25 Jul 2019 091802780i6ojutryprefeasibilityreport

PRE-FEASIBILITY REPORT
Prepared for:
AMMAN-TRY SPONGE & POWER (P) LIMITED
Located at
Sirasanambedu Village, Pellakur Mandal,
SPS Nellore District, Andhra Pradesh
[For expansion of Steel Plant – New Installation of DRI Kilns

(Sponge Iron from 3,46,500 TPA), Expansion of Induction Furnace
(MS Billets from 55,500 TPA to 4,12,500 TPA), New Installation of
Rolling Mill (TMT Bars/ Structural steel from 3,96,000 TPA), New
Installation of WHR based Power Plant from 24 MW, New
Installation of CFBC based Power Plant 20 MW]
Prepared by:
ISO 9001: 2008 Certified Accredited by NABET - QCI
6-3-652 | Flat # 7-3 | Dhruvatara Apartments | Amrutha Estates | Erramanjil | Somajiguda |

Hyderabad- 500082
3
PRE-FEASIBILITY REPORT AMMAN-TRY Sponge & Power (P) Limited
(Expansion of Steel Plant)
INDEX
S.NO ITEM PAGE NO

1. EXECUTIVE SUMMARY 2
2. INTRODUCTION OF THE PROJECT/BACKGROUND INFORMATION 7
3. PROJECT DESCRIPTION 14
4. 33
SITE ANALYSIS
5. 36
PLANNING BRIEF
6. 37
PROPOSED INFRASTRUCTURE
7. REHABILITATION AND RESETTLEMENT (R & R) PLAN 39

8. PROJECT COST 40
9. ANALYSIS OF PROPOSALS (FINAL RECOMMENDATIONS) 41
1
Chapter - 1
EXECUTIVE SUMMARY
1.1 EXECUTIVE SUMMARY
Existing plant:
AMMAN-TRY SPONGE & POWER (P) LIMITED is an existing plant situated at Sirasanambedu Village,
Pellakur Mandal, SPS Nellore District, Andhra Pradesh and obtained Environmental Clearance from
State Environment Impact Assessment Authority vide order No. SEIAA/AP/NLR-16/2008 Dated 29th
June, 2010 for the following units:
S.NO. UNIT AND PRODUCT PRODUCTION CAPACITY
1 Sponge Iron 180 TPD (54,000 TPA)
(DRI Kilns -2x90 TPD)
2 MS Billets 370 TPD (1,11,000 TPA)
(Induction Furnaces -4x12 MT)
3 TMT Bars/Structural steel 200 TPD (60,000 TPA)
(Rolling mill -1x200 TPD)
4 Power plant 8MW
(WHRB-4MW & FBC - 4MW)
Later industry has been obtained Consent To Establish from A.P. Pollution Control Board for the above
said units, vide order No.178/PCB/CFE/RO-NLR/HO/2010-1029 dated 26th July, 2010. Company has
established and operating 1x24 MT Induction Furnace for manufacturing of 55,500 TPA (185 TPD) of
MS Billets and industry is obtained Consent To Operate from A.P. Pollution Control Board and is valid
up to 30th April, 2023.
Now company is dropping all the remaining units, for which EC validity is up to 29th June, 2020
Proposed Project:
Now, it is proposed to go for expansion of steel plant to meet the demand of steel in Andhra Pradesh
state. The following are the production capacities of Existing & expansion project.
2
S.NO. UNIT AND EXISTING CAPACITY PROPOSED AFTER
PRODUCT EXPANSION EXPANSION
ENVIRONMENTAL CLEARANCE CTO OBTAINED FROM DROPPING PROPOSAL

WAS ISSUED BY SEIAA, A.P. A.P. POLLUTION
DATED 29/06/2010 CONTROL BOARD
1 Sponge Iron 54,000 TPA -- 54,000 TPA* 3,46,500 TPA 3,46,500 TPA
(DRI Kilns ) (2x90 TPD) (2x90 TPD) (3x350 TPD)
2 MS Billets 1,11,000 TPA 55,500 TPA 55,500 TPA* 3,21,500 TPA 4,12,500 TPA
(Induction (4x12 MT) (1x24 MT &
Furnaces ) 2x30MT)
35,500TPA**
(1x24 MT)
3 TMT 60,000 TPA -- 60,000 TPA* 3,96,000 TPA 3,96,000 TPA

Bars/Structural (1x200 TPD) (1x200 TPD) (1x1200 TPD)
steel
(Rolling mill )
4 Power plant
WHRB 4MW -- 4MW* 24 MW 24 MW
CFBC 4MW 4MW* 20 MW 20 MW
44 MW
*- These units are dropping from existing Environmental clearance order issued vide dated 29th June, 2010. Because the validity of existing EC order having 1 year
only that is up to 29th June, 2020.
**The existing Induction Furnace production capacity will be increased from 55,500 TPA to 91,000 TPA by increasing numbers of heats and number operation
days to 330 in year.
3
Need for the Project:
India’s economic growth is contingent upon the growth of the Indian steel industry. Consumption of
steel is taken to be an indicator of economic development. While steel continues to have a stronghold
in traditional sectors such as construction, housing and ground transportation, special steels are
increasingly used in engineering industries such as power generation, petrochemicals and fertilizers.
India occupies a central position on the global steel map, with the establishment of new state-of-the-
art steel mills, acquisition of global scale capacities by players, continuous modernization and up
gradation of older plants, improving energy efficiency and backward integration into global raw
material sources. Steel production in India has increased by a compounded annual growth rate (CAGR)
of 8 percent over the period 2002-03 to 2006-07. Going forward, growth in India is projected to be
higher than the world average, as the per capita consumption of steel in India, at around 46 kg, is well
below the world average (150 kg) and that of developed countries (400 kg). Indian demand is
projected to rise to 200 million tonnes by 2015. Given the strong demand scenario, most global steel
players are in a massive capacity expansion mode, either through brownfield or Greenfield route. By
2012, the steel production capacity in India is expected to touch 124 million tonnes and 275 million
tonnes by 2020. While Greenfield projects are slated to add 28.7 million tonnes, brownfield
expansions are estimated to add 40.5 million tonnes to the existing capacity of 55 million tonnes.
Steel is manufactured as a globally tradable product with no major trade barriers across national
boundaries to be seen currently. There is also no inherent resource related constraints which may
significantly affect production of the same or its capacity creation to respond to demand increases in
the global market. Even the government policy restrictions have been negligible worldwide and even
if there are any the same to respond to specific conditions in the market and have always been
temporary. Therefore, the industry in general and at a global level is unlikely to throw up substantive
competition issues in any national policy framework. Further, there are no natural monopoly
characteristics in steel. Therefore, one may not expect complex competition issues as those witnessed
in industries like telecom, electricity, natural gas, oil, etc.
Location:
The Plant is located in Sirasanambedu Village, Pellakur Mandal, SPS Nellore District, Andhra Pradesh.
4
The Plant is situated at a distance of 6.2 kms. (by Road) from Naidupeta town in the NNE direction.
The Plant is at 3.2 Kms. (by Road) away from Naidupeta – SrikalahastiState Highway. The Plant is at
distance of 9.5 kms. (by Road) from Naidupeta Railway station in NNE Direction.
Land Details:
The existing plant is situated in Sirasanambedu Village, Pellakur Mandal, SPS Nellore District, Andhra
Pradesh. Total land of 104.68 Acres (42.36 Ha.) is available with the company. No Forest land is
involved in the plant area. The proposed expansion will be taken up in the Existing plant premises
only.
Manufacturing Process:
Production of Sponge Iron will be from iron ore, coal & limestone. The waste flue gases from the kiln
will pass through WHRB and power will be generated. The Char and Dolochar generated from the
sponge iron will be used in CFBC boiler as fuel and power will be generated. Sponge Iron will be
melted in Induction Furnace along with scrap to produce M.S.Billets through concast Machine. These
Billets will be fed to a Rolling Mill to produce TMT bars/structural steel.
Environmental Protection:
State-of-the-art Electro Static Precipitators (ESPs) will be installed to WHRB & CFBC Boilers to bring
down the particulate matter in the exhaust gas to less than 30 mg/Nm3 for DRI plant & 30 mg/Nm3
for Power Plant to comply with CREP recommendations. Fume extraction system with bag filters will
be provided to control the fugitive emissions and the treated gases will be let out into the
atmosphere through a stack of adequate height for Induction Furnace. The wastewater generated
from the DRI plant, SMS & Rolling Mill will be sent to settling tank and will be recycled back to the
process through closed-circuit cooling system.
Effluent from power plant such as boiler blowdown, DM Plant regeneration waste water will be
neutralized in a neutralization tank. After neutralization these streams will be sent to tank. The
treated effluent will be utilized for greenbelt development within the premises, Dust suppression &
for Ash conditioning. Sanitary waste water will be treated in septic tank followed by sub-surface
dispersion.
Solid waste from DRI plant like Char and dolochar will be used for power generation and ash, Bag filter
dust will be given to brick manufacturers. Accretion slag will be used in Road construction as sub-base
5
layer. Slag from Induction furnace will be utilized in the road construction / civil works / cement /brick
manufacturing. End cuttings from Rolling Mill will be recycled to SMS unit. Ash from CFBC boiler will
be stored in silo and given to Brick manufacturers/cement plants.
Employment:
Employment generation potential due to the expansion project will be 330 Nos. which will include
directly employed officials, staff, skilled, semi -skilled labour and those indirectly employed in contract
works & transport.
Corporate Social Responsibility (CSR):

