banner-1 Hon. Minister of Steel Sh. Narendra Singh Tomar
माननीय इस्पात मंत्री, श्री नरेंद्र सिंह तोमर
banner-1 Hon. Prime Minister of India
भारत के माननीय प्रधानमंत्री जी
banner-1 Hon. Minister of State for Steel Sh. Vishnu Deo Sai
माननीय राज्य इस्पात मंत्री, श्री विष्णु देव साई

EAF Units

The economic model shown above is prepared only to shown how liquid steel cost can be calculated through a simple cost benchmarking type approach. The predicted total costing shown is not meant to represent an actual cost for any real steel company. It is a notional figure only - albeit one that is built on fairly representative current input costing information.

Input Costs
Key input costs are taken from the other pages shown on the website or estimated by our economists. Recent scrap and electricity prices can be found on our steel making input costs page. Analysis above was prepared in mid-2012.

The Steel Product
The steel product for which the cost is shown above is a metric tonne of EAF liquid steel. The cost is for a notional producer - a typical size plant of about 1 month t/year capacity, based in Japan, using a 100% scrap charge to EAF [no DRI or irons], and producing commodity grade carbon steel for long products with average labor productivity. To benchmark or estimate conversion costs for different locations, for steel grades such as stainless steel, or for specific producers please contact us (see below). Steel costs for the integrated steel making process route may be found on our BOF costs page.

The Business Environment
Site visitors are advised that all estimates shown should be adjusted to reflect the particular business environment in which the steel plant operates. Thus, electricity charges may be substantially cheaper than usual because the melt shop is run primarily at night (to benefit from cheaper night time tariffs). Depreciation costs may be higher or lower depending on the age of the electric furnace and transformer. Labor productivity may also be substantially poorer than shown (especially in State owned plants prior to privatization) etc.