Astra Mining, an Australian diversified mining company, has received an independent expert opinion from Hungary’s University of Miskolc confirming the potential of its revolutionary new steel manufacturing process.
North Headline, SA, June 17, 2011 - The end product, T-Steel, is significantly stronger than regular steel and provides vast production, operational and environmental benefits.
T-Steel was used commercially to strengthen steel for non-civilian use. Astra has taken the opportunity with the devolution of the Eastern bloc countries to acquire the technology and roll it out globally.
Astra Mining CEO, Dr. Jaydeep Biswas, says the independent verification of the steel’s unique properties comes from one of the University of Miskolc’s leading metallurgical engineers, Professor Emeritus Dr. Farkas Otto.
"This expert opinion on a study into the preparation of the production of T-Steel confirms it has better qualities compared to traditional steels," Dr. Biswas says.
"It also confirms the CO2 emission in its manufacture can be up to two times less than with traditional steel making technologies, reducing a manufacturing plants carbon footprint which is highly beneficial to the environment.
"Astra has a substantial 30 percent ownership of T-Steel’s IP and has full operational and management control of its business, so we are very excited to receive this independent verification."
T-Steel is a direct, high category replacement for the currently produced equivalent steel types and has immediate benefits in high use countries such as China and India. It can also play a large role in countries trying to reduce C02 emissions such as Australia.
The basic product, which includes the use of unique alloy based formulas invented over a 30 year period in Hungary, is based on a process which can modify the metallurgical properties of steel at a molecular level.
"T-Steel can be produced by existing steel mills with little or no retrofitting needed, however this can only be done if the mills have access to the T-Steel technology and the correct steel plant operation conditions," Dr. Biswas says.
"This makes T-Steel nearly impossible to replicate, as attempts to meet all necessary conditions would cost many hundreds of millions, something that would not be cost effective for individual steel manufacturing companies.
"Astra is in negotiations for a long term co-operation agreement with one the world’s largest steel traders for the DAM Steel Works in Hungary which will produce 500,000 tonnes per annum of T-Steel annually.
"The acquisition of DAM Steel plant is not a pre-requisite for rollout for the T-Seel technology, it is one part of a comprehensive business plan, however the relationship would position Astra ideally to capitalise on its strategic growth plan and market T-Steel products worldwide."
The viability of the T-Steel technology has been verified by extensive independent reporting and the technology is commercially viable due to its strong record of commercial applications, including areas in construction, automotive and machinery.
Companies that have already utilised T-Steel technology in the past include those in vehicle manufacturing and industrial applications.
"A Top 4 accounting firm completed the financial model for the valuation of T-Steel, which is based on a single manufacturing mill producing 500,000 tonnes of steel per annum and a separate business unit distributing the alloy-based formula globally," Dr. Biswas says.
"It is estimated that the project of global commercialisation of T-Steel technology has a NPV over A$6.12 billion, assuming the level of risk is in line with industry average.
"Based on the 30 percent IP ownership, Astra’s share is extremely valuable to our company."
Astra Mining’s global portfolio includes gold and tin interests in south east Asia and southern India, coal mines in Australia, iron ore in India, and the production of a new high-strength steel technology.
Astra has also confirmed its plans to list on the Frankfurt Stock Exchange before the end of August.
For more information visit www.astramining.com or email investor-relations@wedgewoodcommunications.com
Contact:
Caitlin Petrou
Astra Mining
46 Tynte Street
North Headline, SA 5006
+61 (0) 402 823 343
