The paper describes modelling and simulation of electric arc furnace (EAF) melting shop. This is a batch process and can be classified as a hybrid system in which discrete events such as material transportation operations and sequencing of the power supply to the furnace are combined with the continuous time melting of steel. The continuous part of the system is described by a nonlinear dynamic model. The discrete event part of the system is described by decision rules. The object oriented approach to the task of building the simulation model is outlined, and the specific requirements for the EAF melt shop problem are determined. Examples of using the simulation for solving problems in managing the furnace melt shop are presented.