South Korea-based steelmaker POSCO has announced that its net profit increased by 56 percent year on year to Won 1.11 trillion ($1.21 billion) in the second quarter of 2007 due to high steel prices, increased sales of value added steel products, and cost savings.
In addition, the company has stated in its release that its sales increased 25 percent during the period in question.
Commenting on the company's strong results, POSCO spokesperson Ko Min-jin stated, "Steep cost reduction and strong demand for high-end products such as auto steel plates and electrical steel gave a hefty boost to the second quarter result".
On its future plans, POSCO vice president Lee Dong-Hee said that the company expects to secure all the necessary land for its planned mill in the Indian state of Orissa by the end of the current year. The new plant, with a designed annual production capacity of 12 million mt, is to be completed by 2016. The investment in the new plant will total $12 billion.