Ovako is investing EUR 7.5M in Hofors to meet demand from the energy sector, particularly in wind power. The initiative is part of a previously announced investment programme aimed at developing Ovako in Hofors in advanced applications for clean steel.
Ovako’s ring mill in Hofors is a supplier of large steel rings for advanced applications. One important application is for large ball bearing races, used mainly for wind turbines. Following successful testing with a larger ingot size, Ovako has now decided to carry out investment to produce ingots up to 20t. The ingot size will initially be 8.4t, as a complement to the current size of 4.2t.
Photo courtesy of Ovako
The investment comprises a new casting area, improved ladle handling in the steel mill, increased heating capacity and materials handling equipment in the forge. The total investment is expected to amount to EUR 7.5M and is expected to be operational in the third quarter of 2016.
The investment is part of a long-term development plan for Hofors announced in autumn 2014. The investment will free up the forge from the normal production flow, which means significant productivity improvements at the Hofors rolling mill. Further steps to improve the efficiency of the rolling mill are planned for the coming years.
