Caterpillar meets power needs at Mexico's largest steelmaking company


Caterpillar, Inc. announced a project enabling Altos Hornos de Mexico to better control operating costs by producing 160 MW of power from four separate natural-gas power plants in Monclova, Coahuila.

Caterpillar, Inc. today announces a project enabling Altos Hornos de Mexico (AHMSA), the largest steelmaking company in Mexico, to better control operating costs by producing 160 MW of power from four separate natural gas power plants in Monclova, Coahuila.

AHMSA produces 3.5 million metric tons of liquid steel annually, consuming more than 400 MW of power between its two steel mills. To offset costs and enhance operational excellence, Caterpillar Energy Solutions is collaborating with local Caterpillar dealer, MADISA, to deliver 40 Cat® CG260-16 natural gas generator sets.

“We face many challenges in the steelmaking industry, and one of the greatest is energy consumption and its cost,” said Emigdio Valades, power plant area superintendent with AHMSA. “With the power derived from these Cat units, we are producing energy that is 55 percent cheaper than the power supplied by the Federal Commission.”

MADISA supplied the transformers, control system, air compressors, fans and cabling for the operation. In addition, MADISA provided plant commissioning and ongoing maintenance to ensure operational success.

“We want to be close to our customers to understand their needs and offer them integrated solutions,” says Edson Hernandez, energy business manager for MADISA. “We look for a better solution in accordance with our clients’ needs, and complement that with product support as part of a long-term commitment.”

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