The company will provide social benefits like drinking water, health care measures, training for self-
employment, repair& maintenance of the village roads, maintenance of school buildings, awarding
scholarships for higher studies to the meritorious backward class students, supply of free books and
uniforms to the socially deprived class of students in the neighboring villages. This project is expected
to yield a positive impact in the surrounding area.
6
Chapter – 2
INTRODUCTION OF THE PROJECT/ BACKGROUND INFORMATION
2.1 Identification of project and project proponent

Amman Steel Group started in 1978, has made remarkable progress over past 40 years and it is now
the leading steel producers. A group of Company, Amman Steel Company, Amman Steel Corporation
was initially a scrap retail and trade organization. Amman Steel Group soon expanded into the biggest
integrated steel plant with Embedded quality concept in the private sector in South India.
It is one of the largest and most respected companies in South India with 3 Rolling Mill plants in
Tamilnadu and 2 Steel making plants one in Puducherry and another in Andhra Pradesh. It is
headquartered at Trichirapalli, Tamilnadu. The company is engaged in the business of manufacturing
of Bars and Rods of various sizes. The rolled products are Steel Rods(CTD/TMT/CRS) from 6mm to
25mm. These rolled products, namely 6, 8, 10, 12, 16, 20 and 25mm rods are extensively used in
buildings and other civil construction works. Amman TRY Steel has always been a leader in the Steel
Industry, introducing new concepts in steel and started to produce CRS Bars in 2007 after that
Amman-Try emerged as the major steel producer in Tamilnadu.
Amman Steel Group has grown over the years from a mere 25 dealers to more than 300 dealers now.
This growth was possible only because of the co-operation and support offered by dealers. To be
deserving, in return the Amma-TRY Steels make fine housing comfortable and affordable. Amman TRY
Steels is the Amman Steel Group’s Trade Mark and most popular brand in South India.
Amman Steel Group thrives on professionalism, business ethics and customer delight with 300 dealers
spread across Tamilnadu and Puducherry. The company’s business are supported by a wide marketing
and distribution network and have established a reputation for strong customer support. Amman
Steel Group is also doing best for the benefit of builders, dealers and consumers.
From an annual sales turnover of 7 crores, business, revenues today are in excess of Rs.800 Crores on
consolidated basis.
Market Leader
Shri Amman Steel and Allied industries (P) Limited, is a company that is forever challenging itself to
innovate and beat its own high standard as a market leader in ISI bars segment.
7
The Company’s products command 10% premium over the market prices. Now SASAI emerging as top
one among the reputed rolling mills in Tamilnadu. If all the efforts of the dealers succeed the
AMMAN-TRY STEEL would continue to remain on the top berth in the steel market in the future years
also. We expect Amman Steel Groups to be among the top 10 Companies of South India in next 5
years. Having achieved premium on Amman Steel Groups products in the tough and competitive
market, this is certainly not a distant dream. Improvement of AMMAN TRY steel’s market share with
more remunerative sub segments of the steel market. Our Dealership network comprising of more
than 300 established Dealers.
Our Vision
To become leading and reputed organization, respected by all stake holders such as dealers,
Employees and Society.
Our Mission
To achieve profit, by providing best products, technologies, services to customers by practicing best
business ethics and to become useful to the society.
Quality Policy
Shri Amman Steel and Allied Industries Private Limited committed to manufacture and supply high
quality CTD and TMT Bars at the reasonable price to the entire satisfaction of its customers. It has a
vision to achieve on continual improvement basis. Zero customers Complaints & Timely delivery of
products.
Award
The government of Tamilnadu (Department of Industries and Commerce) has awarded
Mr.M.Somasundaram as “Best Entrepreneur of year 2006-07” CII (CONFEDERATION OF INDIAN
INDUSTRY) notable panel of judges had short listed. Mr. M. Somasundaram as one of the Tamilnadu
Emerging Entrepreneur Awards after a meticulous process in 2009.
MANAGEMENT TEAM:
The Company is managed by the Board of Directors and Team of professionals. The Board of AMMAN
Steel Group is headed by Mr. S.P. Muthuramalingam who is in the field of steel for 4 decades. Mr. M.
Somasundaram, Managing Director is managing the whole affairs of the company.
8
ABOUT CHAIRMAN
Mr.SP.Muthuramalingam
Mr.S.P. Muthuramalingam is a energetic entrepreneur who has carried Amman Steel Group to the
heights of success in span of very short time. His success lies in his desire to be the best in every
aspect of the business by meeting diverse demands of the customers. He aims for complete customer
satisfaction.
ABOUT MANAGING DIRECTOR

