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Metal Fabrication and Bitcoin Mining

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With growing awareness of climate risk and ESG, demand for energy-efficient and eco-friendly solutions is ever-growing in today’s industrial landscape. Metal fabrication shops, a critical part of the manufacturing sector, are no exception with sustainability in steel manufacturing being a case in point. demand for energy-efficient and eco-friendly solutions is ever-growing in today’s industrial landscape. Metal fabrication shops, a critical part of the manufacturing sector, are no exception. As these shops strive to increase profits and reduce waste, an innovative solution has emerged: harnessing the excess heat generated by Bitcoin miners to supplement the energy needs of metal fabrication shops. So, without further ado, let us take a closer look at how metal fabricators can benefit from collaborating with Bitcoin mining operations.

The Bitcoin Connection

Bitcoin mining is a process that demands immense computational power and energy consumption. There have been initiatives earlier to leverage its capabilities for cryptocurrency mining – such as ExxonMobil using natural gas to mine Bitcoin. Miners use specialized hardware to solve complex algorithms, which in turn, validates transactions and secures the decentralized digital currency network. This process generates significant amounts of heat as a byproduct, which is typically released into the environment or managed through energy-intensive cooling systems. The innovative idea of repurposing this excess heat, which would otherwise go to waste, offers an opportunity for metal fabrication shops to capitalize on a sustainable, low-cost energy source.

Benefits for Metal Fabricators

  • Reduced Energy Costs – Using the heat generated by Bitcoin miners can lead to reduced energy costs for processes such as heat induction bending services. By integrating this heat into their processes, these shops can decrease their reliance on traditional energy sources, such as natural gas or electricity, which can result in substantial cost savings.
  • Increased Energy Efficiency – Reusing waste heat from Bitcoin mining operations increases energy efficiency in metal fabrication shops. This not only helps the shops save money, but also aligns with the global push for more sustainable practices and reducing the carbon footprint of industrial operations such as pipe spool fabrication.
  • Competitive Advantage – Embracing this innovative approach can provide metal fabrication shops with a competitive edge. As businesses and customers become more environmentally conscious, eco-friendly practices are increasingly valued. Metal fabrication shops that use waste heat from Bitcoin miners can differentiate themselves from competitors and appeal to a broader client base.
  • Enhanced Collaboration Opportunities – By partnering with Bitcoin mining operations, metal fabrication shops can foster collaborative relationships, leading to potential business opportunities and shared resources. This collaboration can also drive further innovation and improvements in both industries.

Challenges and Solutions

While the concept of connecting metal fabrication shops with Bitcoin miners is promising, it is not without its challenges. The key obstacle lies in the logistics of connecting metal fabrication shops with Bitcoin miners and ensuring that the heat transfer process is efficient and reliable. However, the emergence of heat exchange technology, such as heat exchangers and heat recovery systems, can facilitate efficient heat transfer and this has made it easier to overcome these challenges. Additionally, metal fabrication shops need to assess the feasibility of integrating heat recovery systems into their existing operations. This may require some initial investment, but the long-term benefits in terms of energy savings and increased profitability make it a worthwhile consideration.

Final Thoughts

As industries continue to evolve and seek out eco-friendly solutions, metal fabrication shops have a unique opportunity to harness the excess heat generated by Bitcoin miners. This innovative approach can lead to reduced energy costs, increased energy efficiency, and a competitive advantage for metal fabrication businesses. By embracing the potential of waste heat recovery and collaborating with Bitcoin mining operations, metal fabrication shops can contribute to a greener, more sustainable industrial landscape while boosting their own profitability.

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Electromechanical Cylinders – Trendsetter in Factory Automation

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Factory automation is an ongoing process and, in this regard, electromechanical cylinders (EMCs) are one of the hidden gems. They can perform multiple functions, such as positioning, swiveling, lifting, pressing etc. EMCs convert motor torque directly into movement, they are particularly energy efficient and play an important role in climate protection. EMCs also offer great versatility and allow standardization, finely regulated processes, and resource-saving in factory operations. So, what are the applications of EMCs which make them proven standard components and indispensable for factory automation? This blog will deep dive into this interesting topic and will look to provide further insights.

