ArcelorMittal Monlevade steel plant

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ArcelorMittal Monlevade steel plant (ArcelorMittal Aços Longos , Companhia Siderúrgica Belgo-Mineira (Portuguese, predecessor)), also known as João Monlevade steel plant, Belgo steel plant (predecessor), is a steel plant in João Monlevade, Minas Gerais, Brazil that operates blast furnace (BF), basic oxygen furnace (BOF), and electric arc furnace (EAF) technology.

Location

The map below shows the exact location of the plant in João Monlevade, Minas Gerais, Brazil:

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  • Location: Av. Getúlio Vargas, 100, Santa Bárbara, João Monlevade, Minas Gerais, 35930-150, Brazil
  • Coordinates (WGS 84): -19.832129, -43.130164 (exact)

Background

The João Monlevade steel plant was originally a project of the Companhia Siderúrgica Belgo-Mineira (commonly known as Belgo), a steel company that arose from the acquisition of Companhia Siderúrgica Mineira by the Belgian-Luxembourg group ARBED (Aciéries Réunies de Burbach-Eich-Dudelange) in 1921.[1]

In the mid-1930s, Belgo began constructing a modern steel plant in the city of João Monlevade, in the mineral-rich state of Minas Gerais, Brazil. The Monlevade plant began operating in 1937, and over the next decade (prior to the 1946 opening of the much larger Presidente Vargas Steelworks in Volta Redonda) produced nearly half of Brazil's steel.[1]

In the 1950s and 60s, the Monlevade plant modernized and expanded its output, adopting the recently invented Linz–Donawitz process of basic oxygen steelmaking and installing a Morgan finishing mill for the production of wire rod. Over the next few decades, Belgo continued to modernize and grow, strengthening its partnership with the Bekaert Group (an international leader in the manufacture of steel wires), acquiring the steel companies Cofavi and Dedini, and leasing the Mendes Júnior steel plant in Juiz de Fora, Brazil.[1]

In 2000, Belgo replaced the Monlevade plant's five charcoal-fired blast furnaces with a single large-capacity, coke-fueled furnace, allowing the plant to increase its production of pig iron by 30%.[1]

In 2002, Belgo became part of the Arcelor group following ARBED's merger with the French company Usinor and Spanish steelmaker Aceralia. A new merger between Arcelor and the Indian company Mittal resulted in the creation of global steel giant ArcelorMittal in 2006, with the Belgo plant changing its name to ArcelorMittal Monlevade.[2]

Today the ArcelorMittal Monlevade plant operates as part of ArcelorMittal Brasil's Aços Longos (long steel) division, together with the ArcelorMittal Juiz de Fora steel plant and the ArcelorMittal Piracicaba steel plant.[3] The company is located near the so-called Vale do Aço (Steel Valley), a metropolitan region comprising the municipalities of Coronel Fabriciano, Ipatinga (home to the Usiminas Ipatinga steel plant) and Timóteo (home to the Aperam Timóteo steel plant).[4]

Expansion plans

In 2017, Brazil's financial crisis prompted a drop in the demand for steel, forcing ArcelorMittal to postpone a proposed project to expand the plant's capacity.[5] In late 2021, ArcelorMittal revived the expansion project, announcing that it would invest R$4.3 billion in building a new 2.3 million mtpa sinter plant, a 1.2 mtpa blast furnace expansion, and a 1.2 mtpa melt shop at the Monlevade plant.[6][7] The proposed expansion was expected to nearly double the plant's annual crude steel capacity from 1.2 million tpa (tonnes per annum) to 2.2 million tpa by 2024.[8]

In July 2023, ArcelorMittal announced that startup of the new sinter plant, blast furnace and melt shop would be delayed until the second half of 2026.[9] In early 2024, ArcelorMittal's 2023 Fact Book confirmed that plans for a 2026 completion date remained on track.[10]