Mr.M.Somasundaram
Mr. M. Somasundaram is managing the whole affairs of the Manufacturing division. In his 1 st decade
at AMMAN STEEL GROUP, Initially by putting a Steel Rolling Mill at Trichy in 1999 and then he went on
to implement big plans including three ventures, first by putting a steel melting unit at Karaikal in
2002, supplying quality ingots to Rolling Mills and then started another Rolling mill at Trichy in 2006.
Executive Director
Mr. Sanjay Kumar Gupta
Mr.Sanjay Kumar Gupta brings in along with him extremely rich experience in Steel Industry with
having spent around 30 treasured years in various fields relating the said industry ever since 1987.
He Graduated in Arts and has shown diversified & vast potential of successfully taking care of
procurement of various raw materials, high priced consumables, capital equipment etc. He was
pivotal in Global Sourcing of high quality Scrap, DRI, Iron Ore and Coal in various industries he drove
for. In addition to sourcing; his multi-faceted approach to effectively manage the overall Production &
Operations of various Rolling Mills, Furnaces/Recycling units & DRI is worth add admiration. Mr.
Sanjay Kumar Gupta during his vast years of exposure also commanded sales of Ingots, Billets, Sponge
iron foray. His undauted leadership and skill set is exemplary to almost 2000 employees worked under
his vision in past. The same is quite evident from the fact that he has always top positions in the
management and has closely worked with promoters in their vision and mission realized.
His liasion with Government officials in expediting approvals and clearances during outright purchase
of assets, erection & commissioning of rolling mills is un-parallel. It was clearly exhibited during one of
his such projects in Nigeria (Africa). Africa as an overseas market is quite tough and unfavorable when
it comes to getting big time projects executed. Mr. Sanjay Kumar Gupta not only stroke deal in buying
the land by ensuring proper project finance but also established a full-fledged rolling mill successfully
in Nigeria under such extreme conditions.
9
GROUP COMPANIES:
AMMAN STEEL CORPORATION (ASC):
Amman Steel Corporation is promoted by Mr.S.P.Muthuramalingam, in existence since 1978. ASC is
the STEP STONE and BACK BONE of AMMAN GROUP.
The activity of the ASC is to supply various kinds of steel Scrap to steel making units and Foundries.
ASC has been importing steel scrap from various countries and procuring local scrap which is
internally generated by steel Companies, engineering industries and Public sector units like Railways,
BHEL, Neyveli Lignite Corporation.
SHRI AMMAN STEEL AND ALLIED INDUSTRIES (P) LIMITED (SASAI):

The Group’s first manufacturing facilities were setup in 1999 for manufacture of M.S. Bars & Rods out
of M.S. Billets. The company is engaged in the business of manufacturing of Bars and Rods various
sizes and specifications according to the needs of the customers. The company currently has rolling
capacity of 48000 ton/year (on double shifts basis). Over the years, Mr. M. Somasundaram, Managing
Director build it up into a premier Rolling Mill Unit and were certified by ISO 9001 by BVQI, London
SASAI Involved in the production process of reinforcement of Thermo Mechanically Treated/CRS Bars
of Sizes 8mm, 10mm, 12mm, 16mm, 20mm & 25mm.
AMMAN TRY STEELS (P) LIMITED:

AMMAN-TRY brand has been recognized for the best quality and its product commanded a sizable
premium on the market. As SASAI was notable to meet the full demand, Mr.M. Somasundaram had
decided to double the existing supply and increase the AMMAN-TRY share in the market and started
another Rolling Mill unit is spread over 10 acres of free hold land with first class construction of
factory building with adequate infrastructure facilities. AMMAN-TRY STEEL (P) LIMITED also involved
in the production of reinforcement of Thermo Mechanically Treated/CRS Bars as per BIS-Fe 415 &500
Grade.
AMMAN TRY SPONGE AND POWER (P) LIMITED:

The increasing trend in the prices of steel, its short supply lead the steel technologists to find a
suitable charge mix in the form of sponge iron. Sponge iron is the better substitute for the scrap for
steel making through Induction Furnaces due to homogenous nature and improved productivity. This
is the trend towards backward integration into steel making by re-rollers. Hence,
10
Mr.M.Somasundaram proposes to encash his immense goodwill, standing reputation and extension
network of contacts commanded by Amman Steel Group.
Accordingly he has invested 100 crores in two phases to set up a new sponge Iron and Power Plant
nearer to Iron ore mines at Nayudupeta, Nellore District Andhra Pradesh. The new company has
started under name of AMMAN-TRY Sponge and Power (P) Limited. This Sponge Iron unit is spread
over 100 acres of land with first class construction of factory building with adequate infrastructure
facilities like power, transport and communication facilities in the year 2011.
WIND MILL:
To fulfill our commitment to Green Energy, Amman Steel Group was Commissioning Wind Mill Power
of generation (1250 KW) at Tirunelveli District in 2005 and another one was commissioned in 2008 at
Tirupur District in Tamilnadu.
AMMAN TRY TRADING COMPANY (P) LIMITED:

Venturing Solar power project, trading of steel products and other projects and adventuring in
advisory management consultancy including overseas ventures.
Now it has been proposed to go for expansion of AMMAN TRY SPONGE AND POWER (P) LIMITED by
Expansion of steel plant - New Installation of DRI Kilns (Sponge Iron from 3,46,500 TPA), Expansion of
Induction Furnace (MS Billets from 55,500 TPA to 4,12,500 TPA), New Installation of Rolling Mill (TMT
Bars/ Structural steel from 3,96,000 TPA), New Installation of WHR based Power Plant from 24 MW,
New Installation of CFBC based Power Plant 20 MW. Expansion will be taken up in the existing plant
premises.
2.2 Brief description of nature of the project
AMMAN-TRY Sponge & Power (P) Limited as a part of expansion of the existing steel plant, envisages
to produce the following product through different routes:
Unit : Description
DRI Kiln : Manufacturing of Sponge Iron using Iron ore, Limestone and dolomite
as raw materials & Coal as fuel.
Induction Furnace : Manufacturing of MS Billets using Sponge Iron, Scrap, Ferro Alloys as
raw materials.
TMT/Structural : Manufacturing of TMT bars/Structural steels using MS Billets/Ingots as
11
Unit : Description
steels raw material.
Power generation : Power generation through WHRB by utilizing hot waste flue gases from
DRI kilns. Power generation through CFBC boiler using coal, Dolochar
as fuel.
2.3 Need for the project and its importance to the country and or region.
Indian demand is projected to rise to 300 million tonnes by 2025. Given the strong demand scenario,
most global steel players are in a massive capacity expansion mode, either through brownfield or
Greenfield route. Steel production capacity in India is expected to touch 170 million tonnes by 2020.
While Greenfield projects are slated to add 30 million tonnes, brownfield expansions are estimated to
add 50 million tonnes to the existing capacity of 90 million tonnes. Steel is manufactured as a globally
tradable product with no major trade barriers across national boundaries to be seen currently. There
is also no inherent resource related constraints which may significantly affect production of the same
or its capacity creation to respond to demand increases in the global market. Even the government
policy restrictions have been negligible worldwide and even if there are any the same to respond to
specific conditions in the market and have always been temporary. Therefore, the industry in general
and at a global level is unlikely to throw up substantive competition issues in any national policy
framework. Further, there are no natural monopoly characteristics in steel. Therefore, one may not
expect complex competition issues as those witnessed in industries like telecom, electricity, natural
gas, oil, etc.
2.4 Demand And Supply Gap
Demand for steel is high and as soon as they are processed they will be supplied on PAN India absis to
various type of consumers & users.
2.5 Export Possibility
As the Indian steel industry has entered into a new development stage from 2007-08, riding high on
the resurgent economy and rising demand for steel. Rapid rise in production has resulted in India
becoming the 4th largest producer of crude steel and the largest producer of sponge iron or DRI in the
world. As the demand is more the export possibility of Sponge Iron will also be more. As the demand
is more the export possibility will also be more.
12
2.6 Domestic/Export Markets
While the demand for steel will continue to grow in traditional sectors such as infrastructure,
construction, housing automotive, steel tubes and pipes, consumer durables, packaging, and ground
transportation, specialized steel will be increasingly used in hi-tech engineering industries such as
power generation, petrochemicals, fertilizers, etc. The new airports and railway metro projects will
require a large amount of steel. Hence the domestic and export markets for steel sector will rise.
2.7 Employment Generation (Direct and Indirect) due to the project.
The local areas will be benefited by way of generation of employment opportunities, increased
demand for local products and services. There will be an overall improvement in the income level of
the local people.
The project creates employment to about 330 persons directly once the whole plant comes to the
operational stage and about 300 persons during construction stage. Top priority will be given to locals
for Semi-Skilled and Unskilled jobs. With the development of this Plant there will be lot of scope for
more ancillary development, which in turn will benefit the nation.
There will be a certain enhancement of educational and medical standards of people in the study
area. There will be generally positive and beneficial impacts by way of economic improvements,
transportation, aesthetic environment and business generation. There will be an overall upliftment of
socio-economic status of people in the area with the implementation of the project.
13
Chapter – 3
PROJECT DESCRIPTION
3.1 Type of project including interlinked and interdependent projects:
3.1.1. Type of Project:
AMMAN-TRY Sponge & Power (P) Limited as a part of expansion of the existing steel plant, envisage
to produce the following product through different routes:
Unit : Description
DRI Kiln : Manufacturing of Sponge Iron using Iron ore, Limestone and dolomite as
raw materials & Coal as fuel.
Induction Furnace : Manufacturing of MS Billets using Sponge Iron, Scrap, Ferro Alloys as
raw materials.
TMT/Structural : Manufacturing of TMT bars / Structural steels using MS Billets / Ingots as
steels raw material.
Power generation : Power generation through WHRB by utilizing hot waste flue gases from
DRI kilns. Power generation through CFBC boiler using coal, Dolochar as
fuel.
3.1.2. Interlinked Project:

