Phase one consisted of the installation of a set of induction furnaces for the reclaiming of scrap metal. The induction furnaces had a capacity of 25 tonnes and produced 90,000 tonnes of mild steel billets per year. Phase two, which was just approved in June 2018, includes the addition of two sets of furnaces and a ladle-refining furnace. The two additional furnaces will perform the same function of the current, running alternately with one being used for melting whilst the other is prepared for the melting process. The additional furnaces will thus double production and produce 180,000 tonnes of steel billets per year.
In addition to the furnaces, a ladle-refining furnace (LRF) will also be installed. Once all three phases are completed, Agni Steels SA will be deployed, using a modernised rolling mill, to locally convert the steels billets produced into reinforced steel for local and regional export consumption.
The authorisation by DEDEAT sets out environmentally safe conditions which Agni Steel SA will need to comply with whilst undertaking their expansion which is in accordance with the objectives of the Environmental Management Act, Act 107 of 1998.
