Sumitomo Metals to Expand Raw Steel Output to Max 4.7Mt at Wakayama

Sumitomo Metal Industries tries to expand the raw steel output capacity to normal 4.5 million tonnes and maximum 4.7 million tonnes per year for Wakayama works through the 160 billion yen of expansion plan by June 2009 including new no.1 blast furnace, new coke oven and expansion of sinter plant. The firm considers relining or rebuilding for aging no.5 blast furnace after the firm shifts from no.4 furnace to new no.1 furnace. The firm decides the no.5 furnace plan in 2 years depending on market condition. If the firm would build new no.5 furnace, Wakayama’s raw steel output could reach more than 5 million tonnes per year. The firm produced 4.08 million tonnes of raw steel at Wakayama in fiscal 2005 ended March 2006. The steel making shop sent 1.25 million tonnes of semi-finished steel to seamless pipe mill and sold 1.8 million tonnes of slab for China Steel Corporation of Taiwan. The works also delivers semi-finished steel for Kashima works, Osaka Steel Works and third parties. The firm plans full capacity operation at Wakayama in and after fiscal 2006. The firm starts expansion working for Wakayama in October. The firm will start the operation of new no.1 blast furnace with 3,700 cubic meters of capacity in June 2009 while the firm stops no.4 furnace. With the replacement, the works’ pig iron output capacity will increase from current 11,000 tonnes per day to 13,000 tonnes. The works’ output capacity will increase from daily 4,800 tonnes to 5,400 tonnes for coke and from 14,700 tonnes to 21,500 tonnes for sinter. The firm operates no.4 blast furnace and no.5 furnace with 2,700 cubic meters of capacity each at Wakayama. The works operates no.4, 5 and 6 coke plants and no.4 and 5 sinter plants.