No interlinked project is envisaged.
3.2 General Location:

 Plant is located at Sirasanambedu Village, Pellakur Mandal, SPS Nellore District, Andhra
Pradesh.
 Total land available for the existing plant 104.68 Acres (42.36 Ha.). The proposed expansion
will be take-up in the existing plant premises.
 The entire project area will fall in the Survey of India topo sheet no. 57O/13.
 The following area the coordinates of the plant site.
S.No. Latitude Longitude
1. 13° 50' 38.80" N 79° 51' 39.01" E
2. 13° 50' 41.05" N 79° 51' 53.91" E
3. 13° 50' 27.42" N 79° 51' 59.53" E
4. 13° 50' 29.10" N 79° 51' 51.52" E
14
5. 13° 50' 19.41" N 79° 51' 46.18" E

6. 13° 50' 23.48" N 79° 51' 35.22" E
7. 13° 50' 19.27" N 79° 51' 33.25" E
8. 13° 50' 11.96" N 79° 51' 30.44" E
9. 13° 50' 12.81" N 79° 51' 26.65" E
10. 13° 50' 35.29" N 79° 51' 32.13" E
11. 13° 50' 34.30" N 79° 51' 39.01" E
Google earth map, General Location map, Topographical map showing 10 KM. radius of the plant site
of is shown as Figure No. 1, 2 & 3.
15
Fig. No. 1
GOOGLE EARTH MAP SHOWING BOUNDARY OF THE PLANT SITE
Plant site
16
Fig. No. 2
GENERAL LOCATION MAP SHOWING PLANT SITE
AMMAN-TRY
SPONGE & POWER
(P) LIMITED.
17
Fig. No. 3 : TOPOGRAPHICAL MAP OF PLANT SITE
18
Fig. No. 4: PLANTLAYOUT SHOWING EXISTING AND PROPOSED UNITS
19
3.3 Details of alternate sites considered:

No alternative site has been considered, as present proposal will be taken up in the existing plant premises.
3.4 Size or magnitude of operation:

The plant configuration, production capacity of Existing & proposed expansion of steel plant is as follows.
S.NO. UNIT AND PRODUCT EXISTING CAPACITY PROPOSED AFTER
EXPANSION EXPANSION
ENVIRONMENTAL CLEARANCE CTO OBTAINED FROM DROPPING PROPOSAL
WAS ISSUED BY SEIAA, A.P. A.P. POLLUTION
DATED 29/06/2010 CONTROL BOARD
1 Sponge Iron 54,000 TPA -- 54,000 TPA* 3,46,500 TPA 3,46,500 TPA
(DRI Kilns ) (2x90 TPD) (2x90 TPD) (3x350 TPD)
2 MS Billets 1,11,000 TPA 55,500 TPA 55,500 TPA* 3,21,500 TPA 4,12,500 TPA
(Induction Furnaces ) (4x12 MT) (1x24 MT &
2x30MT)
35,500 TPA**
(1x24 MT)
3 TMT Bars/Structural 60,000 TPA -- 60,000 TPA* 3,96,000 TPA 3,96,000 TPA
steel (1x200 TPD) (1x200 TPD) (1x1200 TPD)
(Rolling mill )
4 Power plant
WHRB 4MW -- 4MW* 24 MW 24 MW
CFBC 4MW 4MW* 20 MW 20 MW
44 MW
*- These units are dropping from existing Environmental clearance order issued vide dated 29th June, 2010. Because the validity of existing EC order having 1 year
only that is up to 29th June, 2020.
**The existing Induction Furnace production capacity will be increased from 55,500 TPA to 91,000 TPA by increasing numbers of heats and number operation
days to 330 in year.
20
3.5 Manufacturing Process

3.5.1 Manufacturing Process Sponge Iron through DRI Kiln
Major plant facilities
The major plant facilities for the sponge iron plant envisaged are as follows:
 Day bins
 Rotary kiln and cooler
 Off gas system
 Product processing and product storage.
Day bins
There shall be a day bin building to cater to raw material requirement of the kiln. The day bin building
will comprise of six bins, one for iron ore, two for feed coal, one for limestone/dolomite and two bins
for injection coal. These bins will generally have storage of about one day's requirement of screened
iron ore feed (5-20 mm), feed coal (6-12 mm, 12 – 25 mm), limestone/dolomite (1-4 mm) and
injection coal (3-6 mm. 6-12mm). Weigh feeders will be provided to draw the required quantity of
various materials in proportion from the bins and the same will be conveyed to the kiln feed end and
discharge end.
Rotary kiln and cooler

The rotary kiln of 3.0 m dia. And 42 m length will be provided for reduction of iron ore into sponge
iron using non-coking coal as reductant. The kiln will be lined with abrasion resistant refractory
castable’s throughout its length with damps at feed end and discharge end.
The rotary kiln will be supported on four piers. A slope of about 2.5% shall be maintained. Then main
drive of the kiln will be by two DC motors with thyristor control. The speed of the kiln can be varied
depending upon the operating conditions. The speed of the kiln will be in the range of 0.25-0.75 rpm.
The auxiliary drive of the kiln will be by two AC motors.
The other main components of the kiln will be as given below:

