Friday, July 10, 2009
ISLAMABAD: China Metallurgical Group Corporation (MCC) has shown interest in investing $2.2 billion for the expansion and revamping of Pakistan Steel Mills (PSM).
A twelve member delegation of MCC headed by Huan, met here on Thursday with the Federal Minister for Industries and Production Mian Manzoor Ahmad Wattoo, and discussed various proposals in detail.
According to MCC, they will set up a new plant within 2 years as the first phase of the expansion project. The construction of the new plant will cost around $1.2 billion and upon completion, it will be capable of producing 2 million tons of steel per annum.
In the second phase the MCC will revamp and modernise the existing PSM plant. The second phase according to MCC will take another 2 years to complete and would cost around $1 billion.
They said that the revamping will raise PSMs production capacity to 3 million tons per year, which today stands at 1.1 million tons per year.
The minister took keen interest in MCCs proposals and appreciated Huan and her team for taking interest in the PSM project. He assured Huan that he and his team would deeply study their proposals and would take a final decision on the project very soon.
The MCC which already conducted a technical investigation of the PSM in 1992 and produced a 500 page report on the expansion of PSM in 2005 is Chinas leading multidisciplinary multinational company.
The MCC is known for its experience in scientific research, industrial engineering practice and international trading capabilities.
According to the MCC website, the group is a major driving force behind the growth of Chinas steel industry, and a reputable contractor of a number of key projects both at home and abroad.
