GLOBAL EPC VALUE INNOVATOR

POSCO E&C INNOVATION & TECHNOLOGY
www.poscoenc.com
Newsletter from
ISSUE 3
Plant Engineering & Construction Division
SEPTEMBER
2014
With successful projects accomplishments around the world, POSCO E&C has emerged
as one of the top EPC Contractors. Recently, POSCO E&C has ranked 3rd in construction
capability by Ministry of Land, Infrastructure and Transport of Korea.
Steel Plants
GLOBAL EPC
VALUE
INNOVATOR
Power Plants
Building Works & Urban Development
Civil Works
Started the Commercial
Production of
Gwangyang No.4
Hot Strip Mill Plant
Focus on Indian
Steel Market
– MMMM 2014
Execution Phase of PEPCOM Strategy
Engineering & Design
Construction
ISSUE 3 SEPTEMBER 2014
• Civil & Architecture
• Steel Structure
• Equipment Installation
• Electric / Instrumentation
• Supervision
New Business Model
for Long Products Plant
Procurement
• Technical Feasibility Study
• Basic & Detail Engineering
• Process Design
• Purchasing
• Expediting
• Inspection
• Traffic Control
Strength on EPC Management
with Single Accountability
Project Management
• Cost Management
• Quality Management
• Overall Progress Control
• Risk & Interface Management
Expand Your Horizon
With PEPCOM Solution
– EPC
02
ISSUE 3 - SEPTEMBER 2014
POSCO E&C Total Solution Provider
Started the Commercial Production of
Gwangyang No.4 Hot Strip Mill Plant
Roughing Mill
Process Layout
FACTS & FIGURES
RH 1 set
PROJECT
BOF 1 set
Slab 1 set
LF 1 set
CAPACITY
3,300,000 T/Y
PRODUCT
THICKNESS 1.2 mm ~ 22 mm
WIDTH 700 mm ~ 1950 mm
WEIGHT MAX. 35.0 t
LOCATION
GWANGYANG, KOREA
PERIOD
DEC. 2010 ~ JUL. 2014
WORK SCOPE
Roughing Mill (1 unit)
• R2-4Hi Mill
• Rolling : Slab (250t) → Strip (70t)
Reheating Furnace (3 units)
• Capacity : 250 T/Hr
POSCO-No.4 HRM
EPC
Down Coiler (2 units)
• Open Housing
• Hyd’ Operated 4 – Unit Roller
• Max. 1,500 m/min. (at F7)
Finishing Mill (7 units)
• F1~F7- 4Hi Mill
• Rolling : Strip (70t) → Final (1.2~22t)
• Bar Levelling : within ± 20mm
Laminar Flow
Crop Shear
Edge Heater
SSP(Slab Sizing Press)
Strip Cooling System
To meet the demand of AHSS, API
and automotive steel product, POSCO
decided to expand the capacity of
Gwangyang hot strip mill plant with a
capacity of 3.3 million tons per annum
and the project started in 2011 under the
name of “Gwangyang No.4 Hot Strip Mill
Plant Project”.
This is an innovative investment
project through the cooperation among
POSCO group with its own engineering
capability from steelmaking to hot roiling.
Currently, the hot strip mill plant has
started the commercial production since
July 11th, 2014 and the steelmaking
and continuous casting plants are under
the hot-run test stage, scheduled to be
completed at the end of October with
early accomplishment of the equipment
stabilization. For the long term, this
is designed to expand its capacity to
produce 5.0 million tons per annum.
No.4 Hot Strip Mill Plant has quality
competitiveness of automotive steel
for the following reasons: the length of
reheating furnace is extended to increase
its productivity and improve the quality
by sufficiently securing the residence
time when the slab passes through
the reheating furnace. Also, it adopts
SSP (Slab Sizing Press) to increase the
productivity of its slab. For the rolling
mill parts, POSCO E&C provided entire
design with its own technology enhancing
the operability through the accumulated
operation and maintenance records
from POSCO. Besides, an applied pallet
type conveyor significantly reduces
the defects of the product during the
transportation. It can prevent the surface
flaw of its coil during the coil handling and
provide extra space to add more lines
when the production gets increased.