 Increasing Standardization Potential

Sustainable manufacturing, stable processes, long service lives and great potential for standardization – these properties speak in favor of using electromechanical actuators as widely as possible. Thanks to ongoing development, applications now include pneumatic and fluid-driven solutions. If additional complex solutions are replaced, this reduces not only complexity but also overall costs. Compared to compressed air, electromechanical systems can be better controlled for accuracy. The target sectors are equally broad and include semiconductor production, fast-moving consumer goods (FMCG) and battery manufacturing.

Process Quality and Service Life

Quality control and management is essential to factory automation and one of the keys to the EMC’s efficiency lies hidden beneath its housing: the ball screw drive. In addition to the typical ball screw assembly for forces from 0.1 to about 30 kN, planetary screw drives are also used for heavy-duty applications. The ball circulation screw for pressure vessels is the driving force for EMCs as it allows not only high load capacities but also particularly long lubrication intervals. The latest product generation achieves up to 200 million revolutions with the basic factory lubrication and this creates optimum conditions for minimizing operating costs and damage to the environment.

Next Level Engineering and Automation

There are multiple cylinder configurations, but new digital engineering tools now allow even inexperienced users to plan, detail and optimize their machine and system parts. This accelerates user speed and flexibility in the face of increasing time and cost pressures. With a level of user-friendliness previously offered only by modern B2C (business to consumer) portals, these tools provide a glimpse into the future of online sales of complex industrial goods. The easy-to-use online tool shows the entire process on a single HTML page, including selection, ordering, and design and functionality characteristics. This enables engineering work to take minutes instead of hours.

Electromechanical cylinders that are configured with a motor can automatically parameterize themselves, like in the case of heat induction bending services. The necessary data for the drive controller is stored in the motor data memory at the factory and is loaded immediately after connection. There are Industry 4.0 processes, such as highly integrated and flexible subsystems for pressing and joining tasks, like the Smart Function Kit for Pressing. Quality monitoring and exchanging data for documenting processes can also be set up easily.

Conclusion

Due to their simple design, electromechanical cylinders have a lot to offer in factory automation. New digital engineering tools and convenient selectors along with ongoing improvements to the service life reduce overall costs, while intelligent subsystems pave the way to an automated Factory of the Future. EMC solutions with a high level of flexibility and integration allow for more efficiency during implementation and, when it comes to selecting a provider, it is worth reviewing the entire portfolio. Thus, it can be deduced that manufacturers that offer a broad, freely configurable range from a single source have an advantage in terms of future requirements such as climate protection, the shortage of skilled workers and flexible manufacturing.

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Old Tyres and Boots Used in Next-Gen Australian Steel Manufacturing

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Old tyres, conveyor belts and rubber safety boots have been used in a novel steel manufacturing process commercialized by Australian steel manufacturer Molycop, which will be offered for export to global EAF operators. The process is the result of a collaborative project between Molycop, the UNSW SMaRT Centre, footwear manufacturer Crawford Boots and the Advanced Manufacturing Growth Centre (AMGC). It involves maximizing the recovery and use of waste rubber as a substitute for imported carbonaceous material (‘coke’) used in Molycop’s Electric Arc Furnace (EAF) in Newcastle. Australia’s waste tyre export ban, which began in December 2021, has been a catalyst for companies to find innovative new processing capabilities (such as water tanks) to reduce the huge tyre landfill problem. The development of this new technology reduces the company’s reliance on imported carbonaceous materials from China by up to 20 per cent. It also removes up to 90,000 tyres from landfill and reduces the steel maker’s electricity consumption and scope one carbon emissions.

Molycop, alongside its steel fabrication partners, has developed a means to maximize the use of rubber crumb (polymer) as a source of carbon and hydrogen needed in the steel-making process. Molycop produces over 240,000 tons of steel each year for train wheels, billet steel, steel bar and grinding media. Sustainability is core to the company’s strategy and integrated into how Molycop does business, said the company’s President of Sustainability, Ian Tooze. Displacing fossil carbon materials is also a key objective in Molycop’s decarbonization pathway. “We are investing in innovative solutions that improve the ways we reduce the consumption of virgin raw materials, recover valuable materials from waste streams, minimize waste and reduce our carbon footprint while we perform quality management. “What we have developed is yielding results and delivering outcomes for Molycop, our customers and communities in which we operate.” The AMGC said the innovation will help Australia’s steel manufacturing sector to be more competitive, through lowered production and import costs, and be more sustainable through decreased emissions and energy consumption.

