POSCO, one of the world’s leading steelmakers, partnered with Primetals Technologies to develop and implement the third-generation FINEX® 2.0M plant at its Pohang Works in Korea. With an annual capacity of 2 million tons of hot metal, this state-of-the-art facility represents a significant advancement in environmentally friendly and economical ironmaking. The FINEX® process is a groundbreaking smelting-reduction technology that directly utilizes iron ore fines and non-coking coal, offering a competitive alternative to traditional blast furnace route. Following its successful blow-in in January 2014, the FINEX® 2.0M plant achieved its target productivity of 5,760 tons per day by April 2014, underscoring its operational excellence and innovative design.
Challenge
The steel industry is facing increasing challenges due to rising energy demands, declining raw material quality, and growing environmental concerns. Traditional blast furnace ironmaking depends on high-grade raw materials such as coking coal, which are becoming scarcer and more expensive. In addition, conventional ironmaking processes have a significant environmental footprint, with high levels of CO₂ emissions and energy consumption.
POSCO sought a solution to these challenges by aiming to reduce dependency on high-quality raw materials, lower production costs, and minimize environmental impact. The objective was to develop a process capable of using low-cost, readily available raw materials such as iron ore fines and non-coking coal, while still producing high-quality hot metal. The solution also needed to offer operational flexibility and generate valuable by-products, such as export gas, to improve overall plant efficiency.
Solution
The FINEX® 2.0M plant at POSCO’s Pohang Works is the culmination of decades of research and development by POSCO and Primetals Technologies. This innovative facility is designed to produce high-quality liquid hot metal using a simplified and efficient process.
Key Features of the FINEX® Process Include
- Direct utilization of iron ore fines and non-coking coal: the process eliminates the need for sintering and coking, enabling the direct use of iron ore fines (<10 mm) and non-coking coal as feed materials.
- Three-stage fluidized-bed reactor system: fine iron ore is reduced in a counter-current flow using reducing gas, which is generated from coal gasification in a separate melter gasifier.
- Hot-compacted iron (HCI) production: reduced iron is compacted into HCI before being melted in the melter gasifier, producing liquid hot metal of blast furnace quality.
- Export gas utilization: the valuable export gas generated during the process is used for power generation or heating, enhancing the plant’s overall efficiency.
Scope of Supply
Primetals Technologies provided comprehensive support for the FINEX® 2.0M plant, including:
- Basic and detailed re-engineering for the process, automation, and plant design, resulting in a 9% reduction in construction weight compared to the FINEX® 1.5M plant. Additional design improvements, such as a center charging system for homogeneous material distribution and dry de-dusting equipment, further enhanced operational efficiency and environmental performance.
- Supply of proprietary key components
- Supervision of plant start-up and commissioning
FINEX® F-1.5M plant and FINEX® Demonstration Plant at POSCO Pohang
Benefits
- Cost efficiency: direct utilization of low-cost raw materials significantly reduces production costs.
- Operational flexibility: the process accommodates a wide range of raw material qualities and allows for flexible operation.
- High-quality hot metal: the liquid hot metal produced is equivalent in quality to that of traditional blast furnaces.
- Valuable by-products: export gas with a net calorific value of 5,500–6,250 kJ/m³ can be used for power generation or heating.
Conclusion
- The FINEX® process offers significant cost, environmental, and operational benefits, making it a competitive alternative to traditional blast furnace ironmaking.
- The FINEX® process directly utilizes iron ore fines and non-coking coal, eliminating the need for sintering and coking.
- FINEX® 2.0M plant at POSCO in Pohang, South Korea, has an annual capacity of 2 million tons of hot metal.
- The plant achieved its target productivity of 5,760 tons per day within three months of start-up.
- Primetals Technologies provided engineering, key components, and start-up supervision for the project.
