Leading Brazilian steelmaker Cia. Siderurgica Nacional (CSN) is planning to expand its steel output from 6 million metric tons (mt) to 9 million mt under a 5 billion dollar
iron ore and steel expansion plan.
CSN's board has already approved a 3 million mt
slab mill in Itigual City,
Brazil and will complete a study in December 2006 that might increase
production to 4.5 million mt with the possibility of a 25 percent stake by Shanghai-based
Baosteel.
Baosteel will make their possible joint venture decision after the completion of the December study.
CSN will also look into increasing
production from 3 million to 4.5 million mt per year at a second
slab mill in either Itigual or Minas Gerais. The plant site decision will be made in September after negotiations with the state governments of Rio de Janeiro and Minas Gerais.
In addition, CSN plans to build a 500,000 mt-per-year capacity long steel plant producing
rebar,
wire rod, and beam products at its Getulio Vargas mill in Volta Redonda City circa the Rio de Janeiro state.
Production is slated to start 20 months from now, after 18 months of
construction.
The expansion plan also includes the
construction of port facilities to handle up to 30 million mt of
iron ore at Itaguai, the
construction of 2
iron ore plants to produce 6 million mt of ore per year, and expansion of its Casa de Pedra mine from 21 million to 50 million mt per year.
CSN hopes to have the initial 8 million mt portion of the port expansion ready in December or January
iron ore export.