project is an expansion project. Hence, no Rehabilitation and Resettlement Plan is involved.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
17/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

S.No Facility Cost in Rs. Crores


OTHERS
Revamping & Upgradation of Electrostatic Precipitators of Two Boilers in
14 70.38
Thermal Power Plant (TPP)
15 Guard Pond 12.55
16 Turbo Blower -5 280
17 Kanthi Balancing Reservoir 465.85
Total 9439.53

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
19/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

9. ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

9.1 Financial and social benefits with special emphasis on the benefit to the local people including
tribal population if any, in the area:

The expansion would create new employment opportunities to local people directly and indirectly.
Hence, scope for development of the local population economically is envisaged.

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
20/21
Pre Feasibility Report for the proposed Capacity Expansion from 6.3 MTPA to 7.3
MTPA by revamping and augmentation of existing facilities Gajuvaka, Visakhapatnam,
Andhra Pradesh

Appendix - I
(Water With Drawl Permission)

Bhagavathi Ana Labs Pvt Ltd


(a Bureau Veritas Group Company)
21/21

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