Fives Stein to supply Continuous Annealing Line furnace equipment for Baosteels Zhanjiang project

BAOSTEEL-001 725 402-FIVES

Paris, August 21, 2013 - Fives Stein, designer of high technology furnaces and thermal equipment for steel and glass, was awarded a major contract to design and supply a Continuous Annealing Line vertical furnace for Baosteel's Zhanjiang project. The contract signing ceremony was held in Shanghai on July 31, 2013, in the presence of major stakeholders of this project.

Through this contract, Fives Stein will supply equipment for the 2030 Cold Rolling Mill, one of the plant's key units, which will mainly produce automotive exposed panels and sheets and other high-end appliances products, with a designed annual production capacity of 2.2 million tons. With the Zhanjiang project, Baosteel will bring new steel capacities in the GuangDong province (southern China), a region opening to the dynamic south-east Asian market.

A most modern technology with a lighter environmental footprint

The vertical annealing furnace that will be supplied by Fives Stein for the Zhanjiang plant will is composed of 10 different heating and cooling sections including the patented FlashCooling® technology, and will process the strip thermal cycles over 95 vertical passes with a total strip length inside the furnace of 2.5 km. The equipment integrates the most advanced combustion and cooling technologies combined with the design and operation experience of the last 8 vertical annealing furnaces ordered by Baosteel to Fives Stein since 2005. This Continuous Annealing Line (CAL) will have an annual production capacity of more than 1 million metric tons;

Thanks to Fives' most advanced technologies, the Zhanjiang facility will have an improved environmental track record. Indeed, the furnace will also integrate the latest generation of highly efficient AdvantTek® combustion system, which has the best recuperative energy efficiency (20% better compared to other combustion systems), combined with the lowest NOx emissions (50% lower than other systems).

Cold Rolling construction plans piling in September 2013, Continuous Annealing Line hot load in June 2016, and will be built into a world-class cold rolling mill with an enhanced productivity.

A ceremony to celebrate this contract as well as the close cooperation between Fives and Baosteel

The signing ceremony was held in the presence of major representatives, including Mr. Zhao Zhouli, Vice President of Baosteel Group and Chairman of Baosteel Zhanjiang Steel Co., Mr. Frédéric Sanchez, Chairman of Fives, as well as Mr. Emmanuel Lenain, French Consul General in Shanghai. This ceremony was an opportunity to celebrate not only the awarding of this contract but also the long-lasting partnership and trust between Fives and Baosteel. This translates into 10 furnaces supplied by Fives to Baosteel since 2005.
Mrs. Shan Xiaoyang, CEO of Fives in China, summed it up: "We have more than a supplier-client relationship. Our extensive cooperation, which encompasses the development of new products and design of new process technologies, greatly contributes to the international development of both Baosteel and Fives in a sustainable and competitive way".
Mr Sheng Genghong, General Manager of Zhanjiang Steel Co stated : "For many years, Baosteel and Fives Stein have carried out extensive and smooth cooperation for many years and today, both parties will cooperate with each other again for Zhanjiang Steel project, which will deepen further our friendship".

About Fives' Steel offer

In Steel, Fives' goal is to help steelmakers enhance their performance and the subsequent competitiveness.
It has developed the most reliable & innovative technologies and offers a range of expert service, from the layout of a facility to revamping services, including the design, manufacture and retrofit of mechanical, thermal, tube & pipe finishing equipment and the supply of surface treatment technologies.
Fives employs 1,000 people dedicated to steel applications, with the capacity to run projects everywhere. They partner with steelmakers to help them meet the quality requirements they want to reach, also for the sectors with the most demanding steel applications.

About Fives

Fives is an industrial engineering Group with a heritage of over 200 years of engineering excellence and expertise. Fives provides process equipment, production lines and turnkey plants for the biggest global players in the aluminum, steel, glass, automotive, aerospace, logistics, cement and energy sectors in both developing and developed countries.
In all these sectors, Fives designs and manufactures equipment and innovative solutions, which better anticipate and meet the needs of its customers in terms of performance, quality, safety and respect for the environment.
In 2013, Fives is forecasted to achieve a turnover of 2 billion euros and expected to employ more than 7,500 people in over thirty countries.

Press contact

Claire Mathieu
Tél. : +33 (0)1 45 23 76 21
claire.mathieu(at)fivesgroup.com