This project was undertaken for a market-leading steel manufacturer based in the UK.
The Project
Having accumulated a significant quantity of sub-standard and reject iron ore our client was looking for a method of upgrading the ore to a quality that would allow it to be used within the steel making process.
The Challenge
For all steel manufacturers, the cost of essential raw materials can make the difference between profit and loss. It is widely accepted that 50% of the cost to produce steel in a Blast or Basic Oxygen Furnace comes from the purchase and transport of iron ore.
In its existing state the sub-standard ore could not be used and was essentially a waste material, degrading over time, taking up valuable space and delivering zero return on investment.
What We Did
Our challenge was to produce a higher quality product that could be of value within the steel manufacturing process. This involved the large-scale dewatering, grading and separating of a dense, variable and highly abrasive slurry. As well as the technical challenge the focus was on the cost-benefit ratio.
We had to deliver a process that was capable of producing usable iron ore at a cost-effective rate. With an unrivalled ability to scale our activities we were able to provide a mobile, robust and high-capacity processing unit.
Value Gained
According to ‘tradingeconomics.com’ the global price of iron ore during 2021 (at 14/10/21) peaked at 230 USD and is currently trading at around 120 USD. Taking an average of 175 USD, 6,000 tonnes of upgraded ore has a value in excess of 1M USD or almost 800K GBP. In addition, based upon the accepted ratio that 1.6 tonnes of iron ore produces 1 tonne of steel we can comfortably claim to have helped our client manufacturer almost 4,000 tonnes of its valuable end product.
This exercise resulted in the following benefits for our client:
One year into the project we are proud of our health and safety performance with zero accidents or incidents. We have processed and upgraded approximately 16,000 tonnes of iron ore, producing over 6,000 tonnes for reuse in the furnace.