AMGC’s Managing Director, Dr Jens Goennemann said commercializing great manufacturing ideas is where Australia’s future prosperity lies. “Australia has an opportunity to transform from being a lucky country to a smart one through the commercialization of great ideas that have local and global relevance. While the US has floated new steel tariffs based on carbon emissions, Molycop, UNSW and Crawford Boots together have manufactured a product that will reduce emissions and address waste in steel making, while generating more jobs and revenues for the nation – what more could you ask for?” Director of the UNSW Sustainable Materials Research and Technology (SMaRT) Centre, Professor Veena Sahajwalla said it is crucial for manufacturers and researchers to work to tackle environmental issues, while delivering commercial outcomes. “By working collaboratively with Molycop we have been able to prove that polymer injection works and is commercially viable. It is only through partnerships like this that we can truly achieve positive environmental outcomes at scale. I encourage all manufacturers to engage with your local research institution and challenge them with a business issue that needs solving.”

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Australia PM does the honors at DECO

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DECO’s new Testing Laboratory and the DECO Innovation Centre were officially opened today by the Prime Minister of Australia, the Hon Anthony Albanese MP. The new facilities showcase the investment made by this Australian, family-owned manufacturer in innovative, premium aluminium building system products and metal finishes. The newly NATA-accredited laboratory and award-winning display Centre showcases the exceptional investment the family-owned Australian manufacturer of premium aluminium building products and metal finishing and coatings has made to enhance their commitment to quality and innovation.

Founder and director of DECO Australia Ross Doonan was honored to have the Prime Minister officially open the facilities. “It is an honor to have the Hon. Anthony Albanese MP here today to officially open the DECO Innovation Centre and our new NATA Accredited Testing Laboratory. These facilities are both extremely important investments for our business and ensures we can meet requirements from both our customers and accreditation authorities.” At the opening, Deco announced a new agreement to supply lower-carbon aluminium through Capral’s LocAl® Green aluminium initiative. “Alongside quality and innovation, sustainability in steel manufacturing is at the forefront of our business. Thanks to our new agreement with Capral, we are excited to be able to reduce our and our customers’ environmental impacts.” said Doonan.

DECO’s new Testing Laboratory received accreditation from the National Association of Testing Authorities last year. The laboratory plays a critical role in DECO’s quality control, which involves a range of essential tests and control processes. These internal functions ensure compliance with accreditations such as ISO 9001, ISO 17025 and Qualicoat, as well as customer-specific process control plans, operational and inspection requirements. “DECO prides itself on providing the highest possible quality products and metal finishes in the market. The new testing laboratory is not only essential for meeting accreditation criteria, it also supports our ongoing innovation, research, and development as well as our day-to-day quality controls for our customers across the structural metal product manufacturing industry in Australia.” said Doonan.

Completed in 2020 during the pandemic, the DECO Innovation Centre was designed by Deco and architectural firm Clarke-Hopkins-Clarke and has become a must-visit destination for people looking for building inspiration in real-life applications, to explore DECO’s product range up-close and to select their perfect finishes and colors. “The DECO Innovation Centre has been well received by our steel fabrication partners and customers; it has been fantastic to see how it inspires people to bring their own design visions to life. We have had people travel interstate just to visit the Centre. Our investment int this facility has been completely worthwhile,” said Doonan. DECO’s extensive range of aluminium timber-look building products are tested to Australian Standards for non-combustibility and fire safety. DECO also supplies industrial surface finishing solutions to the engineering, commercial food, and defense industries.

