Steel Exchange India Limited inaugurate its Simhadri Power Plant

January 28, 2013: Steel Exchange India Limited (SEIL), one of the country’s high quality steel manufacturer, today inaugurated a 60 MW thermal power plant with a capital investment of Rs. 315 Cr under M/S. Simhadri Power Limited, a special purpose vehicle (SPV) promoted by the Company at Sreerampuram Village in Vizianagaram District of Andhra Pradesh. The plant will cater SEIL’s power need to a large extent.

The inauguration ceremony took place in the presence of high profile dignitaries.

• Dr. Smt. D. Purandeswari – Hon’ble Minister Of State for Commerce and Industry, Govt. of India inaugurated the CFBC Boiler
• Shri Botcha Satyanarayana – Hon’ble Minister for Transportation, A.P & PCC Chief, Andhra Pradesh inaugurated the Turbo Generator No. 1
• Shri Pratik Prakashbapu Patil – Hon’ble Minister of State for Coal, Govt. of India inaugurated the Coal Handling Plant
• Smt. Botcha Jhansi Lakshmi – M.P. Vizianagaram inaugurated the Turbo Generator No. 2
• Shri A.P. Choudhary – C.M.D, RINL, Vishakhapatnam Steel Plant inaugurated the Flue Gas Heat Recovery Boiler
• Shri Nadeem Ahmad – C.M.D, APEPDCL inaugurated the 132/11KV Switchyard

M/s. Simhadri Power Limited (SPL) will supply 51% of the power generated for captive consumption by the units of the Company as per the arrangement entered by the Company with SPL and the balance will be exported through merchant sale.

Commenting on the occasion, Mr. B. Satish Kumar – Managing Director, Steel Exchange India Limited said, “We are extremely pleased to launch the captive power plant. With this the Company will have substantial savings in costs apart from assured supply of power.”

About Steel Exchange India Limited

Steel Exchange India Limited was incorporated in Feb’1999 as Pyxis Technology Solutions Limited (PTSL). The Company is promoted by Shri. B. Satish Kumar along with his brothers, friends and relatives. Pyxis Technology Solutions was a software Company focused on development of business to business specific online solutions. The promoters were originally into trading of steel & steel related products under the banner of Vizag Profiles a well known group in Vishakhapatnam. After gaining substantial experience in steel trading, the promoters decided to launch a portal based steel trading platform. In December 1999 M/s Steel Exchange India Limited (SEIL) was incorporated as a 100% subsidiary of PTSL. M/s Pyxis approached the Capital Markets with its maiden Initial Public Offering in June 2000.

As the demand for steel started growing from 2000 onwards, the promoters gradually ventured into steel manufacturing as a backward integration of their strong steel retail & trading business by acquiring Simhadri Steels, a company having a rolling mill at Vizag and setting up an ingot manufacturing unit at Kothapeta in 2004.

Under a Scheme of Amalgamation approved by the Members of the Companies, M/s Steel Exchange India Limited (Subsidiary) and M/s Simhadri Steels Private Limited (a company acquired by the group) were merged with M/s Pyxis Technologies Solutions Limited and the name of the Company was changed to M/s Steel Exchange India Limited. The equity shares of the company are listed on the Bombay and Kolkata stock Exchanges. The main objective of company became manufacture of steel and trading in steel and related products. Steel Exchange India Ltd now owns the entire Steel business of the group.

The group has a history of acquiring sick companies and turning them around into successful ventures. In 2008 the company had joined as a strategic investor in the rahabilitaion of GSAL (India) Ltd a sick company referred to the BIFR and had a sponge iron unit of 220,000 Mts capacity per annum. Since joining and as part of the rehabilitation, the company set up downstream arrangements namely a 240,000 Mts p.a billet unit and 225,000 Mts rolling mill in 2010. The rehabilitation scheme was approved by the BIFR in Aug 2012 and as per the package, GSAL is now merged with Steel Exchange India Limited. With the setting up of the 60 MW power plant, the company has successfully set up an integrated streel manaufacturing hub.

About Simhadri Power Limited

Simhadri Power Limited is a SPV (Special Purpose Vehicle) formed to establish 60 MW Thermal Power Plant with a Capital Investment of Rs.315 Crores. It is promoted by Steel Exchange India Limited. Plant will cater the power need of SEIL. It uses waste heat from  the Exhaust gases of 2X350TPD DRI Kilns generating about 16 MW, Reject coal fines, Char generating about 24 MW and balance ROM coal as a fuel to generate steam. Generated power will be used for self consumption and balance power will be exported to Grid under sale of power on short term open access.

The power plant comprising of 210TPH CFBC Boiler of Thermax (B&W)D make, 2X36TPH WHRBs of Thermal Systems make to generate steam and fed to 2X30MW Siemens Steam Turbines for generation of power. Plant is equipped with Air cooled condensers of GEI make to avoid huge water consumption. High capacity ESP to control SPM up to 50 mg/nm3 through Chimney, Pneumatic Ash conveying system with Ash storage Silos to control fugitive emissions for smooth Ash transfer and Coal conveying system with Dust control system & Dust Suppression systems are installed for environmental friendly operation of the plant.