Krakatau Posco to give priority on supplying domestic market

By Cepi Setiadi

PT Krakatau Posco, a joint venture company between PT Krakatau Steel and POSCO Korea, said that the company would put priority on supplying domestic needs once its steel production facility starts operation in 2014.

Changho Kwag, Managing Director at Posco Reserach Institute, told Petromindo.com that the construction of the facility which has production capacity of 3 million tons per year was expected to complete in 2014. Later on the production will be ramped up to 6 million tons.

"Production will mostly go to domestic market in Indonesia," Changho said.

The company will produce steel slabs, plates, hot rolled coils (HRC) at the factory which is located in Cilegon, Banten Indonesia.

Editing by Adianto P. Simamora