Overall, the No.4 Hot Strip Mill Plant
minimizes its errors during the installation
by applying improvement of previous
plants’ problems such as its design and
layout with its own technology as well as
the perfect assembling test.
The insider of POSCO said, “Since this
is the first hot strip mill plant with our own
technologies, it is definitely meaningful
and it will bring many positive effects.
POSCO E&C achieved its facilities to
reach the normal capacity within the
shortest time successfully and also
proved the superb quality. We will have to
work on hard till its successful completion
scheduled in October.”
03
ISSUE 3 - SEPTEMBER 2014
POSCO E&C Total Solution Provider
POSCO E&C, Top Ranked EPC Contractor
OVERSEAS
DOMESTIC
TOP INTERNATIONAL
CONTRACTOR
CONSTUCTION
CAPABILITY RANKING
STEEL AND NONFERROUS METALS
REVENUE
RANK FIRM
ESCO B/F, Sinter Plant
POSCO Assan TST Assan CCL
HADEED CCL
IISCO Blast Furnace
POSCO Maharashtra CRM, CGL
ZPSS Hot Strip Mill
POSCO Guangdong CGL
Asia Special Steel
POSCO-Mexico
No.1&2 CGL
Formosa HRM
POSCO CRM
PT.KP Integrated Steelworks
BSL Sinter Plant
CSP
Integrated
Steelworks
(S MIL.)
Unit : trillion won
RANK NAME
FLUOR CORP.
7,948.2
1
SAMSUNG C&T
13.12
2
BECHTEL
4,737,0
2
HYUNDAI E&C
12.56
3
POSCO E&C
1,598.2
3
POSCO E&C
9.22
4
CHINA METALLURGICAL GROUP CORP.
1,076.7
4
DAELIM INDUSTRIAL
8.33
5
DAEWOO E&C
7.49
6
GS E&C
6.44
7
LOTTE E&C
4.94
8
SK E&C
4.61
9
HANWHA E&C
3.96
10
HYUNDAI ENGINEERING
3.21
5
6
CHINA NATIONAL
MACHINERY INDUSTRY
CORP.
548.8
CHINA ALUMINUM
INTERNATIONAL
ENGINEERING CO.LTD
377.6
Source : ENR 2013
P O S C O E & C r a n k e d 3 rd i n t h e
construction capability evaluation from
the recent publish of the Ministry of
Land, Infrastructure and Transport of
Korea, moved up two places from last
year assessed amount with 9.22 trillion
won (equivalent to USD 8.8 billion)
despite of recent market downturn of
construction industry. Construction
capability evaluation is based on the
company’s per for mance, financial
status, technical capability, credibility to
VALUE
1
the national construction market.
This breakthrough is the result of the
steady development of the majority of
domestic and international construction
business.
Making a significant contribution from
the construction of POSCO Steel Works
since the foundation of POSCO in 1968
to the construction of CSP Integrated
steelworks, Brazil in 2012, POSCO E&C
has grown rapidly to become top-ranked
EPC contractor. Branching off from core
Source : Ministry of Land,
Infrastructure and Transport
competence of steel plant, POSCO E&C
diversified successfully in the sector
of Power plant, Architecture & Urban
Development, Civil & Environmental
plant since 1994.
As a result, POSCO E&C has become
the lead company in both Korea and
worldwide with the orders amount of
11.8 billion dollars and the revenue
of 7.8 billion dollars which ranked
3 rd contractor in Korea in ter ms of
construction capability.
ISSUE 3 SEPTEMBER 2014
New Business Model for Long Products Plant
POSCO E&C and Daehan Steel,
Korea’s top tier manufacturer of long
p ro d u c t s i n c l u d i n g s q u a re b i l l e t ,
deformed bar, processed rebar and bar
in coil, have signed a memorandum
of understanding for jointly promoting
overseas mini-mill plant business.
This strategic cooperation certainly
will expand business activities of each
company on mutually beneficial basis
in the sphere of long products plant
projects.
Especially, it is expected to enhance
P O S C O E & C ’s c o m p e t e n c e i n
performing ‘planning’ and ‘O&M phase’.
Daehan steel will support ‘Planning
stage’ by generating plan for reducing
investment cost based on their 60
years of experience and ‘O&M stage’
by providing operational efficiency
and quality control improvement which
will lead early stabilization of the plant
while POSCO E&C focus on providing
optimized EPC contract.
