Isfahan Mobarakeh Steel Deputy Minister of Operation said: In order to produce API steel, it is necessary to have vertical-arc casting machines. Mobarakeh Steel introduced this type of casting machine into the circuit in 1995.
With this action, the Ministry of Oil was assured that Mobarakeh Steel will produce all API products used in the oil and gas industry. The use of steel with special properties in some industries such as oil and gas pipelines is very important due to the sensitivity of this industry and its transmission.
In order to make these pipes, the steel used must have API standard. In previous years, the steel used in this industry was supplied from abroad. Since 2016, Mobarakeh Steel Company of Isfahan, in order to be self-sufficient in manufacturing API steel, has provided its infrastructure measures, and since last year, this company has been producing this steel.
Therefore, an interview has been arranged with Mukhtar Bakhshian, Isfahan Mobarakeh Steel’s deputy for exploitation, which you will read below.
*** What is API Steel?
Regarding the API steel standard, Bakhshian said: “The American Petroleum Institute, abbreviated to API, sets standards for the production of special steels in the sour and sweet sectors of the oil and gas industry.” These types of steels, known as APIs, must meet certain standards.
For example, if an oil with specific chemical properties is to be transported from one region to another, the pipes and tanks constructed for this purpose must meet various standards, including the appropriate thickness, chemical analysis, and type of welding. The standard of API steel grades is also determined according to the tensile stress and mechanical properties of the steel.
*** Mobarakeh Steel takes a big step in API steel production
Isfahan Mobarakeh Steel Vice President of Operations, pointing out that the company has been producing API steel product since last year, added: in order to produce this type of steel, it is necessary for casting machines to be of vertical-arc type, which Mobarakeh Steel has been producing since 1995. He put it into orbit from casting machines.
With this action, the Ministry of Oil was assured that Mobarakeh Steel will produce all API products used in the oil and gas industry. It became operational in 1998, and the company now has the ability to produce all API grades up to the slab stage.
In response to the question whether these products will be converted into sheets in Mobarakeh Steel Rolling Mill or not, he said: Mobarakeh Steel can currently produce sheets with thicknesses less than 16 mm and widths less than 1850 mm, and if a wider product is needed. Or thicker, this rolling is performed on the steel to be turned into a plate by rolling.
If the hot rolling line 2 is launched in Mobarakeh Steel, it will be possible to produce 2100 mm wider sheets and 25.4 mm thick.
*** Steel production capacity
Regarding the production and supply of thicknesses higher than this amount, Bakhshian said: sheets with a width of 2100 mm and a thickness of more than 25 mm, comprise only a small 10 to 15% of the market, and the production of sheets with a wide width is only available to Foladaxin.
Which has the ability to produce 3,500 to 4,500 mm wide sheets. Bakhshian said about the API steel production capacity: The company has the ability to produce 50,000 tons of steel per month, which will reach about 600,000 tons per year, and we hope with the development of the station Degassing this figure will increase to 2 million tons.
He clarified about the consumption of this type of steel in other industries: Most of API steel products are used in oil and gas and fluid transfer industries and are not used in industries such as automobile manufacturing. Also, according to international standards, manufacturers should use only the specified standards.
*** Iran is the only API steel, producer in the Middle East
Isfahan Mobarakeh Steel Deputy Minister of Mining said about API steel producing countries: Few countries in the world, including Russia, India, China, Korea, Japan, Taiwan, USA, Germany, England and Italy have the ability to produce this grade of steel.
Moreover, Iran is the only country in the Middle East that has the ability to make this type of steel. He added: “Considering the construction of a new degassing unit in Mobarakeh Steel and the increase in production in the production of API steel, our products will meet domestic demand and we will not need to import slabs of these products, while we hope to export this in the second half of next year.” We also have a steel grade. Given that there are many major oil and gas projects in our region, and if sanctions allow, Iran can be a good market to buy these countries.
*** Internalization and currency saving
“Our domestic production has resulted in 250 million euros in foreign exchange savings annually,” Bakhshian said, noting that API steel production in oil projects. Given the halt in the development of the oil industry due to sanctions and Iran’s need to develop oil and gas infrastructure, a significant percentage of which is allocated to the pipeline, the possibility of domestic production also creates good capacity for us.
In the end, Isfahan Mobarakeh Steel Deputy Minister said: “So far, about 300,000 tons of high quality products have been produced and delivered, and by the end of the year, 180,000 tons of slabs will be delivered to the oil company, while producing the required sheets of oil and sweet gas.” And we deliver sour sheets of 20,000 tons of these products monthly.
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