The Business Bytes
THEBUSINESSBYTES BUREAU
ROURKELA, FEBRUARY 17, 2025
In a significant move to enhance operational efficiency and optimize resource utilization, Rourkela Steel Plant (RSP) has entered into an agreement with the Consortium of Orissa Metaliks Private Limited and Rosemary Sponge & Ispat Private Limited for the installation of a 2 million ton per annum (MTPA) Pellet Plant. The project will be executed on a Construct, Operate, and Maintain (COM) basis.
The contract signing took place on February 14 in the presence of Sudip Pal Chowdhury, ED (Projects); Pinaki Choudhury, CGM (Projects); SS Roychoudhury, CGM (Maintenance); PS Kannan, CGM (EMD); and other senior officials from RSP, CET, and the consortium partners at the ED (Projects) Conference Hall of RSP.
The Letter of Award (LOA) for the project was issued on January 16, 2025, and the completion timeline has been set for 24 months from the effective date of signing. The Operation & Maintenance (O&M) contract will span 20 years, with an option to extend for an additional five years based on mutually agreed terms. CET is the overall consultant for the project, with PwC serving as the associated consultant.
The installation of the Pellet Plant is aimed at effectively utilizing ultra-fines generated from mining, which are otherwise unsuitable for sinter making. The high iron content (≥63%) of the pellets will contribute to lower slag rates in Blast Furnaces (BFs) compared to sinter (54%). Additionally, the combined use of improved sinter quality and pellets will enhance permeability, increase CDI (Coke Dust Injection), and facilitate oxygen enrichment, leading to improved Blast Furnace productivity and reduced coke consumption.
This strategic initiative underscores RSP’s commitment to sustainability and operational excellence. By optimizing raw material utilization, improving steel quality, and reducing production costs, the Pellet Plant will further strengthen RSP’s position as a leader in the steel industry.
