(China Daily)
Updated: 2007-09-28 11:20

Wuhan Iron and Steel (Group) Co (WISCO) plans to cooperate with General Electric (GE) to establish the largest blast furnace gas power plant in China.

The power plant, with two 160-mW units, will make use of blast furnace gas, the main emission of iron and steel works.

It has the capacity to generate 2.4 billion kWh of electricity a year and reduce emissions by 2 million tons of carbon dioxide. The system is also able to produce 160 tons of steam per hour as a critical part of steel production process.

Delivery of the gas turbines is scheduled for late 2008 and the plant expects to begin operation in late 2009.

"The partnership with GE and the blast furnace gas (BFG) project meet the demand of high efficiency and low emission for WISCO," said Deng Qilin, president of WISCO.

"We will continue to drive sustainable growth and utilize the latest technologies to develop the new growth model, which is focused on energy conservation and environment protection."

"One of the greatest challenges to the steel industry around the world is effectively reducing emissions," said Jack Wen, GE Energy's regional executive for China.

About two years ago, Baosteel Group started to establish the first BFG-fired combined cycle power plant project by GE.

"It may begin operation in November," said Zhang Chun, a GE spokesman responsible for the BFG project. "In recent years, many Chinese iron and steel works are making efforts to launch a new industrial model with higher efficiency and less emissions."

Jeff Immelt, GE's chairman and CEO, said the continuous restructuring of China's growth strategy provides a great opportunity to GE.

"With the special requirement of high efficiency and low emission of the Chinese steel industry, the production and services of GE will be more successful," Immelt said.

According to the agreement with WISCO, GE will provide more services, including environment-related technologies, water treatment, power distribution, automation, financial services, as well as leadership training.