NSSMC Oita Works’ Fire Accident in its Plate Mill and Action Plan

Jan. 13, 2017

Nippon Steel & Sumitomo Metal Corporation


NSSMC Oita Works’ Fire Accident in its Plate Mill and Action Plan

On January 5, 2017, the plate mill on the premises of the Oita Works of Nippon Steel & Sumitomo Metal Corporation (NSSMC) caught fire. We sincerely regret the great trouble, anxiety, and inconvenience caused to the people of the local community, our business partners, and those concerned by this accident.

1.Status of the damage we have identified so far
Since the fire was extinguished on January 6, we have so far found out that a large portion of the facilities (electrical and instrumentation facilities to control the rolling line of the plate mill) in the electrical room of the plate mill was damaged.
 
2.Team for countermeasures
Emergency Control Headquarters, headed by the President, was established to decide on and implement company-wide efforts to promptly deal with the accident.

3.Cause of the accident
With the relevant authorities, we are investigating the cause.

4.Measures to prevent occurrence of a similar accident
We are conducting an urgent check of the similar facilities across the company. Once the cause of the accident is determined, we will take necessary measures to prevent occurrence of a similar accident.
 
5.Outlook of current measures
 1) Estimated resumption of operation of the plate mill
      
We stopped operation of all the production lines (rolling line and finishing lines) of the plate mill right after the fire occurred but resumed operation of the finishing lines, which were not affected by the fire, on January 8.
Concerning the rolling line, we are studying the damage in detail, purchasing equipment and materials, and considering options that could expedite the reconstruction work, with a view to a swift resumption of operation. However, currently, it is likely to take about eight months for resuming operation (September 2017).  We will continue our efforts to further shorten the period of suspending the operation.
  
 2) Supply of steel plate products
 Concerning supply of steel plate products to our customers, NSSMC’s steelworks at Kashima, Kimitsu, and Nagoya are increasing its production so as to make up for part of the lost capacity. Cooperation by other domestic steelmakers has already been requested.
While we are making utmost efforts in respect of supply of steel plate products, we will continue to consult with our customers on how to specifically deal with the problem at hand.

We will examine the impact on earnings, with due consideration to progress of the reconstruction work and other factors. We will continue to devote every effort to determine the cause of the fire, take necessary measures to prevent similar accidents in the future, and continue supply of products to our customers during the reconstruction period.


For inquiries, please contact:
Public Relations Center, General Administration Division:
  TEL: +81-3-6867-2135, 2146, 3419
Personnel & General Administration Department, General Administration Division, Oita Works:
  TEL: +81-97-553-2013



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