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Update on Essar Steel Algoma blast furnace

Essar Steel Algoma reports that start-up on its No. 7 blast furnace is progressing as planned. "I am pleased to report the start up process for No.
EssarSteelAlgoma7

Essar Steel Algoma reports that start-up on its No. 7 blast furnace is progressing as planned.

"I am pleased to report the start up process for No. 7 Blast Furnace is well underway and everything is on track," Brenda Stenta, Essar Algoma's manager of corporate communications tells SooToday.com

Stenta also advises that the plate and strip mill resumed production this past week and finishing units have returned to operation after a mechanical failure forced the shutdown of Essar's only functioning blast furnace in the Sault on September 24.

The metal in the bustle pipe main carrying hot air blast to No. 7 blast furnace failed in the area above the north tap hole, resulting in a 14-foot hole in that area of the pipe.

An initial inspection of the area left Essar expecting to begin wind-up of the blast furnace on October 7 or 8.

But closer inspection revealed more problems that required attention.

Start-up did begin late Friday, October 9.

The slow and controlled process continues on schedule, Stenta advises.

"We continue to ready No. 6 as a precautionary measure," Stenta said. "Once No. 7 blast furnace is ramped up, start-up preparations on No. 6 will cease."

Stenta also confirmed media reports that Essar Steel Algoma is in talks with the Ontario Ministry of Environment to obtain an extension to a deadline to install a permanent baghouse on No. 6 blast furnace.

The company is asking to install a permanent baghouse on No. 6, 10 months after it is commissioned.

Essar Algoma has said it has no plans to recommission No. 6 at this time, although it intends to resume steel production increases when demand for product increases.

One year ago, No. 6 was banked and shut down because of a dramatic drop in steel demand.

The company had planned to move to two-vessel production and double its steel output.

Then the global economy dropped and and demand for steel dropped along with it, so No. 6 was banked on October 11, 2008 and has remained out of service awaiting improved economic conditions.

In August 2008, the Ministry of the Environment issued a permit for Essar Steel to recommission No. 6 blast furnace with several conditions attached.

One of those conditions was that a permanent baghouse be installed on the blast furnace by this December.



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