2024 suspension of expansion project

In September 2024, ArcelorMittal announced that it had placed the US$460 million Monlevade expansion project on indefinite hold, due to declining demand for domestic steel prompted by increased imports from China.[11][12][13]

Plant Details

Table 1: General Plant Details

Start date Workforce size
1937[14][15] 975[16][17]

Table 2: Ownership and Parent Company Information

Parent company Parent company PermID Parent company GEM ID Owner Owner company PermID Owner company GEM ID
ArcelorMittal SA; small shareholder(s) 5000030092; not applicable E100000000687; E100001015587 ArcelorMittal Brasil SA[18][19][20] 4295859712 E100001000493

Table 3: Process and Products

Steel product category Steel products Steel sector end users ISO 14001 ISO 50001 Responsible steel Main production equipment
finished rolled[21] cord, wire rod[22][23][24] automotive[25][26] 2023-03-25[27] unknown[28] 2022-12-20[29][30] BF; BOF; EAF

Table 4: Plant-level Crude Steel Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Basic oxygen furnace steelmaking capacity Electric arc furnace steelmaking capacity Nominal crude steel capacity (total)
construction 1000[31][32] 1000[31][32]
operating 1200[33][34][35][36] 1200[33][34][35][36]

Table 5: Plant-level Crude Iron Production Capacities (thousand tonnes per annum)

1Please see our Frequently Asked Questions page for an explanation of the different capacity operating statuses.
Capacity operating status1 Blast furnace capacity Nominal iron capacity (total)
construction 1200[37][21] 1200[37][21]
operating 1040[38] 1040[38]

Table 6: Upstream Products Production Capacities (thousand tonnes per annum)

Ferronickel Sinter Coke Pellets
NF 1827[39] 0[40][39] 0[40]

Table 7: Actual Plant-level Crude Steel Production by Year (thousand tonnes per annum)

Year BOF production Total (all routes)
2019 1200[41] 1200[41]
2020 1200[21][19] 1200[21][19]
2021 1200[42] 1200[42]
2022 1153[32][43] 1153[32][43]
2023 1140[44][45] 1140[44][45]

Table 8: Actual Plant-level Crude Iron Production by Year (thousand tonnes per annum)

Year BF production Total (all routes)
2019 1056[46] 1056[46]
2020 1015[46] 1015[46]
2021 1036[47] 1036[47]
2022 1067[48] 1067[48]
2023 1043[39] 1043[39]

Unit Details

Table 9: Blast Furnace Details

Unit name Status Announced date Construction date Start date Furnace manufacturer and model Current size Current capacity (ttpa) Decarbonization technology Most recent relining
BF A operating[42] 1999[49][50][38] 1357.0[38][51] 1040[38] unknown 2017-08[52]
BF B construction[53] 2010-08[54] 2021[53] 2026[40] Paul Wurth Paul Wurth Modern Blast Furnace Design[55][54][54][56] 1524.0[57] 1200[21][37] unknown

Table 10: Electric Arc Furnace Details

Unit name Status Construction date Start date Current capacity (ttpa)
unknown EAF (1) construction[32] 2021[40] 2026[40] 1000[31][32]

Table 11: Electric Arc Furnace Feedstock Details

Unit name Scrap-based % scrap % DRI % HBI % sponge iron (unknown if DRI or HBI) % basic/merchant pig iron % granulated pig iron % pig iron (unknown if basic/merchant or granulated % other iron
unknown EAF (1) yes[58][59] >0[58][59] unknown unknown unknown unknown unknown unknown unknown

Table 12: Basic Oxygen Furnace Details

Unit name Status Start date Current capacity (ttpa)
unknown BOF (1) operating[39][60] 1957 600[36][34][35][33]
unknown BOF (2) operating[60][45] 1985 600[36][34][35][33]

Articles and Resources

Additional data

To access additional data, including an interactive map of steel power plants, a downloadable dataset, and summary data, please visit the Global Iron and Steel Tracker on the Global Energy Monitor website.

References

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