Environmental Management Environmental Sustainability Report 2004

Contribution to Environmental Protection through Products, Technologies and Services (6)

New Production Technologies Iron Ore Pelletizing Plant Kobe Steel, jointly with Marubeni Corporation and Mitsubishi Corporation, was awarded an order to supply an iron ore pelletizing plant with an annual production capacity of 3,400,000 tons to Chador Malu Mining and Industrial Company, affiliated with the National Iranian Steel Company. In Yazd in the central part of Iran, pellets will bemanufactured from concentrates produced by the beneficiation plant of Chador Malu, which Kobe Steel constructed. The iron ore pellets produced will be used in the direct iron plant constructed by Kobe Steel for the Mobarakeh Steel Company. Construction is scheduled for completion in mid-2006 with commercial operation to start by the end of the same year. Kobe Steel's plants use a kiln process that can uniformly sinter the pellets. The pelletizing plant for Chador Malu is the fourth plant constructed overseas following CAP Company in Chile,completed in 1978 with an annual capacity of 3.5 million tons; AISCO Company in Bahrain,completed in 1985 with an annual capacity of 4 million tons; and FMO in Venezuela,completed in 1994 with an annual capacity of 3.3 million tons and the eighth, including domestic plants. Kobe Steel will continue to contribute to the effective utilization of resources by expanding the use of efficient ironmaking processes. Iron ore pelletizing plant Operation of Demonstration Plant of ITmk3: New Energy-efficient Ironmaking Technology     The trial operation of the ITmk 3 Mesabi Nugget Pilot Demonstration Plant which Kobe Steel carried forward together with the Minnesota state government and private companies has shown good performance. Test runs commenced from May 2003. The iron nuggets made by the demonstration plant were shipped to the Butler Works of Steel Dynamics, Inc. in Indiana, USA, and successful results were obtained in the melting tests in electric furnaces. The demonstration plant has an annual production capacity of 25,000 !)tons. The trial operation opens the way to a commercial-scale plant with a capacity of 500,000 tons per year. TheITmk3 Process produces iron nuggets of high purity similar to pig iron and enables iron ore mines to supply a high value-added product. In comparison to iron ore, iron nuggets can reduce the shipping weight byabout 50% and the volume about 90%. . As a result, ITmk3 can contribute to considerable reduction in transportation costs and CO2 emission associated with the transportation. ITmk3 process flow Iron muggets of quality similar to pig iron Development of World’s First Air-cooled Galvanized Steel Sheet Electromagnetic Damper Shinko Electric Co., Ltd. http://www.shinko-elec.co.jp/index_j.htm     Shinko Electric has developed an electromagnetic damper (non-contact type support roll) that prevents the vibration of steel sheet after galvanizing. The unit consists basically of two electromagnets placed opposite each other. The electromagnets are equipped with sensors that are 15-20 cm away from the steel sheet. The non-contact support rolls support the soft surface of the sheet right after plating without touching the surface, by using the magnetic attraction of the electromagnets. This is the world's first air-cooled type. Because the unit can straighten warpage in the steel sheet and reduce vibration, a uniform plating thickness can be obtained. At the same time, the unit reduces the consumption of plating metals. Inquiries are being received from manufacturers of Korea, Taiwan, Europe and the United States, as well as from domestic steel manufacturers. The damper is expected to contribute to improvingyield and quality in steel steel production. Electromagnetic Damper