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Reducing Steel Scrap in Manufacturing

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During the manufacturing process, the cost of raw materials is usually the most expensive for any industry. Hence, when a high volume of raw material is rejected, it can adversely impact a company’s profit margins. Review of the rejected material (called scrap) is critical and programs to reduce scrap are almost always part of manufacturers’ continuous improvement initiatives. But what is scrap and how can scrap be reduced in the context of metal fabrication and manufacturing industries? This will be covered further in this blog.

What is Scrap?

Manufacturing scrap is the unusable material from a manufacturing operation that will be discarded. Scrap can be subdivided into several categories while used as a general definition for all rejected material. First, there’s scrap that is rejected in raw material form. It may be due to spoilage, or it may be due to off-specification performance characteristics such as tensile strength or shatter point. This material has no additional processing or partial processing added to it. Second, there’s scrap that has been partially processed. Many manufactured goods are produced in stages of a production process, and the failure at any one step can mean that the part must be rejected as part of quality management of metal fabrication. This is more expensive than scrapping raw material as the partially finished part has had some value-added labor. Third, finished goods must be scrapped due to failure to meet specifications. Some can be reworked by adding labor to adjust the part or turn it into something else. Others may require complete scrapping if no rework can be performed.

Ways to Reduce Scrap and Rework

  • Conduct Process Audits: Conducting process audits is the first step in any scrap reduction process. Without understanding the current process as it occurs, identifying scrap points would prove impossible in structural steel fabrication.
  • Improve Communication and Change Management: Manufacturing is a fast-paced, noisy, and extended process. Communication is sometimes non-existent between upstream and downstream processes, and errors can be compounded as a result. The same is true for hand-written notes and tags, where handwriting quality, lack of clarity, and other shortcomings can impact the next production stage.
  • Review Material Sourcing: The quality of a manufacturer depends not only on the quality of material and components used to make goods but also on the quality of material used in industrial processes, such as heat induction bending services. In the case of the former, a rigorous selection of materials such as tensile strength, alloy consistency, and vendor’s production methods can make or break a company’s quality when those materials are in production. In the latter case, cutting dies, routing heads, and other hardened tool types must be guaranteed to cut the material they claim to cut. If the performance characteristics of the tool are inferior, scrap can result.
  • Document the Right Things: Many manufacturers are drowning in written documents from manual procedures. But when it comes to the most critical aspects of documentation, they are lacking. Design iterations for active products should always have defined and traceable access. This includes CAD and CAM drawings and any other engineering specifications.
  • Evaluate Maintenance Strategies: Scrap occurs at a higher than desirable rate while using preventive methods, and most manufacturers have yet to move beyond them. This is because manual condition monitoring requires a lot of labor, manual checking, and measurement of temperature, wear, abrasion, and more. Tool-wear and failure may not be detected with a manual preventive maintenance strategy, and data may be omitted through error, bias, or training issues.

Curtain Call

Scrap is a necessary evil, however there are many means to reduce scrap in fabrication and manufacturing processes. It also requires a change of mindset to move towards sustainability in the steel manufacturing industry and management involvement may be required. So, the goal of companies should not be to make the “scrapyard” empty – but to ensure that lesser scrap is sent to the “scrapyard”!

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Sustainability in Steel Manufacturing Industry

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There is currently a trend towards doing business in a sustainable manner. Regulatory bodies have started implementing reporting and disclosure requirements, an example is the Securities and Exchange Board of India (SEBI) implementing Business Responsibility and Sustainability Reporting (BRSR) requirements across Indian firms. Manufacturing is no exception, and sustainable manufacturing looks to be economical decreases negative environmental impacts while conserving energy and natural resources. However, is this really practical in the real world when we normally associate manufacturing with different types of pollution like air, water etc.? Let’s find out more in this blog which looks to analyze this subject in greater detail.

Risks of Unsustainable Manufacturing

Manufacturing and metal and pipe fabrication companies should utilize sustainable practices which are safe, eco-friendly and economically good for a business. Unsustainable manufacturing can lead to risks for future generations. Evidence has shown that people living near unsustainable manufacturing companies are at higher risk of negative health impacts. Studies have confirmed that proximity to polluting areas, like factories have led to pregnancy issues like central nervous system defects, oral clefts, chromosome anomalies, perinatal mortality, and low birth weight. Manufacturing facilities have also led to an increase in child cancer rates. Families living near manufacturing facilities and employees are also becoming less tolerant of pollution and elevated health risks with nearby residents raising concerns about effluents and toxic waste.

