Peruvian steelmaker Aceros Arequipa announced it will spend $180 million to build a new electric arc furnace (EAF) at its Pisco mill, with a 1.2 million mt per year capacity.
SteelOrbis anticipated the move in May 2016, noting that the company would build the equipment in 2018.
Operations at the new EAF are expected to commence by 2020, according to the steelmaker, which expects to increase billet output while reducing imports of the product.
Aceros Arequipa said it will keep its existing 850,000 mt/year EAF at a “stand” mode until domestic demand or exports increase.