Skip to main content

Gerdau plans steelmaking growth in Chile

Chille – The Chilean division of steelmaker Gerdau, known as Gerdau Aza, is considering a major expansion at its steelworks in Colina. Chile.

According to Hermann von Mühlenbrock, General Manager of Gerdau AZA, the company is studying an investment project valued at US$240 million, to increase the company’s steel output from 520 000 tonnes to 800 000 tonnes per annum.

It is expected to be carried out between 2012 and 2015, the project will involve replacement of the current 60 tonnes electric arc furnace (EAF) by a new 90 tonnes EAF. In addition a new rolling mill is planned with a production capacity of 400.000 tonnes per annum. This would supplement the existing unit at Colina, which has a capacity of 370,000 tonnes of sheet steel per year. Gerdau AZA operates another mill, located in the community of Renca which has a capacity to produce 100,000 tonnes of steel bars per year.

The plan is for Gerdau AZA to raise its consumption of scrap metal up to 900,000 tons by 2020. Brazil based Gerdau is the largest scrap consuming steelmaker in America, it’s main sector competitor in Chile is local steelmaker Compañía de Acero del Pacífico (CAP), which has also resumed technical studies on a major integrated steel expansion project and expects to make a decision on the matter in December.

Would you like to share any interesting developments or article ideas with us? Don't hesitate to contact us.

You might find this interesting too

VIDEO: Fighting desert dust and heat at Phoenix scrap yard
Big jump in steel output for Iran

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Subscribe now and get a full year for just €169 (normal rate is €225) Subscribe