Pakistan-based steelmaker Agha Steel Industries Limited has announced that that it has inked a deal with iron ore miners in Khyber Pakhtunkhwa to secure feedstock for its blast furnace. The company also plans to export iron ore from these mines.
According to its statement, Agha Steel has acquired a 50 cubic meter blast furnace in addition to its existing electric arc furnace. Having a production capacity of 50,000 per year, the new blast furnace is expected to be commissioned within the next 18 months. The company chose to acquire a blast furnace in order to reduce its dependence on import raw materials and switch to local sources since most of Pakistan’s scrap needs are met with imports.
Producing steel bar, wire rod and billet, Agha Steel has a melting capacity of 450,000 mt per year and a rolling capacity of 250,000 mt per year.
