Pakistan Steel Mills (PSM) have plans to increase capacity from the current 38% to 60% in the coming months after receiving a 55,000 ton cargo of iron ore fines from Australia.
PSM has been purchasing iron ore from Iran with long term contract, however the payment difficulty due to economic sanctions had forced them to divert for other option for the procurement from spot market.
The latest iron ore with 62% Fe content, cost US$8.3 million, was the first lot cargo purchased from Australia in some ten years and a further two consignments of similar tonnage will soon be on their way from Mauritania.
It’s known that PSM produced fewer than 25% capacity utilization in 2012 because of a shortage of funds for raw materials procurement.
The company received a government funds last year in order to enhance output and recoup losses it has posted since 2007-08.
Source:
http://www.yieh.com/2.2.01.01stainlesssteelnews.aspx?no=63395&division=A9
