Iran’s Kavir Damghan Steel Company is planning to increase the steelmaking capacity in near future according to the announcement of strategic plans of the company. The company currently has 2 induction furnace with the capacity of 84,000 MT but it is planning to increase the capacity to 200,000 MT.
The company is also planning to install a 300,000 MT DRI modules by using coal, which is expected to complete in April 2018. Currently Damghan is the only company in Iran producing DRI by using coal instead of natural gas.
As per the strategic plan, in next phase the company is planning to develop a 500,000 MT billet and slab project and then 800,000 MT of strip mill to produce HRC of low thickness (1 to 2.5 mm), probably near Persian gulf in order to prevent water shortage and it is expected that this project might take atleast 2 years, as plans like this need a detailed technical and financial resources.
Iran is one of the largest exporter of billet. It is growing steelmaking capacities in the country, together with increasing export volume and weakening domestic demand. During first 9 months of current Persian year, the nation exported 4.61 MnT of semi-finished steel up by 80% Y-o-Y against 2.56 MnT exported in last Persian year, ISPA reported.
Inputs taken from Chilan Online and Steel Price
Iran’s Khouzestan Steel Company Concluded 30,000 MT Billet Export Tender
Iran’s Khouzestan Steel Company concluded billet export tender at around USD 510-515/MT FOB Iran. Destination for billet export tender is Gulf region. Export prices witnessed a downfall against previous tender. As reported by SteelMint last month, KSC sold 35,000 MT in the month of Dec’17 for Early Mar’18 delivery at around USD 515-520/MT.
Leave a Reply