POSCO E&C and Daehan Steel are
currently developing specific overseas
long products plant projects which will be
designed under the new business model.
04
ISSUE 3 - SEPTEMBER 2014
PEPCOM
INTRODUCTION
03
POSCO E&C Total Solution Provider
Expand Your Horizon With PEPCOM Solution
OF 04
As top ranked EPC contractor,
POSCO E&C have participated in
numerous EPC projects worldwide.
In this edition, the source of its EPC
competence will be broadly covered.
This brief introduction for of each
phase of Engineering, Procurement,
and Construction might help you have
better understanding of POSCO E&C.
Engineering
Qualified and highly skilled team of
engineers, with more than 20 years
of experience assures a high quality
of engineering services that means
long operability for client’s plant. From
conceptual design and basic design
to detail design, POSCO E&C experts
fully utilize the data from technical
feasibility study stage and operation
and maintenance data from all of
POSCO’s steel plants to meet the
clients’ requirements and minimize any
kind of engineering errors. In addition,
POSCO E&C can significantly reduce
the project cost through the value
engineering.
Procurement
With its own IPO (Inter national
Purchasing Organization), purchasing
specialists operate a fully integrated
Execution Phase of PEPCOM Strategy
Engineering & Design
Procurement
• Technical Feasibility Study
• Basic & Detail Engineering
• Process Design
Construction
• Civil & Architecture
• Steel Structure
• Equipment Installation
• Electric / Instrumentation
• Supervision
• Purchasing
• Expediting
• Inspection
• Traffic Control
Project Management
Strength on EPC Management
with Single Accountability
supply chain. Direct accounts with major
manufacturers, distributors and LCCs
(Low Cost Country) enable POSCO E&C
to offer the most competitive prices.
For example, Brazil CSP integrated
steelworks project sourced resources
such as construction materials and
equipment from 200 local companies. In
addition, logistics and inspection team
is dispatched to deliver the products
without any delay and flaw.
Construction
Through POSCO E&C’s fast track
project delivery, all construction tasks
begin before design and construction
d o c u m e n t s a re c o m p l e t e d , w h i c h
leads to significant time and cost save.
This is why there has not been a sigle
construction delay or cost overrun in
• Cost Management
• Quality Management
• Overall Progress Control
• Risk & Interface Management
POSCO E&C’s previous projects.
Furthermore, POSCO E&C is able to
conduct various worldwide projects
through the localization. By forming
the partnership with local companies,
execution of all projects is improved in
terms of its stability and cost.
Project Management
Project management consolidate
all activities in a project. A project
may be well conceived but if all of its
aspects are not expertly integrated and
managed, it may overrun the budget,
fail to meet the schedule, or fall short
in technical quality. POSCO E&C, with
decades of experience in serving EPC
contracts, knows how to manage all
aspects to solve conflicts and identify
risks before they become actualized.
Focus on Indian Steel Market – MMMM 2014
Receiving the award of Excellence
F ro m 4 t h t o 7 t h S e p t e m b e r 2 0 1 4 ,
POSCO E&C participated in the
Minerals Metals Metallurgy & Materials
International Exhibition and Conference
2014 (MMMM 2014) in New Delhi,
India, which is India’s event of the
steel industry providing opportunity
to experience latest innovations,
advancements and technological
development in the field of mineral,
metals, mining and allied industries.
POSCO E&C presented its broad
portfolio of products and services,
fostered customer relationships
in personal discussions, and held
several presentations focusing on
technical advance of FINEX and large
block ring method for blast furnace
construction and modernization during
the conference session. A large number
of guests and customers discussed
technical issues and potential projects
with POSCO E&C. Impressive exhibits,
such as FINEX and complete PEPCOM
capabilities were presented via the
on-site presentation and displayed
materials. Visitors showed high interest
and gained a better understanding of
POSCO E&C and our core technologies
through their visit.
CONTACT
Name
HO-SEONG LEE / Director
POSCO E&C Tower 1,
241 Incheon tower-daero, Yeonsu-Gu,
Incheon, 406-732, Korea
E-mail plant_biz@poscoenc.com
Phone 82 32 748 2365