SINGAPORE — China Steel Corp. will spend Taiwan $2.27 billion ($78.1 million) on a five-year revamp of its No. 2 hot-strip mill, which has been in operation for 16 years.

The upgrade is intended to reduce the risk of equipment breakdown as well as increase processing capacity for new steel grades, the Kaohsiung, Taiwan-based steelmaker said.

The revamp, which will start in January, is expected to be completed by December 2017.

Benefits of revamping the line include minimizing delays, improving equipment properties and functions, and reducing carbon dioxide emissions by nearly 2,990 tonnes per year through power saving and low-temperature rolling, the company said.

A version of this article was first published by AMM sister publication Steel First.