Sidor Ciudad Guayana steel plant

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Sidor Ciudad Guayana steel plant (Siderúrgica Sidor), also known as Siderúrgica del Orinoco, is a steel plant in Guayana City, Bolívar, Venezuela that operates direct reduced iron (DRI) and electric arc furnace (EAF) technology.

Location

The map below shows the exact location of the plant in Guayana City, Bolívar, Venezuela:

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  • Location: Puerto Ordaz, Guayana City, Bolívar, Venezuela
  • Coordinates (WGS 84): 8.259073, -62.841126 (exact)

Background

Siderúrgica de Orinoco C.A. (Sidor) is Venezuela's largest steel maker. Before its nationalization in May 2008, it was the largest steel exporter in Andean South America and the fourth largest steel exporter in all of Latin America.[1]

In 1926 and 1947, major iron deposits were discovered in Venezuela's Bolívar state, and in 1953 Sidor was founded as a public company entrusted with the construction of a new steel plant in Ciudad Guayana, near the Orinoco River. Construction began in 1957, and the plant began producing steel in 1962.[2]

In 1997, the plant was privatised under President Rafael Caldera. Terms of the sale called for the Amazonia consortium – made up of Mexico's Hylsa and Tamsa, Argentina's Siderar, Venezuela's Sivensa, and Brazil's Usiminas de Brasil – to control a 70% stake in the company.[2]

Sidor was renationalised in mid-2008 under Hugo Chávez following a series of industrial disputes over pay which had paralysed the company for over a year.[3][4][5] In May 2009, then-majority owner Ternium agreed to relinquish its 59.7% stake in the company in exchange for a $1.97 billion payment from the Venezuelan government.[6]

The plant's production declined steadily over the ensuing decade.[7][8] A former Sidor director said that Chávez had "received it as a productive and solvent company; but management coming from the military world, unaware of 'steel manufacturing' activity, together with the 'absence of strategic planning and investments, led to a sustained fall in production'."[1]

Production at Sidor declined from 4.3 million tons in 2007 to less than 300 thousand tons in 2018[7], with output in 2017 reportedly representing only 3% of the plant's capacity.[9] Operations ceased completely after the Venezuelan blackout of March 2019, and the plant's 16,000 workers were said to be left staring at the ceiling instead of working.[10][11]

In December 2020, the Venezuelan government asserted that Sidor was prepared to resume production of crude steel in 2021[12]; however, other media outlets reported that the plant was still only operating at 3.3% of capacity in the first half of 2021[13] and 5% of capacity in 2022.[14]

As of August 2023, SteelOrbis reported that furnace 1 was set to resume crude steelmaking.[8] However, year-over-year steel production declined sharply, from 285,000 tonnes in 2022 to 120,000 tonnes in 2023[15], and the plant's output was reported to be even more anemic (20,000 to 40,000 tonnes) in the first six months of 2024[16], with production dwindling from 3.2% to 1.5% of capacity between April 2023 and June 2024.[17]

Plant Details

Table 1: General Plant Details

Start date Workforce size
1962[18] 12676[19][20]

Table 2: Ownership and Parent Company Information

State-owned entity status Parent company Parent company PermID Parent company GEM ID Owner Owner company PermID Owner company GEM ID
Full Siderurgica del Orinoco Alfredo Maneiro CA [100.0%] 5000051649 [100.0%] E100000130923 [100.0%] Siderurgica del Orinoco Alfredo Maneiro CA [100%][21][19] 5000051649 E100000130923 [100%]

Table 3: Process and Products

Steel product category Steel products Steel sector end users Main production equipment
crude, semi-finished, finished rolled[22] tinplate, ingot, wire rod, rebar, sheet, bar, cold rolled, billet, hot rolled, slab[22] automotive, building and infrastructure, energy, steel packaging, tools and machinery, transport[22] DRI; 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 Electric arc furnace steelmaking capacity Nominal crude steel capacity (total)
mothballed 4080[23][24][25][19] 4080[23][24][25][19]
operating 1020[23][24][26][19][25] 1020[23][24][26][19][25]

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 Sponge iron/DRI capacity Nominal iron capacity (total)
mothballed 2680[27][28] 2680[27][28]
operating 1290[28] 1290[28]

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

Sinter Pellets
NF 1825[29]

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

Year EAF production Total (all routes)
2019 [30][31] [30][31]
2020 17[20][32][33][34] 17[20][32][33][34]
2021 169[35][24][20] 169[35][24][20]
2022 285[35][36] 285[35][36]
2023 120[35] 120[35]

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

Year DRI production Other/unknown iron production
2019 >0[37] >0[37]
2020 [38] [38]
2021 >0[39] >0[39]
2022 >0[40][41] >0[40][41]
2023 >0[28] >0[28]

Unit Details

Table 9: Direct Reduced Iron Furnace Details

Unit name Status Start date Furnace manufacturer and model Furnace type Current capacity (ttpa) Reductant
DRI HYL A mothballed[35][42] 1980[27] HYL/Energiron[27] shaft furnace[43] 570[27] methane[43]
DRI HYL B mothballed[35][42] 1980[27] HYL/Energiron[27] shaft furnace[43] 700[27] methane[43]
DRI HYL C mothballed[35][42] 1981[27] HYL/Energiron[27] shaft furnace[43] 700[27] methane[43]
DRI HYL I mothballed[35][42] 1976[27] HYL/Energiron[27] shaft furnace[43] 360[27] methane[43]
DRI I mothballed[28] 1977[28] Midrex[28] shaft furnace[28] 350[28]
DRI IIA operating[28] 1979[28] Midrex[28] shaft furnace[28] 430[28]
DRI IIB operating[28][44] 1979[28] Midrex[28] shaft furnace[28] 430[28]
DRI IIC operating[28] 1979[28] Midrex[28] shaft furnace[28] 430[28]

Table 10: Electric Arc Furnace Details

Unit name Status Current capacity (ttpa) Current size (tonnes)
EAF 1 operating[45][46][25] 1020[25][19][24][26][23] 200.0[23]
EAF 2 mothballed[35][42] 1020[19][24][23][25] 200.0[23]
EAF 3 mothballed[35][42] 1020[19][24][23][25] 200.0[23]
EAF 4 mothballed[35][42] 1020[19][24][23][25] 200.0[23]
EAF 5 mothballed[35][42] 1020[19][24][23][25] 200.0[23]

Table 11: Electric Arc Furnace Feedstock Details

Unit name Scrap-based % scrap % DRI
EAF 1 yes[23][47] 20.00[23][47] 80.00[23]
EAF 2 yes[23][47] 20.00[23][47] 80.00[23]
EAF 3 yes[23][47] 20.00[23][47] 80.00[23]
EAF 4 yes[23][47] 20.00[23][47] 80.00[23]
EAF 5 yes[23][47] 20.00[23][47] 80.00[23]

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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  4. "Thousands strike at Venezuela's Sidor steel". Reuters. January 31, 2008.
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  9. Cite error: Invalid <ref> tag; no text was provided for refs named ref_4
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  11. "Jorge Roig: El apagón es una tragedia peor que el terremoto de Caracas". El Nacional. March 14, 2019.{{cite web}}: CS1 maint: url-status (link)
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