 Feed end and discharge end transition housing of welded steel construction with refractory
lining including feed chute.
 Pneumatic cylinder actuated labyrinth air seal complete with auto lubricating system at
feed end and discharge end.
21
 On board equipment like fans, manifolds, ports, slip ring, instrumentation etc.
 Cooling fans at feed end and discharge end.
 Feed end double pendulum valve & dust valves.
The kiln feed from the charging end will consist of sized iron ore (5-20mm), non-coking coal (6-25 mm)
and limestone/dolomite (1-4mm). Air will be supplied to the kiln through shell mounted air fans. A
part of the required coal (3-6mm, 6-12mm) shall be thrown from kiln discharge end. The slinger coal
will be withdrawn from the respective bins in suitable proportion and pneumatically injected into the
kiln. Necessary rotary feeder, compressor, piping and valves will be provided.
0
In the kiln, the iron ore will be dried and heated to the reduction temperature of 1000 - 1050 C. The
iron oxide of the ore will be reduced to metallic iron by carbon monoxide generated in the kiln from
coal. The heat required for the reduction process will also be supplied by the combustion of coal.
Thermocouples will be installed along the length of the kiln shell for measurement of thermal profile
of the kiln. The temperature will be controlled by regulating the amount of combustion air admitted
into the kiln through no. of ports with the help of fans mounted on the kiln shell and by controlled
coal slinging. The DC main drives provided to rotate the kiln will have variable speed. Auxiliary drive
is provided for slow rotation.
The reduced material from the kiln will be cooled indirectly in a rotary cooler by an external water
spray. The kiln will be provided with one rotary cooler. The rotary cooler will be of 2.3 m dia. And 22
m length and will be supported on two piers with a slope of about 2.5 %. The main drive and the
auxiliary drive of the cooler will be by one no. separate AC motor. The speed of the drive will be
about 1 rpm. The cooler will be provided with one plain riding ring and one thrust riding ring and will
be provided with two sets of support rollers at two piers and one set of hydraulic thrust rollers with
antifriction bearings. About 1 m end portion of the cooler acts as a screening section, which separates
all the accretions larger than 50 mm from the reduced material. These lumps will be discharged
separately via. Lump gate. Rest of the material will be discharged on to the conveyor via double
pendulum valve.
The other main components of the cooler will be the following.
22
 Feed end housing (part of reactor to cooler transition) of welded steel construction
with refractory lining.
 Cooler discharge end housing of welded steel construction.
 Pneumatic cylinder actuated labyrinth air seal complete with auto lubricating system at
feed end and discharge end.
The cooler will be lined with refractory castable for about 4.0m length from the feed end. Bypass
arrangement will be provided at the discharge end of the cooler for emergency discharge of materials.
The cooled product will be conveyed to the product processing building by a system of belt conveyors.
The cooling water will be collected in the trough below the cooler and sent to the cooling tower for
cooling. The cooled water will be re-circulated. Closed circuit cooling system will be followed in the
plant.
The rotating parts of the kiln and cooler will be sealed suitably against the stationary parts at the
connecting points to avoid leakage of dust laden gases.
Off gas system

The kiln shall have its separate off gas circuit. Hot waste gases leave the rotary kiln at about 950 –
1000oC through kiln feed end housing, dust settling chamber and come to an After Burning Chamber
(ABC), where combustibles are burnt completely by supplying excess air. The gases at about 900 -
950oC will then be led to a air cooled heat exchanger and then through an Electro-static precipitator
(ESP) before letting them out into the atmosphere through ID fan and a stack of adequate height.
Product processing and storage

There shall be one product processing unit for handling the cooler discharge. The product containing
sponge iron, char and spent lime, from the cooler discharge end will be discharged to a set of
conveyors and sent to the product processing building. The kiln-cooler system shall have a separate
surge bin of approx. 200 T capacity. Product from surge bin can be withdrawn through vibrating
feeder and fed to the product processing building by conveyor. In the product processing building, the
product will first be screened in a double deck screen having 3mm and 20mm screens. +20mm
material shall be dumped as rejects. The screened product i.e., +3-20 mm and -3 mm fraction shall
separately be sent to the product storage separation. Sponge iron lump (3-20 mm) shall be sent to the
23
product storage building for storing in two no. of bunkers where three days storage has been
proposed. The sponge iron fines (-3 mm) will be stored in the fines bunker in the product processing
building itself where one day storage capacity will be provided. The sponge iron lump & sponge iron
fines will be further conveyed from the respective bunkers by truck. The char/non-magnetics shall be
stored in separate bins. Char will be utilized for power generation in the CFBC Boiler.
3.5.2 Manufacturing Process MS Billets

Steel Melt Shop (SMS) is crated to melt the Sponge Iron along with melting scrap and fluxes to make
pure liquid steel and then to mould it in required size billets. The shop consists of following equipment
and subassemblies:
Induction Furnaces: Induction Furnace is a device to melt the charge material using electrical power.
It consists of Crucible lined with water cooled induction coils, Electrical system to give controlled
power to induction coil, Hydraulic tilting system, Heat exchanger to cool the circulating water, water
softener for generating soft water, furnace transformer, Power Factor improvement system and surge
suppressor.
24
Ladles: Ladles are pots with refractory lining inside to withstand 1600 degC temperature. It has side
arms so that can be lifted with the help of crane. Ladles are used to stores the liquid steel from
Induction Furnace and take it for further processing. Ladles are with bottom nozzle and pneumatically
operated gate for discharge of liquid.
Ladle Refining Furnace (LRF): Ladle furnace is a mini electric arc furnace. It has three carbon
electrodes, roof to cover the ladle, and furnace transformer of suitable capacity. The operation of
electrodes, roof etc are controlled by hydraulic system. Ladle furnace is used either to keep the liquid
steel for sequence casting or for further refining of the liquid steel to make better quality steel.
Cranes: Electric Over-head (EOT) cranes of various capacities are used to carry the ladles/materials at
different places. Cranes are used in Melting hall to charge melting scrap, remove the ladles to the LRF,
further to place it over the Tundish of the Continuous Caster, to remove billets from the cooling bed
and store at designated places, and also for other petty use. Accordingly the sizes, capacity and
numbers of cranes are decided.
Continuous Casting Machine (CCM) : CCM is used to continuously cast the liquid steel in required
cross section and in length. It consists of Tundish, Mould, Bow with Withdrawal mechanism,
straightening mechanism and cooling bed, hydraulic system for withdrawal mechanism, water pumps
and cooling towers for water spray on the withdrawn section as well as on the cooling bed. Dummy
bar is provided to start the casting. Tundish is a rectangular vessel, lined with refractory and having
discharge nozzle with pneumatically operated gate. A stand is erected over it where the ladle is
stationed for discharging the liquid in it. Mould is of copper with water cooled jacked. Its cross-
section in the bottom is of the size of which billet is to be drawn. Initially the dummy for of the same
size is kept inserted. When the liquid steel is poured in the mould the dummy bar is drawn slowly, so
that the liquid steel in partially frozen state comes out of the mould. Water spray nozzles are installed
to spray water over the just drawn billet to cool it further and to harden the skin of the drawn billet.
The following is the Process flow diagram of the MS Billets manufacturing.
25
3.5.3 Manufacturing Process TMT bars / Structural steels

A) With Re-heating furnace
A pusher type furnace has been envisaged for the heating of billets. The furnace will be end charging
and side discharging. It will have single row as well as double row charging facility. The following size
of billet will be fed to Billet Re-Heating Furnace.
 100 mm x 100mm and 150 mm - 200 mm
The furnace will be heated with Furnace Oil. The furnace combustion system will comprise of air
blowers, FO storage, supply and preheating system and other associated facilities. The product of
combustion will leave the furnace at charging end and exhausted through underground flue tunnel
and passed through a metallic tubular recuperator before finally let off to a chimney of sufficient
height after passing through Bag filter. A set of instrument will be used for smooth operation of the
furnace.
Bar and round mill

A cross country type mill has been envisaged for the plant. The stands have been grouped into
roughing, intermediate and finishing groups. Roughing group will have 4 (four) stands, intermediate
group will have 8 (eight) stands and finishing mill will have 8 (eight) stands. Roughing group of stands
will be driven by one motor. 4 nos. of intermediate stands will be driven by two motors and balance 4
nos. will be driven by a separate motor. Each stand of finishing group will be driven by single motor.
Necessary guides and troughs will be provided at entry and exit of mill stands.
One wire rod out let has been provided in the mill. The wire rod line will have 4 stand block driven by
a single motor through gear box. Coil forming and handling of coil is provided.
26
Automated tilting, drop type tilter and feeding arrangement will be provided in roughing group of
stands. Repeaters have been provided in roughing / intermediate stands as necessary.
Design provision has been made for introduction of slit rolling facility in future to roll 8 mm, 10 mm &
12 mm rebars in two strands. The rebars discharged from the mill will pass through a water cooling
system comprising cooling pipes with high pressure water nozzles for rapid water quenching. At the
cooling pipes the bar skin temperature will be reduced to about 600oC. The core of the bar still
remains hot. This entrapped heat tempers the bar. This thermo-mechanical treatment of the bars
increases tensile strength without adversely effecting weldability and elongation properties. This
process eliminates requirement of cold twisting of bars for production of rebars.
A dividing shear, to cut the products to cooling bed length, will be located immediately after the water
cooling system. This shear will divide all products to cooling bed lengths. Rake type cooling bed has
been envisaged to receive the rolled product. Cooling bed will be provided with incoming and
outgoing roller tables. One cold shear has been provided to cut the bars coming out of cooling bed
into commercial length of 6 to 12 m. The bar products will be formed into bundles and will be
strapped by strapping machine manually.
The finished products will be removed by overhead EOT crane and stored in the storage area or
dispatched through road vehicles.
3.5.4 Power Generation

