South Steel, a joint venture company between Iranian and Indian partners, has started production operations at its location in close proximity to the country's southern port of Bandar Abbas.
Iranian company Donyanoor holds 51 percent of shares in the joint venture, while the remaining shares belong to its Indian partners. The new mill will produce 300,000 mt of billets a year, using scrap as raw material.
South Steel has a two-strand billet concaster and is using induction technology for steel production instead of the EAF method which is conventional for Iran.
The mill was constructed at a total cost of Rials 340 billion ($36 million) and $27 million in investments.