Japanese-Syriac Union

In mid-July, the Austrian Hares Group has announced the transition to the practical stage of the project to introduce direct reduction of iron technology in Ukraine using ore.

ITmk3 technology supplier within the project must be Japanese steel giant, Kobe Steel, and buyer of Japanese equipment and technology in Ukraine is Smart Group Ltd. of Vadim Novinsky. As to intention to master the production of briquettes from iron concentrates or pellets Ukrainian miner consider during several years already. At various times, the companies - owners of direct reduction of iron technologies received samples of products from Ingulets, Northern, Central, and Poltavsky GOKs. We know that, in addition to Krivyi Rig "Mehanobrchermet" and St. Petersburg Reeves, hopes to introduce its technology and equipment in Ukraine possess Swedish Metsa Minerals, Brazilian and American Cetco Midrex Technologies. The latter is a "daughter" of Kobe Steel and the owner of ITmk3 technology. According to a press release of Hares Group, the technology is one step ahead as compared to other technologies.

Project parameters are still to be determined. But, according to managing director of Hares Engineering Razaz Younes, the company will operate as a joint venture, which will become the largest co-owner of Smart Group. Time of implementing the project is 2007-2010. InGOK must provide the production site of 0.5 million tons of ingots per year. Judging by the already introduced ITmk3-projects - Kobe Steel Kakogawa Works in Japan, and Nugget LLC in the United States, the cost of building the plant in Krivyi Rig will be about $ 150 million. However, costs willl be reduced through the procurement of equipment in Ukraine, in particular NKMZ and Dneprotyazhmashe.

According to general director of InGOK Vladimir Piven, the plant patented similar to ITmk3 technology few years ago in the Ukraine, but developed without the participation of Midrex and Kobe Steel. Due to this Japanese could not implement the technology in Ukraine without InGOK. Nevertheless, it is not trite borrowing of the Japanese experience. Dnepropetrovsk and Krivyi Rig technologists from the Institute of Steel and "Mehanobrchermet" dealt with the issue of iron reduction from 60-s of the last century. In USSR times with participation of Ukrainian experts the direct reduction of iron module has been put into operation in Starooskolskom metallurgical plant in Russia. There was no information as to the fate of technology in post-Soviet period. But few years ago Vladimir Piven acknowledged that the factory purchases technology and brains of Krivyi Rig Mehanobrchermet. So we can assume that they will save on imported equipment, purchasing most in Ukraine. Kobe Steel has personal interest in the project. Despite the fact that the commencement of ITmk3 development belongs to the same 60-s, the project was not finished and abandoned until the start of the 90's. And to date, Japanese-American technologists have not been able to create a single plant - in Japan and the United States there are only pilot and demonstration plants.