How to do Metal Fabrication Sustainably

Sustainability is about making choices that encourage the use of cleaner technologies where appropriate, and decreasing wastefulness. While there are differences between fabrication and manufacturing, some best practices can be followed for both with regard to sustainability as detailed below: –

  • Selection of right lubricants for the concerned application, with an eye toward healthier chemicals.
  • Understand the technologies and materials used, to reduce failures and scrap.
  • Pay consideration to coil mill certifications to make sure the material purchased is produced in a mill where sustainability is on their agenda.
  • Use virtual simulation beneficially to minimize the cost and waste of excessive tryouts and to understand the dynamics of operations and materials at brake press folding.
  • Maintain oversight on precision manufacturing processes and technologies to avoid costly equipment and personnel inefficiencies and failures.
  • Keep a strong focus on safety and reduce lost hours.
  • Use proper filtration and extractors for the steel laser cutting machine.
  • Keep materials clean and well maintained and welding areas and other workspaces should be hygienic and organized.
  • Evolve and practice emergency protocols for dangerous equipment conditions, spills, and leaks.
  • Understand FMEAs and the criticality of each failure mode.
  • Continuous learning and understanding of operations, and providing guidance to new professionals.

Final Remarks

Today industry, technology and public attitude towards sustainable manufacturing is changing. Manufacturers and heavy steel fabrication companies have little to no excuse to avoid using eco-friendly methods in their operations. Impact to the bottom line and potential deterioration in the quality of work were some of the considerations manufacturing companies had when asked to implement a sustainable way of working. Those fears have proved unfounded and there is a growing realization that the solution to offering a safe work and neighborhood environment is the same as directing a manufacturing business sustainably. Awareness of the ecosystem and the impact as a result of operations are topics which have gained importance in recent years and, judging by the growing acceptance and awareness from stakeholders, these will continue to be highlighted going forward!

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U.S. Floats New Steel, Aluminum Tariffs Based On Carbon Emissions

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In addition to looking to decarbonize the oil and gas industry, U.S. officials are proposing to levy tariffs on steel and aluminum based on how much carbon the producing country’s industries emit. This is part of a bid to fight climate change and “dirty” metals made in China and elsewhere, two people familiar with the plan said on Wednesday.

U.S. steelmakers claim to have the world’s lowest carbon emissions levels, in part because 70% of American steel is made from scrap iron in electric-arc furnaces rather than smelting iron ore in coal-fired blast furnaces. Steelmakers elsewhere, including in Europe, rely more heavily on coal, and the plan as proposed would be advantageous to U.S. producers to leverage sustainable manufacturing, such as battery electric vehicles. The U.S.-EU talks on low-carbon steel have been aimed in large part at China, which relies on coal for most of its steel output as well as low-grade iron ore that contributes to high carbon emissions.

If implemented, the plan would provide new grounds for excluding Chinese steel from Western markets. Most U.S. tariffs are currently based on anti-dumping laws to combat pricing below production costs, laws aimed at combating unfair government subsidies or laws aimed at safeguarding strategic industries. The proposal from the U.S. Trade Representative’s office to be negotiated with the European Union would create a global “club” of market-oriented countries seeking to reduce carbon emissions. The plan would set “emissions intensity” standards for the production of specific steel and aluminum and products, according to a document describing the plan seen by Reuters.

Countries that are members of the “global arrangement” with emissions exceeding these standards would pay higher tariffs when exporting metals to countries with lower emissions, according to the document. Countries with steel and aluminum fabrication plant emissions at or below those of the importing country would pay no carbon-based tariffs. “There would be an advantage of being in the club, as it would provide a lower level of carbon tariffs, while countries outside the club would pay higher tariffs,” one of the sources said, adding that the proposal aimed to incentivize investments to reduce emissions. “This is all very conceptual and there’s a lot of work ahead on this. The details are going to be very important.”

