Salzgitter AG says it will install a new metal shredding plant near its steel mill in Salzgitter, Germany.
Salzgitter is in the process of converting that blast furnace/basic oxygen furnace integrated mill complex into one that uses hydrogen energy, direct-reduced iron (DRI) and ferrous scrap in a set of investments through its Salzgitter Low CO2 Steelmaking (SALCOS) project.
Installation of the new shredder, supplied by Germany-based Lindemann, is expected to cost $32.5 million and will be installed adjacent to the SALCOS plants under construction. The shredding system measures 620 feet (189 meters) in length and 216 feet (66 meters) wide.
The new shredder will enable the processing of high-quality scrap grades, Salzgitter says, noting the installation represents a further building block for the production of "green steel" as part of SALCOS.
In addition to Lindemann, Belgium-based engineering and construction firm Lybover will be involved in the installation. “Both companies command many years of expertise in the fields of machine technology and shredding, in addition to processing plant and exhaust air technology,” Salzgitter says.
The shredding plant will operate as part of Salzgitter’s existing Deutsche Erz-und Metall-Union GmbH (DEUMU) scrap processing subsidiary, which also grew through acquisition last year.
“In committing this investment, our aim is to strategically realign our scrap management at the Salzgitter site,” says Sandrina Sieverdingbeck, managing director DEUMU. “Proceeding in this way, we are creating the conditions to ensure the group’s scrap supply in the future, both in terms of quantity and quality.”
“As a medium-sized company rooted in a long tradition in mechanical and plant engineering, we are particularly proud to be working with our partners DEUMU and Lybover in realizing this challenging project in the field of metal recycling,” Lindemann CEO Carl Gustaf Göransson adds.
In addition to making the shredder investment, DEUMU is working with internal partners to develop the 4 SALCOS scrap grade, which the steelmaker says meets the properties of the SALCOS production process.
The commissioning of the shredder is being timed to coincide with the start of the first stage of the SALCOS “transformation program” in 2026.
“We know that, driven by the circular economy, the global demand for scrap is set to increase significantly," Salzgitter board Chair Gunnar Groebler says. "Demand for high-quality steel scrap will trend upwards, particularly due to the increasing electrification of steel routes for CO2-reduced steel worldwide.
“The processing of these scrap grades from old scrap will then be enabled primarily by modern shredding and sorting systems. Consequently, the new shredder is an investment in product quality and, above all, serves to secure our own requirements.”
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