London, February 17, 2016

Gerdau Ouro Branco issues Final Acceptance Certificate for Steckel mill supplied by Primetals Technologies

• Mill produces 800.000 metric tons of hot-rolled coil per year
• Part of a major project for the production of flat carbon steel in Brazil
• Primetals Technologies supplied complete mechanical, electric and automation equipment

Brazilian steel producer Gerdau has issued the Final Acceptance Certificate (FAC) for a new Steckel mill supplied by Primetals Technologies for its Ouro Branco production site in the state of Minas Gerais. The Steckel mill has an annual capacity of 800,000 metric tons of hot-rolled coil and was part of a major order placed with Primetals Technologies in 2010, comprising the complete mechanical, electrical and automation equipment.

Gerdau is the leading long steel producer in the Americas and a leading global supplier of special steels. Gerdau has industrial operations in 14 countries in the Americas, Europe and Asia with combined installed production capacity of more than 25 million metric tons of steel per year. It is also the largest recycler in Latin America and around the world transforms millions of tons of scrap into steel each year.

The Steckel mill is part of an investment program for the Ouro Branco Steel Works, which is intended to establish the Gerdau as a flat carbon steel producer in Brazil. Under the investment program, Gerdau also ordered a plate mill and a two-strand continuous slab caster from Primetals Technologies. The end products include not only high grade plates for API (American Petroleum Institute) linepipes, but also for shipbuilding, the construction industry and pressure vessels.

Primetals Technologies supplied all the mechanical equipment for the Steckel mill, including the Steckel rolling stand with coiler furnaces, a crop shear, a laminar flow cooling section, and the downcoiler with its associated coil handling devices as well as the complete electrical and automation equipment. The rolling line is designed producing steel strip ranging in width from 900 to 2,100 millimeters and in thicknesses between 2 and 20 millimeters. The main drives of both rolling mills are equipped with non-salient pole synchronous motors powered by Sinamics SM150 voltage source converters. The scope of supply also covers the complete instrumentation, the measuring system and the automation, and includes all the technological control systems and process models. The project also included the complete power supply, including high, medium and low voltage switchgear. The scope of supply was rounded off by fluids systems and the water treatment plants for the two rolling lines. Primetals Technologies also was responsible for supervising the installation and commissioning of the equipment supplied.

Steckel mill supplied by Primetals Technologies for the Ouro Branco production site of Brazilian steel producer Gerdau Ouro Branco in the state of Minas Gerais

Primetals Technologies, Limited, headquartered in London, United Kingdom, is a pioneer and world leader in the fields of engineering, plant building, and the provision of lifecycle services for the metals industry. The company offers a complete technology, product, and services portfolio that includes integrated electrics and automation, digitalization, and environmental solutions. This covers every step of the iron and steel production chain—from the raw materials to the finished product—and includes the latest rolling solutions for the nonferrous metals sector. Primetals Technologies is a joint venture of Mitsubishi Heavy Industries and partners, with around 7,000 employees worldwide. To learn more about Primetals Technologies, visit the company website www.primetals.com.