Krakatau Steel’s new blast furnace to become operational in Q3 2022

Friday, 01 October 2021 16:34:09 (GMT+3)   |   Istanbul
       

Indonesia-based steelmaker PT Krakatau Steel has stated that it expects its new blast furnace to be operational in the third quarter of 2022.

The company stated that it initiated the blast furnace project in 2008 and entered the construction period in 2012. The current management has found a solution so that previously idle facilities or factories can become productive. “Currently, we have two potential strategic partners, and one candidate has even signed a memorandum of understanding with Krakatau Steel. One more partner has submitted a letter of interest to work together on the blast furnace,” Silmy Karim, director of the company, said.

The operation of the blast furnace will use technology that maximizes domestic raw materials, namely iron sand. The use of iron sand will save production costs and reduce imports of raw materials from abroad, namely iron ore.

The company has accumulated debts of IDR 31 trillion ($2.17 billion), including the $850 million cost of the blast furnace project, according to media reports.

Meanwhile, PT Krakatau Steel has launched a new hot strip mill to expand its domestic market share and reduce the country’s dependence on imports, as SteelOrbis previously reported.


Most Recent Related Articles

Taiwan’s scrap imports down 20.2 percent in January-September

Vietnam’s Hoa Phat’s steel sales up 43 percent in Jan-Sept

SEAISI: Steel demand in ASEAN countries forecast to rise, risks remain

Vietnam’s steel output, sales and exports rise in January-August

Krakatau Steel launches new hot strip mill to expand local market share