Contiarc furnace is fed continuously with material in a ring between the central shaft and the outer furnace vessel. The charged material is continuously preheated by the rising process gas in a counter-current flow. Simultaneously the material moves down constantly. Located below the central shaft is a “free-melting volume” in the form of a cavern. In Corniarc furnace reduces the amount of waste gas volumes considerably, thereby reducing hte energy use for flue gas cleaning.  The electrode consumption is also aroun 0.9 kg/t less than conventional AC furnaces.