Iran needs €13 bln to increase steel output – official (Exclusive)

Business Materials 23 May 2018 12:18 (UTC +04:00)

Tehran, Iran, May 23

By Kamyar Eghbalnejad - Trend:

The deputy of IMIDRO Mines and Mining Industries Development said Iran would need to secure finance deals worth a collective of about 13 billion euros in order to be able to increase its total annual steel output capacity to 55 million by 2025.

Iran needs to attract foreign investment worth 13 billion euros in the fields of electricity, water, gas, rail industry and port services in order to achieve the ambitious 2025 expansion program on the horizon, Ardeshir Sa'ad Mohammadi told the Trend on May 23.

Last year, Iran produced 22 million tons of steel out of which 9 tons were exported, he added.

Mohammadi further said that the country plans to increase its total amount to 55 million tons by 2025.

The capacity currently stands at 33 million tons, he added.

He said the capacity of Iran’s electricity, water and gas output should be also increased to that end.

He added that the country also needs 3,500 kilometers of railway lines.

Iran’s major state-run steel companies produced over 1.685 million tons of steel ingots during the first month of the current fiscal year (March 20-April 20).

The figure indicates a 23-percent increase compared to the preceding year, according to IMIDRO.

Iran was the world’s 10th biggest producer of steel in the January-March of 2018, with a production of 6.81 million tons, 47 percent more compared to the first quarter of 2017.

The country’s total steel output reached 21.726 million tons in 2017, 21.4 percent more year-on-year.