Nippon Steel Engineering, Magang Launch RHF JV in China

Nippon Steel Engineering announced on Tuesday the firm signed agreement with Maanshan Iron & Steel group’s Magang Design & Research Institute Company to launch joint venture, Maanshan Sino-Japan Resource Recycling Engineering Technology in Maanshan, Anhui and launched the operation. The joint venture utilizes Nippon Steel group’s technology for rotary hearth furnace (RHF) and Magang group’s technology for RHF operation and maintenance. The technology contributes to zero emission for dust in steel works. The venture tries to expand the technology in Chinese market.

The joint venture with 10 million yuan of capital got approval in April. Nippon Steel Engineering controls 51% of the venture with 49% share by Magang Design & Research Institute Company. The venture targets 1.5 billion yen of order receipt for fiscal 2010.

RHF is to recycle steel making dust containing steel and zinc. The venture provides the technology including design and manufacturing of the facilities in Chinese market. With the technology, steel industry can utilize the recycle material while some of the dust with zinc cannot be utilized.

Nippon Steel Engineering is world no.1 supplier of RHF facility and the firm already provided 8 facilities in Japan, Taiwan, South Korea and China. The firm provided Chinese first facility to Magang in July 2009. With the success, Magang and Nippon Steel Engineering started the joint venture talk. Magang Design & Research Institute Company, in which Magang has 59% interest, provides steel making plant and building engineering services.