IIBG Studying Possible North American Plants
Potential plants to be built at these loca-tions would use an innovative process devel-oped by the International Mineral Bene-ficiation Services (IMBS) based in South Africa. The IMBS process converts superfine iron ore into metallic iron units without the need for agglomeration. The final product would be used for steel production, mostly in electric arc furnaces as an effective substi-tute for scrap. The IMBS process is cost effi-cient and has lower environmental impacts than traditional processes.
IIBG’s decision as to whether the loca-tions under consideration will be developed and in what sequence within the context of an overall North American strategy will depend on the results of the respective fea-sibility studies and the successful launch of the first commercial plant utilizing IMBS technology in Phalaborwa, South Africa. IMBS is leading the Phalaborwa plant construction, where Severstal holds a 33% stake.
“IIBG emphasizes at this time that the company is conducting the necessary due diligence to determine the feasibility and priority of potential sites. IIBG cautions and confirms that no final commitments can be made at this very early stage of the business development process,” said IIBG CEO Dmitry Solomin.
The feasibility study for a possible Sydney, Nova Scotia, plant will be initiated first, to be followed by investigation of other sites during the course of 2013. A decision on whether to proceed with a pro-ject and its sequence will be made at the completion of these studies.