Benjamin Yao to invest $1B in 3 new, mini steel mills in joint venture with Italian, Japanese firms
Steel Asia Manufacturing Corp.of bilyonaryo Benjamin Yao is set to invest some $1 billion for three new mini steel mills in the country, its Vice President Roberto Cola said Tuesday.
Cola told reporters that the new facilities would produce billets, bloom, beam blanks, slabs, rebars, wire rod, sections, and plates.
The three mini mills will have a total capacity of two million metric tons annually.
Cola said Steel Asia was taking in two investors – from Italy and Japan – for the plates and sections plants, while the facility producing rebars would be its solo venture.
He said Steel Asia was still finalizing the memoranda of agreement with the two partner investors.
The company is eyeing Batangas and Subic for the mini steel mills.
Steel Asia has abandoned its plan to acquire the National Steel Corp. (NSC) in Iligan City, as the company and the local government failed to reach an agreement.
Cola said that the company was asked to pay NSC’s liabilities on taxes and power, and the local government would also like to be a part owner of the facility.
According to Cola, Steel Asia’s offer was to lease the land, pay for the infrastructure, and shoulder “reasonable taxes”, but the company would no longer pay for the old mill since the company wanted to put up new facility. (PNA)