Azerbaijan, Baku, Oct. 12 /Trend N. Umid/
Iranian Sirjan Steel Company has signed an agreement with Italian INNOVA and Iranian-German MMTE companies to establish steel production factory, IRIB news agency reported.
According to the report, the factory's capacity would stand at one million tons.
The project includes three phases - sponge iron, steel ingot and iron products. The sponge iron phase has progressed by 80 per cent.
The factory's sponge iron production phase scheduled to be commissioned till end of the current solar year (March 22, 2014), the report said.
Some 79 million euros of foreign currency assets and $121 millions of national currency will be invested for project's steel ingot production phase.
Italian INNOVA had previously participated in Iran's several projects, in particular, Mobarakeh Steel Factory's construction.
On July 19, Iran's Deputy Minister of Industry, Mines and Trade Seyyed Alireza Shojaei said that Iran's steel production capacity exceeded 31 million tons in the previous calendar year, which ended on March 20.
"The country's steel products output stood at 17.4 million tons in the mentioned period," the IRNA News Agency quoted Shojaei as saying.
On June 30, Iranian Deputy Minister of Industry, Mines and Trade Vajihollah Jafari said that the country plans to boost its crude steel production capacity up to 24 million tons by the end of the current calendar year (March 20, 2014).
In April, Jafari said that the country's annual crude steel output is projected to reach 55 million tons by 2025.