Gwangyang Steelworks' Comprehensive Equipment Robustness Project Draws Attention

868 Billion Won Investment, Approximately 90,000 Jobs Created

Annual Energy Purchase Cost Reduced by 9.5 Billion Won

POSCO Gwangyang Steelworks (Director Lee Jin-su) announced on the 21st that it has successfully completed the equipment reinforcement work to enhance the performance by replacing the aging facilities of the 100MW-class 2nd thermal power plant (Units 3 and 4) with an investment of 86.8 billion KRW.

Gwangyang Steelworks produces 83% of its electricity independently through thermal power generation* using by-product gas generated during the steel production process as a heat source, by-product combined power generation, and LNG power generation using natural gas as raw material.

Gwangyang Steelworks has successfully completed the reinforcement construction of two thermal power generation units.
［Photo by Gwangyang Steelworks］

For thermal power generation Units 3 and 4, a total of 86.8 billion KRW was invested in this equipment reinforcement project, which has been underway since January this year. Components of boilers and generators that had reached their limit lifespan were replaced with new ones to improve stability, and old turbines were replaced with turbines applying the latest technology to restore the reduced power generation efficiency caused by aging.

Additionally, during the reinforcement construction period, Gwangyang Steelworks contributed to revitalizing the local economy in the Gwangyang area.

Approximately 90,000 workers were employed from pre-construction to completion, creating local employment effects.

In particular, this equipment reinforcement project is seen as part of Gwangyang Steelworks’ grand plan to lead the next 50 years.

Following the start of the water treatment equipment reinforcement project for by-product resource recovery in March this year, and with the nitrogen tank expansion and activated carbon regeneration furnace equipment improvement work nearing completion, Gwangyang Steelworks is accelerating efforts to secure equipment competitiveness.

With this equipment reinforcement, Gwangyang Steelworks expects to improve the thermal efficiency of thermal power generation Units 3 and 4 by about 2% or more, reducing annual energy purchase costs by 9.5 billion KRW.

Lee Jin-su, Director of Gwangyang Steelworks, said, “Improving production efficiency through equipment reinforcement will be a solid foundation for Gwangyang Steelworks to lead the next 50 years,” and added, “I hope everyone will actively practice continuous equipment monitoring and focus on securing competitiveness.”

Asia Economy Honam Reporting Headquarters, Reporter Heo Seon-sik hss79@asiae.co.kr

This content was produced with the assistance of AI translation services.