It is proposed to install 24 MW WHRB based power plant & 20 MW CFBC based power plant in the
proposed expansion project to meet the power requirement for various processes of integrated plant
including axillaries of power plant.
27
3.5.4.1 WHRB Power Plant

Production of sponge iron in DRI kiln generates huge quantities of hot flue gases carrying considerable
sensible heat. The energy content of these gases can effectively be used to generate electric power as
well as steam for meeting various process requirements. Thus a WHRB (Waste Heat Recovery Boiler)
power plant would be an ideally suited proposition to effectively make use of this waste gas. This
WHRB Power plant would not only make the plant independent of external source of electric power to
some extent but would also result in energy conservation and environment protection.
Steam Turbo-generators (STGs) envisaged for the Power plant will be single cylinder, multistage,
extraction – cum – condensing type complete with condenser, air evacuation system, 2 x 100%
condensate extraction pumps, electronic governing system, lubricating oil system, regenerative feed
heating system etc. The turbine will be fed with steam generated from HRSG in DR kiln. The STGs will
be located in the machine hall of the power plant.
3 x 32 TPH capacity of Waste Heat Recovery Boilers will be installed for 3 x 350 TPD kilns to generate
24 MW Power.
3.5.4.2 CFBC Power Plant

The unit will have One CFBC boiler (1 x 80 TPH Capacity) to generate 1 x 20 MW Power. The boiler will
be designed for continuous operation at Turbine Maximum Continuous Rating (TMCR). A margin of
10% over TMCR will be taken into account to arrive at Boiler rated capacity. The boiler will be natural
circulation, circulating fluidized bed combustion, two pass, non reheat, single drum, balanced draft,
semi-outdoor type. The boiler will have continuous evaporation rating of approx. 24 tons/hr. (BMCR
will not be less than 110% of TMCR) with steam parameters at super heater outlet as 98 Kg/cm2 and
5400C (± 50oC). The feed water temperature at MCR at inlet to economizer is expected to be around
2300C. Steam parameter are to be fine tuned at Boiler outlet based on actual plant layout and piping
arrangement. The boiler will be complete with ash /solid separator, economizer, air heater, ducting,
FD fans, ID fans and PA fans.
28
Air cooled condensers envisaged for Power plant to conserve water.
3.6 Raw material requirement, Transport etc.:

3.6.1 Raw Material Requirement and its sources (proposed expansion)
Raw Material Quantity Sources Mode of Transport
(TPA)
For DRI Kilns
(Sponge Iron – 3,46,500TPA)
Iron ore 5,54,400 Andhra Pradesh, By rail & road
Karatnaka (through covered trucks)
Limestone 45,045 By road
Andhra Pradesh
(through covered trucks)
Coal Indian 4,50,450 SCCL, Telangana By rail & road
(or)
Imported 2,88,288 South African and Through sea route, rail

Australian route & by road
For Induction Furnace (MS Billets – 4,12,500 TPA)
Sponge Iron 3,81,944 In-house generation and By road

purchase from other (through covered trucks)
sponge iron units
Scrap 1,15,740 Supplies from By road
Andhra Pradesh (through covered trucks)
Ferro Alloys 6,134 Supplies from By road
Andhra Pradesh (through covered trucks)
29
For Rolling Mill (TMT bars & Structural Steel – 3,96,000 TPA)
MS billets 4,12,500 In-house generation --

Furnace oil 13,068 Supplies from Tankers
Andhra Pradesh
For CFBC Boiler [Power - 20 MW]
Dolochar 1,03,950 In-house generation --
Coal Indian (100 %) 1,26,000 By rail & road
SCCL, Telangana
(or)
Imported (100 %) 84,000 South African and Through sea route / rail
Australian route / by road
3.6.2 Mode of Transport for Raw materials and finished products:

The aforesaid major raw materials will be are transported through covered truck by road and iron ore
will be rail up to the nearest available rail head and thereafter the same will be transported to the site
through tarpaulin covered trucks.
3.6.3 Market of Final Products:

It is proposed to install steel plant with rolled products facility. As the steel/ power sector had huge
demand and supply gap. Hence marketing of the product has no problem.
3.7 Availability of water its source, Energy / power requirement and source:
3.7.1 Water Requirement and its sources:
 Water required for the existing project is 27 KLD and same is being sourced through
Ground water resources.
 Water required for the expansion project will be 721 KLD and same will be sourced through
Ground water resources
 Air cooled condensers will be provided for power plant to reduce the water requirement.
 Water permission from State Ground Water Authority will be obtained before the
commencement of the expansion project.
Following is the breakup of water requirement:

WATER REQUIREMENT
For After
For Existing
S.No. Item Expansion Expansion
(in KLD)
(in KLD) (in KLD)
1. Sponge Iron - 210 210
30
2. Induction Furnace 22 81 103

3. Rolling Mill - 65 65
4. Power Plant
Cooling tower make-up Nil Nil Nil
DM water for boilers - 303 303
DM Plant regeneration - 42 42
5. Domestic requirement 5 20 25
Total 27 721 748
3.7.2 Sources of Energy/ Power and its sources:

Power required for the existing plant is being met from State Electricity Board. Power required for the
proposed expansion project will be met partly from proposed 44 MW power plant and remaining
from State Electricity Board. The following will be the power consumption break-up for each unit
S.No. Plant Power Requirement (MW)
Existing Expansion After Expansion
1. DRI - 5.0 5.0
2. SMS 4.4 32.1 36.5
3. Rolling Mill - 7.5 7.5
4. Power Plant – WHRB - 2.0 2.0
5. Power plant – FBC - 2.0 2.0
Total 4.4 48.6 53
3.8 Generation and disposal of Wastes [Waste Water and Solid Wastes]:
3.8.1 Waste Water Generation:
The wastewater generated from the DRI plant, SMS & Rolling Mill will be sent to settling tank and will
be recycled back to the process through closed-circuit cooling system. Effluent from power plant such
as boiler blowdown, DM Plant regeneration. Initially the acidic and alkaline effluent streams coming
from cation and anion units of DM plant will be neutralized in a neutralization tank. Service water will
then pass through an Oil Separator to remove the oil content in the effluent. The pH of Boiler
blowdown will be between 9.5 and 10.5. Hence this effluent stream will be neutralized in a
neutralization tank before mixing with other effluent streams. Treated effluent will be used for ash
conditioning, dust suppression and for greenbelt development.
The sanitary wastewater will be treated in septic tank followed by subsurface dispersion trench.
Hence there will not be any chance of contamination of water bodies due to proposed project.
3.8.2 Solid Waste Generation and its disposal

