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MEI Online: Plant Operation News: Australasia: September 19th 2005


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:: Outokumpu Technology’s Iron Ore Grinding Mill Advances Australia’s Project Magnet

Another milestone in OneSteel’s Project Magnet was announced today with a large ball mill contract awarded to Outokumpu Technology. The ball mill will process magnetite iron ore as part of the overall project expected to generate $A1.5 billion in new revenue over its life.

The contract for the 7,500 kW mill follows OneSteel’s decision in April to commercialise its magnetite resource in South Australia and to upgrade the Whyalla Steelworks at a total cost of $A325 million.

The new rubber-lined ball mill is an advanced and well-proven design, providing the high reliability needed to optimise production. Working with Thiess Pty Ltd, the mill is scheduled for delivery mid 2006, says Outokumpu Technology’s Grinding Manager, Oskar Gustavson.

The powerful mill - driven by two 3,750 kW wound rotor induction motors and two conventional pinions - will be installed at the Iron Duke minesite near Whyalla from which OneSteel will generate magnetite ore in concentrated form. This will be used to feed the Whyalla Steelworks in place of hematite ore currently used, thus reducing the cost of steelmaking while freeing up the hematite ore reserve for accelerated sale. OneSteel says the overall project will generate more than $A1.5 billion in additional revenues over its life, with sales of hematite ore rising from the current one million tonnes to a maximum of four million tonnes for up to 10 years.

OneSteel’s Project Magnet is scheduled to be fully operational by the end of the 2007 financial year. OneSteel is the largest manufacturer of steel long products and is the leading metals distribution company in Australia, with revenues of $A3 billion and more than 30,000 customers.




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