Brazilian integrated steelmaker Gerdau has reduced its investment target for 2019 from BRL 2.2 billion ($561.1 million) to BRL 1.8 billion ($459.1 million), the company said this week.
Despite the reduced investment forecast for 2019, Gerdau said plans to invest BRL 7.1 billion ($1.8 billion) by 2021 remain unchanged.
As for Gerdau’s BRL 1.8 billion investment target for the 2019, about BRL 764 million ($194.9 million) will fund general maintenance purposes.
Out of the total, the company’s Ouro Branco mill in the city of same name in the state of Minas Gerais is expected to get BRL 441 million ($112.5 million) for maintenance purposes.
Gerdau said it will also invest BRL 635 million ($162 million) in 2019 for expansion.
USD = BRL 3.95 (August 8)