SÃO PAULO Gerdau SA is reviewing its
10.3-billion-reais ($5.07-billion) investment plan for 2012
through 2016 in light of uncertain global market
"A new investment plan will be announced in February 2013,"
chief executive officer André Gerdau Johannpeter said
during a Nov. 1 conference call.
This revision includes the companys steel and iron ore
operations, including an expansion project at its Gerdau Aza
operation in Chile.
The Brazilian steelmaker has been studying a project to
increase crude steel capacity at Azas main works in
Colina to 800,000 tonnes per year and long steel rolling
capacity to 900,000 tonnes per year, representing annual
increases of 280,000 tonnes and 425,000 tonnes,
However, Johannpeter confirmed that flat product investments
at its Gerdau Açominas SA Works, in Brazils Minas
Gerais state, continue.
Gerdau expects to commission a 770,000-tonne-per-year hot
strip mill in December 2012 or January 2013, while a
1.1-million-tonne-per-year heavy plate mill is due to come
on-stream in 2014.
Johannpeter didnt disclose the timeframe for the
expansion project at Peruvian subsidiary Siderúrgica del
Perú SAA (Siderperú). "We do not have a specific
date yet," he told AMM sister publication Steel
The steelmaker in September announced a planned $253-million
investment to install a steel rolling mill and electric-arc
furnace at Siderperú (
amm.com, Sept. 18).
A version of this article was first published by AMM
sister publication Steel First.