Countries outside the low-emissions club would be subject to a higher rate of tariffs when exporting steel and aluminum to member countries. The proposal, which is now being shared with industry and EU officials, has grown out of U.S.-EU discussions on “green” steel production over the past year after Washington halted tariffs on EU-produced steel and aluminum in exchange for a quota system. The two sides agreed to work to reduce carbon emissions in steel and aluminum production of heavy steel fabrication companies while tackling the longstanding problem of excess capacity in the industries, much of it centered in China. The proposed low-emissions metals club would exclude China and other “non-market” economies dominated by state-owned or state-directed enterprises, setting out criteria to prohibit member countries from contributing to the problem of unviable excess steel and aluminum capacity. A USTR spokesperson did not immediately respond to a request for comment on the plan.

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Energy Independence – A Good Deal?

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In a connected world, it is natural for lesser oil generating countries to depend on greater oil producing nations to meet their energy requirements – this is the basis of oil imports and exports. However, supply disruptions due to geopolitical events like the 1973 and 1979 energy crises have led to countries exploring means to reduce dependency on other nations for meeting their oil requirements. Since oil is an essential commodity, a prolonged disruption of oil exports is likely to lead to economic recession with greater global consequences. This has led countries like UK to explore options for greater energy independence. But is total energy independence a sensible goal or should there be some level of dependency involved? We will explore this question further in this blog.

USA Energy Independence

USA Energy Independence

Oil imports are most problematic in domestic politics and energy security when they come from countries that are openly hostile to US foreign policy and interests (Iran, Venezuela), are former or potential future rivals (Russia) or have questionable human rights practices (Saudi Arabia). In this regard, the United States has looked to tap known or potential domestic oil reserves using mining plant and equipment to increase production. Some of these sources are the Gulf of Mexico, the Arctic Refuge, continental shelf etc. Significant strides have been made as, in 2019, the United States became a net exporter of all oil products, including both refined petroleum products and crude oil. In 2021, the US was the world’s largest producer of crude oil, thus tightening its grip on the oil market. The US has also cut down on its crude oil imports with only 19% of its imported oil coming from the Middle East and the rest coming from Canada, Mexico and other Latin American countries. However, the US is yet to become a leader in producing green energy with Canada exporting $3 billion worth of electricity to the US recently.

Australia Energy Independence

Australia Energy Independence

Australia is a net energy exporter and energy in Australia was sourced largely from coal and natural gas; however, in recent times renewable energy sources have accounted for 28% of the total energy produced in the country. Oil production in Australia peaked in 2000; however net imports have gone up significantly due to decline of oil-producing basins and increase in oil consumption by a growing population. Apart from oil, natural gas, coal and oil shale reserves are other major sources of energy production in the country. Since Australia has multiple major sources of energy, it can be considered majorly energy independent especially as it had made strides in clean energy production.

Energy Dependence – the Other Viewpoint

Energy Dependence – the Other Viewpoint

Some of the arguments stated in favour of energy dependence are listed as follows: –

  1. Energy independence will not decrease involvement in VUCA areas – Protection of worldwide energy security upon which the global economy is dependent, will remain a priority for the United States and other developed economies. Although vast oil supplies are located in unstable regions like Iraq, Nigeria etc. which are subject to difficult geopolitics, these geopolitics will continue to be fueled by other large consumers of oil, such as China, whether or not the Western world achieves energy independence.
  2. Renewable energy sources can be extremely inefficient – Alternate energy sources can be expensive, intermittent and can be a source of environmental pollution. Natural gas, nuclear power and biofuels are unreliable sources of energy and depleting the same sources of oil in the quest to achieve energy independence is likely to lead to faster depletion of natural resources. Hence this approach can be considered to be environmentally inefficient.
Concluding Remarks

The underlying reasons behind Western countries’ desire to achieve energy independence can be understood, especially in light of ongoing instability in the Middle East, Africa and Russia – all major oil generating regions. However, the sustainability and future of energy independence needs to be analyzed further as it can impact the environment and lead to further depletion of fuel sources – the result of focusing only on few sources to achieve energy independence. This is a path which needs to be tread carefully, where domestic interests are balanced against larger energy goals!

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