Scaw considering big cogen project

South African steel manufacturer Scaw Metals is considering investments collectively valued at R3.4-billion over the coming three years, including a possible R1-billion investment into a cogeneration electricity plant at its Germiston facility, on Gauteng’s East Rand. Acting CEO Markus Hannemann reports that group, which is currently majority owned by the State-owned Industrial Development Corporation (IDC), has advanced a cogeneration project plan that is able to generate up to 68 MW. The project can be implemented in phases and the various investment options are being evaluated. The facility would be developed to convert waste heat and gases into electricity at Scaw’s Union Junction complex, in Ekurhuleni, South Africa where it operates Directly Reduced Iron (DRI) kilns to convert iron-ore. The plant will cater for up to 60% of the site’s power demand and Scaw will also seek an arrangement with Eskom to enable it to feed any excess power that may be generated at times back into the grid.

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