Krakatau gets $260m loan from Commerzbank AG
Friday, May 22 2015 - 01:19 AM WIB
By Romel S. Gurky
IDX-listed steel maker PT Krakatau Steel Tbk said that it has signed a US$260.05 million loan agreement with Germany?s Commerzbank AG to help finance the construction of its second hot strip mill in Cilegon, Banten.
The company said in a statement Thursday that the new steel plant, which is expected to be completed in September 2017, will have a capacity of 1.5 million tons per year, and can be expanded up to 4 million tons per year.
The new plant will produced steel products particularly from the domestic automotive industry, which is projected to increase in the future.
Editing by Reiner Simanjuntak