Peruvian longs steelmaker Aceros Arequipa is still eyeing potential acquisitions, the company said in a document filing at the country’s securities stock exchange (SMV). The company’s comments follow an unsuccessful attempt to buy local distributor Tradi SA.
In a media report, Aceros Arequipa said it is “always looking” at potential acquisitions, however that doesn’t necessarily mean it will end up executing projects. The steelmaker’s general manager, Tulio Salgado, said the company aims to reinforce local steel distribution.
“We see opportunities in all possible businesses that may emerge, either domestically or overseas,” he told local newspaper Diario Gestion.
The company said it plans to invest $400 million in infrastructure in the next three or four years, and has advanced pre-engineering for a proposed expansion of its Pisco mill, as previously reported by SteelOrbis. The company is expected to decide whether it will execute the project by Q1 2018. If plans advance, expansion works could be completed by end-2019 or early 2020.
Capacity for the expanded Pisco mill could increase by 30 percent, Salgado said, but in a previous local news report, the company said capacity could increase as much as 40 percent in a proposed $120 million investment.
Currently, the Pisco mill has a 1.2 million mt/year capacity to produce finished steel, including rods, angles, square bars, helical bars, among other steel products.