U.S. Iron and Steel Foundries Focus on MACT Compliance Projects

---

Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). The U.S. EPA released its final Maximum Achievable Control Technology (MACT) ruling in April 2004 for Iron and Steel Foundry National Emission Standards for Hazardous Air Pollutants (NESPHAPs). Under the ruling, owners of iron and steel foundries have until April 23, 2007, to comply with designated MACT standards. The MACT standards affect any foundry that is defined as a major source of Hazardous Air Pollutants (HAPs). A major source would be a foundry that emits greater than 10 tons/year of any HAP, or emission of a combination of HAPs exceeding 25 tons/year.

These new environmental regulations will have an impact on capital spending throughout the industry for the next two and a half years. The EPA estimates the nationwide total capital cost of the final rule is about $188 million. Industry associations, such as the American Foundry Society, predict that the cost will be much greater. The capital costs associated with the final rule are primarily due to the costs of installing modular pulse-jet baghouse systems to control emissions of metal HAP and particulate matter (PM) from cupolas currently controlled using venturi scrubbers. The typical cost to remove and replace existing venturi scrubbers and install new modular pulse-jet baghouse systems is estimated in excess of $2 million per applicable plant.

The U.S. foundry industry has had its share of troubles recently. Dealing with iron and steel scrap raw material shortage problems, and foreign competition, companies like Citation Corporation (Birmingham, Alabama) and INTERMET Corporation (NYSE:INMTQ ) have filed for bankruptcy protection. The impacts of the MACT will vary from company to company. Some companies will postpone capital improvements, and funnel money to MACT compliance issues. Grede Foundries Incorporated (Milwaukee, Wisconsin), which operates nine foundries in the U.S., will proceed with a systematic approach to MACT compliance beginning with its Greenwood iron foundry. In 2005, Grede will spend significant capital to implement MACT at the foundry, for its cupola and molding areas, including upgrading the foundry's dust collection system.

Other foundry companies, such as ThyssenKrupp Waupaca (Waupaca, Wisconsin), who have modernized their iron foundry facilities, within the last ten years, find that their existing systems are in compliance, and will have little or no equipment upgrades to perform. Instead they will focus on MACT training issues, monitoring, broken bag detection technology implementation, and plan finalization issues.

Industrialinfo.com estimates that there are 379 iron and steel foundries in the U.S. that will be required to comply with NESPAPs MACT standards. The majority of these plants, about 44%, are located in the Great Lakes Region.

Click on the image at right to view a regional breakdown of these iron and steel foundries.

HAP emissions at iron and steel foundries are predominantly heavy metals; lead, manganese, cadmium, chromium, and nickel. The final rule covers emissions from metal melting furnaces, scrap preheaters, pouring areas, pouring stations, automated conveyor, and pallet cooling lines that use a sand mold system, automated shakeout lines that use a sand mold system, and mold and core making lines. Overall, the EPA expects the final rule to reduce HAP emissions by more than 820 tpy. The NESHAP will also reduce PM and VOC emissions by about 2,550 tpy.

The total annualized cost of the final rule is estimated at $21 million, including costs for control equipment, compliance tests monitoring, record keeping, and reporting. This cost also includes the annualized cost of capital and the annual operating and maintenance costs for supplies, control equipment, monitoring devices, and record keeping media.

For plant contacts, addresses, and phone numbers of the 379 iron and steel foundries mentioned in this article, contact Industrialinfo.com's Member Center at 1-800-762-3361.

Industrialinfo.com is the leading provider of global industrial market research. We specialize in helping companies develop information solutions to maximize their sales and marketing efforts.