The single biggest steel billet-making facility in the country is expected to start its operations in Northern Mindanao, specifically in Iligan City as TKC Steel expects to finish the construction of its P450-million plant by July 2010.
This facility will increase the TKC’s production capacity of steel billets — which are used to make other steel products like nails and wires — by making the production process cheaper and more efficient, and reducing the company’s dependence on limited supplies of scrap metal as raw material.
“TKC is currently in the completion phase of the construction of its blast furnace and ore beneficiating plant. The facility is projected to move into commissioning phase in the third quarter of this year,” the company said in a statement.
“At full operation, the facility is rated to produce up to 400,000 metric tons per year of liquid iron, which will be used as raw material feed for the production of steel billets,” it added.
Once completed, the plant will cover close to half of the country’s steel billet production, estimated to reach close to a million metric tons a year by 2011.
Despite the Philippine’s increased production, the company said the country would still have to import about half a million metric tons of steel billet to meet the domestic demand of 1.5 million tons every year.
TKC said its new facility would help revitalize the country’s mining industry. According to the Mines and Geosciences Bureau, the Philippines is estimated to have about 493 billion metric tons of iron ore reserves.
TKC claims to have about five million metric tons of raw iron ore reserved for the company from local mining firms. This is enough to meet TKC’s needs for the next five years.
The Cagayan-Iligan Industrial Corridor is alive again….!!!!
with article by Paolo Montecillo of Philippine Daily Inquirer