The following will be the solid waste generation and disposal from the proposed expansion project.
31
S.No Waste Quantity Method of disposal

in TPA
1. Ash from DRI 62,370 Is being given to Brick manufacturers. The same
practice will be continued after expansion also.
2. Dolochar 1,03,950 Is being given to brick manufacturers. After proposed
expansion it will be used as fuel in AFBC based power
plant.
3. Kiln Accretion Slag 3,119 Is being utilized in road construction and same
practice will be continued after the proposed
expansion also.
4. Wet Scraper Sludge 15,939 Is being given to brick manufacturer and same
practice will be continued after the proposed
expansion also.
5. SMS Slag 41,250 Slag from SMS will be crushed and iron will be
recovered & remaining non –magnetic material being
inert nature, will be used as sub base material in road
construction / used for brick manufacturing / civil
construction works like PCC and wall construction
6. Mill scales from 7,920 Will be given to Ferro alloy manufacturing units.
Rolling Mill
7. End Cuttings 11,880 Will be recycled to SMS unit
8. Ash from Power 56,700 Will be given to Brick manufacturers
Plant
32
Chapter – 4
SITE ANALYSIS
4.1 Connectivity
The plant site is well connected with Rail and Road connectivity. The following table gives brief
regarding connectivity of the plant site:
Component Description
Road : The plant is connected close to Village Road. However SH# 61
(Naidupet – Tirupati) is situated at a distance of 3.4 Kms. (By
Road) from Plant.
Rail : Naidupeta R.S – 7.9 Kms from the Plant.
Air port : Tirupati Airport – 40.7 Kms. from the Plant.
4.2 Land Form, Land use and Land ownership

4.2.1 Land Form:
Present land is industrial land.
4.2.2 Land Use of the Project Site

Present land use is industrial land as existing plant is already under operation.
4.3 Topography
Topography of land is more or less flat terrain without much undulation.
4.4 Existing land use pattern:

4.4.1 Land use pattern of the Project site
Total plant area is 104.68 Acres (42.36 Ha.) (Existing – 85.40 acres & additional – 19.28 acres).
4.4.2 Environmental Setting of the Project Site:

The Salient Features / Environmental features with in 10 km of the plant Site are given below.
Salient Features / Environmental features Aeral Distance w.r.t. site / Remarks
National Park/ Wild life sanctuary / Nelapttu Bird Sanctuary - 8.0 Kms
Biosphere reserve / Tiger Reserve /
Elephant Corridor / migratory routes for
Birds
Historical places / Places of Tourist Nil with in 10 Km radius
importance / Archeological sites
Industrial areas / cluster (MoEF office Nil with in 10 Km radius
memorandum dated 13th January 2010)
33
Defence Installations Nil with in 10 Km radius

Nearest village Sirasanambedu – 1.1 Kms
Reserved forests Nil with in 10 Km radius
Water body Swarnamuki River-4.2 Kms.
Few Streams & ponds exists within 10 Km
radius
Highway NH # 5 – 7.1 Kms & SH# 61– 3.4 Kms
Railway station Naidupeta – 7.9 Kms.
Port facility Nil with in 10 Km radius
Airport Nil with in 10 Km radius
Interstate Boundary Nil with in 10 Km radius
Seismic zone as per IS-1893 Seismic zone – II
4.5 Existing Infrastructure

All required infrastructure is prevailing in the site.
4.6 Soil classification

The predominant soils in the district are red loam, black cotton, lateritic sandy and alluvial soils. Red
loam soils cover an area of more than 70% of the district except in the deltaic area. The black cotton
soils constitute about 10% of the district and it is found in the southern part in isolated patches of
Pennar river. Red lateritic soil occurs all along the eastern side of the district. The alluvial soil occurs
along the Pennar and Swarnamukhi rivers, and also in the due north of the Pennar along the eastern
margin of the district.
4.7 Climatic data from secondary sources

The climate of the district is moderate and characterized by sub-tropical climate. The period from
December to middle of February is generally the season of fine weather. The summer season is from
March to May. This is followed by monsoon period from June to September, the post monsoon from
October to December and the winter season from January to February. The annual normal rainfall of
the district is 1084 mm. The peculiarity of this district is that contribution of SW monsoon is far less
than the contribution of NE monsoon rainfall. About 70% of the annual rainfall is contributed by the
NE monsoon. In general the amount of rainfall is increases from west to east about 900 to 1300 mm in
the district. The mean daily maximum temperature in the district is about 38°C in May and the mean
daily minimum temperature is about 20°C in December/ January. Temperature in the district begins to
rise from the middle of February till May. With the onset of southwest monsoon in June, the
temperature decreases to about 20°C and is more or less uniform during the monsoon period. The
34
relative humidity ranges from 60 to 80% in the mornings, whereas in the evenings it varies from about
45 to more than 70%.
35
Chapter – 5
PLANNING BRIEF
5.1 Planning Concept:
AMMAN-TRY SPONGE & POWER (P) LIMITED is operating a Induction Furnace and now proposed
expansion of Sponge Iron, Induction Furnace, Rolling Mill and power plant in the existing plant
premises.
5.2 Population Projection:

There are no major human settlements in the vicinity of the plant site. The manpower requirement
will be sourced from the local areas to the extent possible; hence not much of settlement of outside
people in the area. However population concentration may increase around the plant site due to
increase in ancillary activities.
5.3 Land use planning:

Existing Plant is located at Sirasanambedu Village, Pellakur Mandal, SPSR Nellore District, Andhra
Pradesh. Total land available with company is 104.68 Acres (42.36 Ha.) (Existing – 85.40 acres &
additional – 19.28 acres). The proposed expansion project will be taken up in the existing plant
premises. The following is the land use statement
S.No. Item Area in acres
1. Built-up area (existing) 10.0
2. Built-up area (proposed) 25.0
3. Storage area (raw material, Products & 10.0
solid waste)
4. Internal roads 3.0
5. Parking area 5.0
6. Greenbelt area 35.0
7. Open area 19.68
Total 104.68
5.4 Amenities/Facilities.
Facilities like canteen, rest room and indoor games facilities are already been provided in the existing
plant as basic facilities to workers. No other additional facilities are proposed.
36
Chapter – 6
PROPOSED INFRASTRUCTURE
6.0 Proposed Infrastructure
Present use of land is Industrial land. The proposed expansion will be taken up in the existing plant
premises.
6.1 Industrial Area (Processing Area)

The main plant area comprises of Kiln sheds, Furnace sheds, Rolling mill area, TG Building, raw
material storage and product storage etc.
6.2 Residential Area (Non Processing Area)

No colony is proposed; however facilities like canteen, rest room and indoor games facilities have
been provided in the existing plant premises.
6.3 Green Belt.

More than 1/3rd of total land availability will be developed with greenbelt i.e 35 Acres of land will be
allocated (including expansion).
Greenbelt development plan
 Local DFO will be consulted in developing the green belt.
 Greenbelt of 33% of the area will be developed in the plant premises as per CPCB
guidelines.
 5 m to 10 m wide greenbelt is being maintained all around the plant.
 The tree species to be selected for the plantation are pollutant tolerant, fast growing,
wind firm, deep rooted. A three tier plantation is proposed comprising of an outer most
belt of taller trees which will act as barrier, middle core acting as air cleaner and the
innermost core which may be termed as absorptive layer consisting of trees which are
known to be particularly tolerant to pollutants.
6.4 Social Infrastructure.

Social infrastructure will be developed as per need based in the Villages of the vicinity of the project.
37
6.5 Connectivity:
The plant site is well connected with Rail and Road connectivity. The following table gives brief
regarding connectivity of the plant site:
Component Description
Road : The plant is connected close to Village Road. However SH# 61
(Naidupet – Tirupati) is situated at a distance of 3.4 Kms.
from the Plant.
Rail : Naidupeta R.S – 7.9 Kms from the Plant.
Air port : Tirupati Airport – 40.7 Kms. from the Plant.
6.6 Drinking Water Management:

Drinking water will be supplied to the workers at the plant.
6.7 Sewerage System.

