Gunung Raja Paksi (GRP), Indonesia’s largest privately owned metal producer, has entered an settlement with Primetals Applied sciences to change into the primary Asian metal mill exterior of China able to producing zero-carbon scorching rolled coil (HRC) metal.
This transfer will meet the rising demand for HRC metal in Europe and place GRP as a number one low-carbon metal producer in South East Asia.
GRP will combine Primetals Applied sciences’ Arvedi Limitless Strip Manufacturing (ESP) expertise, which mixes casting and rolling processes to provide skinny and ultra-thin gauges.
The Arvedi ESP expertise eliminates the usage of fossil fuels, thereby decreasing greenhouse gasoline emissions to zero.
The expertise is about to largely exchange chilly rolled coil metal in Indonesia, with GRP additionally adopting electrical arc furnace (EAF)-based steelmaking as a part of its “formidable” transition programme.
GRP plans to begin manufacturing by 2027, aiming to double its output from 1.3 million tonnes (mt) to 2.5mt of low-carbon metal, with over half destined for the EU market.
GRP govt chairman Kimin Tanoto mentioned: “By GRP’s partnership with Primetals Applied sciences, we’re investing within the world competitiveness of the Indonesian metal trade to assist safeguard its future, whereas constructing on the Indonesian Authorities’s efforts to sustainably scale this crucial trade and attain internet zero by 2060.”
Primetals Applied sciences will provide the total technological tools together with a high-speed caster and a rolling mill, in addition to an entire package deal of electrical and automation options for the ESP plant.
This deal gives GRP with a aggressive edge for exporting to the EU in mild of the carbon border adjustment mechanism (CBAM) regime, and marks a milestone within the firm’s Venture Inexperienced Dragon initiative, introduced in November 2024.
GRP chief transformation officer Kelvin Fu mentioned: “Our adoption of Primetals Applied sciences’ Arvedi ESP expertise means, virtually in a single day, GRP has leapfrogged from its standing as a well known uncooked commodity producer to high-end metal product producer – no different steelmaker on the earth has efficiently executed a class shift as swiftly as this.”
Primetals Applied sciences govt vice-president and head of world enterprise unit upstream Andreas Viehboeck mentioned: “In comparison with different accessible applied sciences, the Arvedi ESP expertise ensures larger vitality financial savings and superior materials yield and product high quality, whereas guaranteeing the absence of any fossil gasoline utilization.
“This may enable GRP to face out and excel on each Indonesian and worldwide markets, enabling them to additionally enter into excessive added worth high quality product niches, together with automotive purposes.”
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