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|Projects In World Countries To Expand Facilities For Chrome Production May Be Reviewed (1)|
|= In South Africa, India, Kazakhstan, Turkey, And So On|
Following the myth, which the world production of stainless steel will continue a strong growth, the projects to expand facilities for production of ferro-chrome have vigorously proceeded but the current circumstances are inevitable to review them. In expectation of a substantial increase of the demand for stainless steel on a long run in Asian region, mainly in China, many projects to expand capacity for production of ferro-chrome have launched. However, some of the parties concerned have an opinion that the world production of stainless steel in 2009 is anticipated to decrease by 4.5% to 27.26 million tons. In view of a forecast, which the production of stainless steel in 2009 will be unable to expect a recovery, a strong possibility to be tried by reviewing these projects for an expansion of facilities for ferro-chrome is going to come up. The plans to decrease production of ferro-chrome have already arisen in South Africa, India and Europe.|
Also, South Africa is a main base to produce ferro-chrome but Eskom, national electric power corporation of South Africa, has frozen to supply electric power for new plants until 2012 and, therefore, the case to construct a new electric furnace is subject to the condition to be able to ensure supply of electric power. The projects, which each country of producing chrome ore has been so far proceeding to expand the capacities at chrome mines and ferro-chrome plants, are as follows ;
<> IFM (International Ferro Metals) = (1) Planned to construct three new 66 MVA electric furnaces by 2010 and to produce 398,000 tons / year of charge chrome. The current capacity produces 267,000 tons / year of charge chrome and, when three new furnaces have been constructed, the total capacity will be able to produce 665,000 tons / year., (2) Scheduled to expand the facilities for chrome ore at chrome mines by pit mining located in Buffelstontein / Lesed area. Expected to increase from 2009 the capacity at chrome mines from 720,000 tons / year of chrome ore at present to 3,120,000 tons / year and this expansion of the capacity to mine chrome ore will be able to increase the ore production by 450%. In addition, IMF has aimed to produce more than 2,000,000 tons / year of chrome ore, in order to develop and secure the markets for exports of chrome ore.
<> ARM (African Rainbow Minerals) = (1) Has been mining chrome ore at the Nkomati chrome - nickel mine located in Mpumalanga area and produced and sold 1,146,000 tons of chrome ore in the financial year of 2008 ended on the 30th June of 2008., (2) The Nkomati project, as a joint venture with Norilsk Nickel of Russia, constructed a concentrator for chrome ore, located in Mpumalanga area, in September of 2008 and is also scheduled to complete a plant to recover chrome by 2011., (3) ARM has planned to produce and to export 1,484,000 tons in total of chrome concentrate in the financial year of 2009, consisting of 957,000 tons of lumpy ore, 232,000 tons of chip ore and 295,000 tons of concentrate ore., and (4) ARM is also scheduled to export 1,850,000 tons of chrome ore in 2009. For a reference, ARM is a major shareholder of Assmang and has been producing 300,000 tons / year of ferro-chrome at the Machadodorp plant for sales. Furthermore, ARM has been producing 1,200,000 tons / year of chrome ore at the Dwarsrivier mine in Mpumalanga area.
<> Chromet = (1) Chromet has possessed the chrome mine, located in west wing of Bushveld Complex, and has been operating this chrome mine from August of 2008. In order to increase the production of chrome ore (run-of-mine) at the Stellite mine from 30,000 tons / month at present to 70,000 tons / month, Chromet has targeted to produce this chrome ore on a full scale from February of 2009., (2) Also, aimed to sell chrome ore (run-of-mine) on a pace of 60,000 tons / month from the second half of 2009., and (3) Planned to produce 1,000,000 tons / year of chrome ore in 2009 and to export chrome ore on a scale of 1,500,000 tons / year in 2009.
<> ASA Metals = (1) The Dilokong chrome mine has been located in east wing of Bushveld Complex and is scheduled to complete a new plant to pelletize chrome ore with annual capacity of 600,000 tons in April - June quarter of 2009, in order to expand the capacity for production of chrome ore., (2) Tenova Pyromet, an engineering company in South Africa, is constructing two 66 MVA electric furnaces and this construction is scheduled to complete in July - August of 2009. This installation of two new electric furnaces will enable ASA Metals to expand the capacity for production of charge chrome from 275,000 / year at present to 400,000 tons / year., and (3) Sinosteel of China is a major shareholder of ASA Metals and has intended to develop the market for chrome ore in 2009. This is an important matter for China, where has no production of chrome ore, in order to ensure the sources for supply of chrome ore as raw material for production of ferro-chrome.
<> Cronimet = (1) Cronimet has possessed the chrome mine, located in Western Limb as north wing of Bushveld Complex, and this chrome mine commenced to operate from July - September quarter of 2008., (2) Cronimet so far does not have electric furnace to melt chrome ore but has a plan to construct the facilities for production of ferro-chrome., and (3) Aimed to export chrome ore on a scale of 400,000 tons / year in 2009.
<> DCM Decometa = DCM has taken over the Rooderand chrome mine, located in west wing of Bushveld Complex, from Cronimet in September of 2007 and launched to produce chrome ore with a target to produce 20,000 - 30,000 tons / year of chrome ore in 2009. DCM has aimed to produce chrome ore on a scale of 150,000 tons / year in the future. (To be continued)
|last modified : Wed 12 Nov, 2008 [10:22]|