Domestic effluent collected through toilet blocks will be collected through well designed sewer
network and send to Septic tanks followed by sub surface dispersion trenches.
6.8 Industrial Waste Management.

Waste water generated from the expansion Project will be treated in Effluent Treatment proposed
which is furnished under paragraph 3.8.1.
6.9 Solid Waste Management

Solid waste generated and proposed disposal method from the proposed expansion Project is
furnished under paragraph 3.8.2.
6.10 Power requirement & its source

Power required for proposed expansion project will be sourced from proposed Captive Power plant
and APSPDCL.
38
Chapter – 7
Rehabilitation and Resettlement Scheme
No rehabilitation and resettlement is required as there are no habitations in the land available with
company.
39
Chapter – 8
Project Schedule & Cost Estimates
8.1 Likely date of start of construction:
Construction activity pertaining to unimplemented units will be started within 10 years from the date
of Environment Clearance.
8.2 Estimated project cost:

The estimated project cost for the proposed expansion project is about Rs. 494.7 Crores. The
following is the break-up.
Unit / Details Estimated Cost
S.No. (Rs. In Crores)
1. For DRI Kiln (3 x 350 TPD) & WHRB (20 MW) 300
2. For Induction Furnaces (1 x24 & 2X30MT) 40
3. For Rolling Mill (12,00 TPD ) 51
4. For CFBC based power plant (24 MW) 100
5. For Occupational Health & Risk Assessment
PHC + Ambulance + PPE for workers + Prelimanery
Medical Checkup for workers + Fire & Safety 0.75
6. For Corporate Environment Responsibility (CER)
(1 % of the Project Cost for Brownfield projects as per
Ministry’s Office Memorandum vide F.No. 22-65/2017-
IA.III dated 1st May 2018) 2.95
Total 494.7
40
Chapter – 9
Analysis of proposal
9.1 Financial and social benefits:
With the implementation of the proposed expansion project, the socio-economic status of the local
people will improve substantially. The land rates in the area will improve in the nearby areas due to
the proposed activity. This will help in upliftment of the social status of the people in the area. Primary
health centre will also be developed by us and the medical facilities will certainly improve due to the
proposed project.
9.2 Socio-Economic Developmental Activities

The management is committed to uplift the standards of living of the villagers by undertaking
following activities / responsibilities as the part of Corporate Social Responsibility.
 Health & hygiene
 Drinking water
 Education for poor
 Village roads
 Lighting
HEALTH & HYGINE

 Personal and domestic hygiene,
 Maintaining clean neighborhood,
 Weekly health camps offering free-check up & medicines
 Ambulance services
 Education & drug de-addiction, aids.
DRINKING WATER
 Making drinking water available at centralized locations in the village.
SUPPORTING EDUCATION
 Providing books to all poor children,
 Conducting annual sports festival in the village schools,
41
Baseline Data Collection (1st March 2019 to 31st May 2019)

We have collected Baseline Data from 1st March 2019 to 31st May 2019.
Wind rose plotted as per nearest IMD data (Nellore region) for the period (1971 – 1999) for March,
April & May months.
The wind rose shows that winds are predominantly blowing from South East to North West direction.
Ambient Air Quality Monitoring Stations

S.No. STATION DIRECTION DISTANCE CRITERIA FOR SELECTION
w.r.t Plant w.r.t Plant
(in Kms.)
1 Existing plant -- -- Repressing existing plant
2 Sirasanmbedu N 1.4 Represents Nearest habitation.
3 Chembedupalem NW 3.5 Represents Downwind direction
4 Chillakur NWW 4.6 Represents Second Downwind direction
5 Bangarammapeta SE 4.0 Represents Upwind direction
6 Near Nelapattu SEE 7.2 Represents Sensitive area (Nelapattu Bird
Bird sanctuary sanctuary)
7 Rosanuru E 3.9 Represents Sensitive area ( Forest area)
8 Nayudupeta NNE 7.9 Represents urban area
42
MAP SHOWING AMBIENT AIR QUALITY MONITORING STATIONS
A8
A3
A2
A4
SAMPLING LOCATION
A7 A6
A1
A5
43

25 Jul 2019 091802780i6ojutryprefeasibilityreport

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

25 Jul 2019 091802780i6ojutryprefeasibilityreport

Uploaded by

Copyright:

Available Formats

PRE-FEASIBILITY REPORT

[For expansion of Steel Plant – New Installation of DRI Kilns

ISO 9001: 2008 Certified Accredited by NABET - QCI

6-3-652 | Flat # 7-3 | Dhruvatara Apartments | Amrutha Estates | Erramanjil | Somajiguda |

S.NO ITEM PAGE NO

7. REHABILITATION AND RESETTLEMENT (R & R) PLAN 39

ENVIRONMENTAL CLEARANCE CTO OBTAINED FROM DROPPING PROPOSAL

3 TMT 60,000 TPA -- 60,000 TPA* 3,96,000 TPA 3,96,000 TPA

Corporate Social Responsibility (CSR):

2.1 Identification of project and project proponent

ABOUT MANAGING DIRECTOR

SHRI AMMAN STEEL AND ALLIED INDUSTRIES (P) LIMITED (SASAI):

AMMAN TRY STEELS (P) LIMITED:

AMMAN TRY SPONGE AND POWER (P) LIMITED:

AMMAN TRY TRADING COMPANY (P) LIMITED:

2.2 Brief description of nature of the project

2.4 Demand And Supply Gap

2.5 Export Possibility

2.6 Domestic/Export Markets

2.7 Employment Generation (Direct and Indirect) due to the project.

3.1.1. Type of Project:

3.1.2. Interlinked Project:

3.2 General Location:

5. 13° 50' 19.41" N 79° 51' 46.18" E

Fig. No. 3 : TOPOGRAPHICAL MAP OF PLANT SITE

Fig. No. 4: PLANTLAYOUT SHOWING EXISTING AND PROPOSED UNITS

3.3 Details of alternate sites considered:

3.4 Size or magnitude of operation:

3.5 Manufacturing Process

Rotary kiln and cooler

The other main components of the kiln will be as given below:

The other main components of the cooler will be the following.

Off gas system

Product processing and storage

3.5.2 Manufacturing Process MS Billets

3.5.3 Manufacturing Process TMT bars / Structural steels

 100 mm x 100mm and 150 mm - 200 mm

Bar and round mill

3.5.4 Power Generation

3.5.4.1 WHRB Power Plant

3.5.4.2 CFBC Power Plant

Air cooled condensers envisaged for Power plant to conserve water.

3.6 Raw material requirement, Transport etc.:

Imported 2,88,288 South African and Through sea route, rail

Sponge Iron 3,81,944 In-house generation and By road

MS billets 4,12,500 In-house generation --

3.6.2 Mode of Transport for Raw materials and finished products:

3.6.3 Market of Final Products:

Following is the breakup of water requirement:

2. Induction Furnace 22 81 103

3.7.2 Sources of Energy/ Power and its sources:

3.8.2 Solid Waste Generation and its disposal

S.No Waste Quantity Method of disposal

4.2 Land Form, Land use and Land ownership

4.2.2 Land Use of the Project Site

4.4 Existing land use pattern:

4.4.2 Environmental Setting of the Project Site:

Defence Installations Nil with in 10 Km radius

4.5 Existing Infrastructure

4.6 Soil classification

4.7 Climatic data from secondary sources

5.2 Population Projection: