Astra Resources looks to unlock potential of innovative T-Steel product

Diversified mining company Astra Resources PLC (Code: 9AR), which is the UK parent company of Astra Mining, has provided an update for investors of the history of the production and commercial use of its innovative T-Steel product.


T- Steel, an innovative product

T- Steel is a revolutionary technology that enables existing steel factories to produce steel with improved physical characteristics such as higher tensile strength, better machine ability and higher fatigue limits at a lower cost.

Astra chief executive officer Dr Jaydeep Biswas says the development of T-Steel dates back to the late 1970’s where the applications were entrusted to a number of senior metallurgists and engineers in the then DAM Steel Works in Hungary.

“During initial development, which was carried out on a ‘no cost spared’ basis, the general directive was that the quality of the steel had to be equal to or better than what was manufactured in the United States and Germany.

“Astra, through its subsidiary Astra Steelworks, owns the Intellectual Property pertaining to this technology and a number of the experts involved in the original research and development.”

Astra managing director Silvana De Cianni says that the various applications of the range of steels span a gamut of industries where improved mechanical properties, such as hardness and longer life cycle, are constantly strived for.

“The industrial applications include, but are not limited to, the production of modern train running gear, steam turbine components, shipbuilding, the automobile industry and high demand engine components.

“The mechanical properties of these steels are cumulatively enhanced by implementing the T-Steel technology, which involves exactly defined parameters, ancillary operations and alloying processes which are used during the manufacturing process.”

The required processes were achieved after lengthy development, testing and trials during the manufacturing operations, which occurred over a thirty year period.

De Cianni added, “High demand and high stress industries, where resistance against fatigue and dynamic demand are essential, are areas where T-Steel will have immediate effect.

“One of the many advantages to implementing this technology is that existing factories can produce the higher quality T-Steels without having to spend excessive amounts of money upgrading their equipment.

“A particular type of steel can also be improved to such an extent that it can easily move up into the next special category without a huge increase in the manufacturing cost and thus be sold into a premium market with a premium price tag.”

Astra recently increased its shareholding in the technology to 45% ownership of the T-Steel Intellectual Property.

The valuation model estimates that the project of global commercialisation of T-Steel technology has an NPV of €4.47 billion, assuming that the risk level of the project is in line with the industry average.

Astra Resources global portfolio includes gold and copper interests in Southeast Asia, coal mines in Africa, iron ore in India, and the production of the high-strength T-Steel technology in Hungary.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/20416/astra-resources-looks-to-unlock-potential-of-innovative-t-steel-product-20416.html