Electric Arc Furnace of BSRM

BSRM Steels Limited is planning to set up a 0.7 MTPA capacity EAF based Steel melting plant to produce different grades of steel billet which will be used to produce different grades of re-bars, wire rods and other applications. Production of steel billet by melting steel scrap in Electric Arc Furnace (EAF) will go on in the name of BSRM Steels Limited (BSRMSL) at Zorarganj, Mirsharai, Chattogram, Bangladesh. The company, BSRMSL need to have approval to set up the EAF based steel melting plant from the Bangladesh Investment Development Authority (BIDA). The tentative project cost will be BDT 14, 789.59 million equivalents to USD 140.85 Million.

At present the company has rolling capacity of 8,00,000 MT per annum and a melting capacity of 7,85,000 MT per annum. The Billets are mainly supplied by two plants with a capacity of 2,65,000 and 5,20,000 MT per annum respectively.

Currently the steel market of Bangladesh is growing at the rate of 6-8 % per annum and is expected to have a steady growth in next 10 years. Considering the 10 years capacity planning starting from the year 2020 it has been seen that BSRMSL will be in short of Re-bars by year 2023. To be aligned with the market demand a rolling mill of 700,000 MTPA combination of Rebars and Wire Rods which is expandable to 850,000 MTPA will be set up by year 2023-24 by BSRMSL. Even though, expansion of an existing melting capacity of BSRMSL by 2,50,000 MTPA will also be implemented by 2023-24, the new rolling mill project will gear up an additional demand of billets which will be required to be supported by setting up a new melting plant.

Hence, the proposed project envisages setting-up a Melting Plant by year 2024-2025 that will produce 7,00,000 MTPA of Billets of different grade which will fulfill the requirement of the rolling mill for Rebars and Wire Rod grade billet.

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