Aker Solutions :: HIsmelt Kwinana Direct Iron Smelting Project

Scope of Work

KCJV, a joint venture of Aker Solutions(2/3) and Clough Engineering (1/3), is undertaking the basic and detailed engineering for key process systems supplied by selected technology package providers, together with the remaining process areas including the Central Iron Unit (CIU), all utilities and plant infrastructure. With assistance from key personnel from Aker Solutions in Pittsburgh, US, and Stockton, UK, KCJV is also undertaking the basic and detailed engineering on all civil works, electrical, instrumentation and control systems.

Procurement of selected process equipment from technology package providers, together with generic equipment from equipment manufacturers, is also included in the scope of work. Fabrication of process vessels, structural steelwork and pipework will be incorporated into construction contracts on a fabrication and erection basis.

The construction work packages including civil, mechanical/structural/piping fabrication and/or erection, and electrical installation for all plant areas (with the exception of the Ore Pre-heat and Injection facility, which will be constructed by a selected technology provider) will be managed by KCJV.

The cold commissioning of the plant will also be managed by KCJV with assistance from the client and technology provider representatives. Hot commissioning will be undertaken by the client, with assistance from the joint venture. Operation and maintenance training for the equipment is also included in the scope of work.

Novel Process

In the HIsmelt process, developed largely by Rio Tinto, fine ores will be converted into high quality pig iron (96 per cent iron content). The technology allows efficient processing of fine ores with higher levels of impurities than can be accommodated by traditional blast furnace technology and operation techniques.

The Kwinana site is expected to be the first of a number of ironmaking plants around the world using this technology.

The trademark "HIsmelt" describes a High Intensity smelting process that has been developed for the direct smelting of iron ores or other ferrous-bearing materials such as waste iron oxides, millscale, etc., in a smelt reduction vessel. Unlike any other ironmaking process, HIsmelt produces hot metal (the industry term for molten iron) by the direct injection of ferrous-bearing materials into a hot metal bath. Ground coal, the process fuel, is mixed with the ferrous materials and fluxes (calcined lime and dolomite) outside of the hot metal bath, and the combined stream is pneumatically conveyed in a nitrogen environment through a solids injection system, which feeds the smelt reduction vessel's solids injection lances.

The coal is the main source of process carbon and acts as the reductant. The carbon is rapidly dissolved and reacts with oxygen from the incoming ferrous materials to form carbon monoxide and "iron" in the bath. The CO released from the bath reacts with oxygen from a high temperature hot air blast that is injected into the vessel above the bath via a centrally oriented lance. The heat released from this reaction, known as post combustion, is subsequently returned to the bath.

Key features of the HIsmelt process include:

- Direct use of iron ore fines
- Direct use of non-coking type coals
- Conventional hot air blast technology
- Molten bath smelting
- Premium grade hot metal product with zero silicon levels; gangue materials are removed as a molten slag product

The advantages of the process over more conventional means of ironmaking are:

- Low cost raw materials – ferrous feed agglomeration and coke making processes are eliminated
- Flexible feedstocks – the process operates on a wide range of iron ore fines and waste oxide materials, together with high and low volatile coals
- Minimised total energy consumption
- Simplified engineering and process configuration
- Environmental emissions well below the industry norm per tonne of hot metal

Aker Solutions has a one-off Engineering License Agreement for the Kwinana Plant project and has secured an Engineering License Agreement for the HIsmelt Technology. “We are very pleased to have an ongoing position in the development of this promising new technology,” said Jim McGrath, President of Aker Solutions' worldwide metals business.

Construction

The project is employing large scale offsite pre-assembly techniques in order to overcome the challenges imposed by a very congested construction site, combined with a relatively fast track schedule. Lifts of up to 200 tonnes will be undertaken within the main smelt reduction/casthouse area utilising an M600 ringer crane. Most of the offsite pre-assembly will be performed by local contractors within a 5 km radius of the site. One notable exception is the main waste heat recovery unit, which is being fabricated in Turkey and will be delivered as a fully pre-assembled unit weighing in excess of 350 tonnes. The unit will be rolled and ultimately jacked into its final location via a hydraulically actuated low loader.

Dismantling of Original Pilot Plant

The deconstruction of the HRDF (HIsmelt Research and Development Facility) included disposal of existing buildings, structures, equipment and foundations from the research facility. Some of the key equipment was removed and stored for use on the commercial HIsmelt plant.

The areas of the HRDF site covered by the scope of work include the following: raw materials handling system, core plant building, pig mill building, PRS tower, offgas system, hot blast system, compressor area, cooling tower, water treatment plant, emergency power generators, cokeless cupola, water cooling systems, electrical services, piping services, instrumentation, laboratory, control room, workshop, communications and fire control systems and slag pit.

Schedule

The current USD 200 million project began with engineering in June 2002 and moved into construction in April 2003. Commissioning of various areas of the facility will take place throughout 2004 with hot commissioning of the entire plant expected to take place near the end of the year. HIsmelt is scheduled to reach its full nominal production capability of 800,000 tpa by mid-2006.

Safety Record

As of August 2003, the project completed more than 400,000 man-hours (owner, EPCM contractor, and subcontractors) with zero lost time injuries (LTI).

“HSE Mindset” is a key Aker Solutions value, and management of safety to achieve an injury-free outcome is a primary objective. This includes selection of subcontractors who can demonstrate a high standard of safety management practices and performance.

Achieving this zero-injury vision necessitates a strong management commitment, effective HSE training for all direct and subcontract employees, and a proactive HSE program integrated into all of our actions and activities. “Safety is our number one priority, and we are very pleased that the HIsmelt Project has achieved this important milestone,” said Tom Quinn, Managing Director of Aker Solutions Australia.

Start of Construction Ceremony

On 30 April 2003, more than 150 guests and staff joined senior management from Rio Tinto for the official project ground-breaking ceremony. Rio Tinto Chairman Sir Robert Wilson joined with the premier of Western Australia, the Honourable Geoff Gallop MLA, and Rio Tinto Chief Executive, Leigh Clifford, to signal the start of construction.

From left: Duncan Price (HIsmelt Managing Director), Chris Renwick (CEO, Rio Tinto Iron Ore), Sir Robert Wilson (Chairman, Rio Tinto), the Hon. Geoff Gallop MLA (Premier of Western Australia), and Leigh Clifford (CEO, Rio Tinto).