Aceros Arequipa, one of Peru’s largest steelmakers, plans to start up its Pisco EAF mill by mid-2020, the company said. The new plant will reportedly have a 1.2 million mt/year capacity.
In November last year, Aceros Arequipa signed a $180 million loan with local Banco de Credito del Peru (BCP) to fund the new mill. The $180 million loan was divided into two leasing contracts, one for $101.7 million, to fund civil construction works, and another credit line of $78.2 million.
The $101.7 million facility has a 10-year tenure and an 84-month grace period. The $78.2 million loan has a 7-year tenure and a 36-month grace period. The two loan contracts were signed in both local currency (PEN) and US dollars (USD).
Aceros Arequipa said its Capex spending reached PEN 224 million ($67.6 million) in 2018.
USD = PEN 3.31 (February 12)