CORPORATE NEWS
Zisco deal at advanced stage 
Thu 24th May 2018 02:03 GMT Africa Moyo and Martin Kadzere GOVERNMENT is now fine tuning the implementation matrix of the $1 billion investment into the Zimbabwe Iron and Steel Company (Zisco), once a top steel firm on the continent. Zisco shut down operations in 2008 but efforts [
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Interim dividend for 2018 Thu 24th May 2018 01:00 GMT RNS Number: 2097P Evraz Plc 24 May 2018 EVRAZ plc (the 'Company') Interim dividend for 2018 EVRAZ plc (LSE: EVR; EVRAZ or the Group) today has announced an interim dividend. On 24 May 2018, the Board of Directors voted to disburse a total of US$187.6 million, or US$0.13 per share. The record date is 8 June 2018 and payment date is 22 June 2018. Th [
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EVRAZ signed a contract on building a new oxygen production ... Thu 24th May 2018 01:00 GMT EVRAZ ZSMK signed an agreement with Air Liquide on the construction of a new oxygen production facility at the territory of the plant for the supply of air separation products for technological needs. The project will provide EVRAZ ZSMK with advanced equipment, which will be 30% more energy efficient than the previous one, and will allow to abandon expensive repairs [
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New Zisco plant will be cheaper Wed 23rd May 2018 16:56 GMT Mr Mliswa said investors have been dragging their feet on the Zisco project over the years hence prejudicing the country and the economy. He said the country has as a result lost the foreign market for steel products, which it used to enjoy before the [
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Learn details of the global grain oriented electrical ... Wed 23rd May 2018 06:26 GMT Cogent(Tata Steel), Wisco, Baosteel, Ansteel, Shougang and others. Access complete report at: www.themarketreports.com/report/1063200 When taking a good look at this report, based on the product, it is evident that the report shows the rate of production [
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INDUSTRY NEWS
Praying for the Church in China without missing the point Thu 24th May 2018 03:42 GMT During the past few months, the Henan provincial administration has launched a campaign officials in Jiangsu province in order to contain over-investment in China's steel industry. Even though the efficacy of the approach is debatable, a centralist [
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Buying Bhushan Steel better than greenfield investment: ... Thu 24th May 2018 01:00 GMT The total cost of the BSL acquisition is Rs 35,200 crore for settlement of the debt, which has been paid upfront to the lenders of Bhushan Steel, and inovation of the remainder debt [
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Trump Trade War - Texas oil producers fight steel tariffs ... Wed 23rd May 2018 23:12 GMT Those requested exemptions include the European Union, Canada, Mexico, South Korea, Argentina, Brazil and Japan. However, China is not part of that request. Trump this week said he's putting the steel tariffs on hold as trade negotiations with China continue [
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Interview: Aco Verde do Brasil starts wire rod production ... Wed 23rd May 2018 14:19 GMT Aco Verde do Brasil has commissioned its 600,000 mt/year, two-line hot rolling mill, marking its debut in the Brazilian long steel market. After a three-year first phase producing carbon steel billets for both domestic and export markets, and a total [
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Sierra Leone News: Over 400 senior Shandong staff to ... Wed 23rd May 2018 08:26 GMT Shandong Iron and Steel Group Co. Ltd. is a Chinese state-owned enterprise, established in March 2008 with its Jinan based Iron & Steel Company Ltd. It is engaged in the smelting, processing, and sale of steel products. It acquired in 2015, African [
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Beyond Samarco, Randolph charts Boart revival Wed 23rd May 2018 07:05 GMT Ask BHP's former iron ore and coal boss Marcus Randolph about the homicide charges that hang over his head, and he will turn the focus to those he says have been worse affected by the Samarco tailings dam failure of 2015. That of course includes the [
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SELECTED STEEL INDUSTRY MAPS
Chinese seamless tube mills
For other steel location maps, visit our steel industry maps page.
STEEL PLANT CAPITAL INVESTMENT COSTS
BOF SLAB PLANT
All cost estimates are in 2016 US dollars.
For further info visit our steel capex page.
Capital costs describe investment for an integrated slab plant with continuous casting, typically with coke, sinter etc. Representative investments include:
- CSA slab mill investment in Sepetiba, Brazil
- CSN investment in Itaguai, Brazil
- CVRD-Baosteel joint venture in Vitoria, Espirito Santo in Brazil
- Sinosteel Corporation's investment in Jharkand, India.
Average cost: $4300m
Average capacity: 4210 kt
Sample size: 12
Average cost/tonne: $1050/t
INTEGRATED HOT STRIP MILL
All cost estimates are in 2016 US dollars.
For further info visit our steel capex page.
Chart describes investments in ore-based integrated steel plants with hot strip production and sometimes other additional downstream rolling capability. Typical examples include:
- Wuhan Iron & Steel investment in Fangchengang Port in China
- ArcelorMittal investment in Karnataka, India
- Tata Steel joint venture with VSC & Vicem for investment in Vung Ang in Vietnam.
Average cost: $7560m
Average capacity: 6660 kt
Sample size: 16
Average cost/tonne: $1200/t
Notes
Analyses above were last updated in January 2016. For further item-specific capital investment data see our steel capex database page.
EMPLOYMENT BENCHMARKS
Chart above shows current employment levels at 114 different steel firms around the world - companies that make flat, long and/or tubular carbon steel products.
An average steel producer with a production potential of ~3 mt steel/year typically thus has ~4000 employees. If your steel company employs more than this, please call us - our technical experts can assist with steel plant productivity improvement.
To discuss the interpretation of this chart and/or further information (including employment benchmarks for specialty steel production) please email us at the address shown at the foot of the page.
INDUSTRY SUPPLY & DEMAND FORECASTS FOR YEARS 2017-2018
Table below shows global crude steel production volumes and capacity figures - as assessed by World Steel Association and by the OECD to 2018 - and resulting calculation of steelmaking capacity utilisation. The overall picture for 2018 as compared to 2017 is that of a tiny reduction in the global capacity surplus [which will fall from ~602mt to ~598mt] and a small but significant improvement in world capacity utilisation at the crude steel level.
Year
Production
million t
Capacity
million t
Capacity
Utilisation
Graph below shows the relationship between steel prices and global plant loading - and indicates (both for HRC and for rebar) that prices fall ~$27/tonne per 1% drop in capacity utilisation.
In 2017, on the basis that world capacity utilisation remains largely at 2016 levels of approx 67.4% (see table), MCI's consultants expect steel prices to remain at 2016 levels.
In 2018, assuming a very small improvement in global plant loading, we forecast just a tiny increase in steel price levels of the order of $5/tonne (hot rolled coil and reinforcing bar). For other products and / or for steel price forecasts through to 2020, please contact us.
OTHER USEFUL METAL INDUSTRY WEBSITES
Why not check out the following websites?
American Metal Market (AMM) at www.amm.com
Steel Guru at www.steelguru.com
SteelOrbis at www.steelorbis.com
Metal Bulletin at www.metalbulletin.com
