E&G Holding EGI Plant Construction

E&G Holding EGI Plant Construction

  • Facility & Technology
  • 승인 2004.06.04 16:03
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Due to the continuing supply shortages of cold-rolled steel sheets and the unprepared infrastructure of Inju Ind. Complex E&G SteelCo., which decided to get into the electrolytic galvanized steel sheet (EGI) market this year, changed its original plan, putting its EGI plant construction on hold for the time being. E&G Steel planned to construct an EGI plant with a maximum production capacity of 120,000 tons per year at the Inju Industrial Complex, Asan City, Chungchungnam-do by September this year. But E&G Steel said it has postponed its advance into the EGI business because the shortage of cold-rolled steel sheet (CR), basic materials for EGI,is persistent and the infrastructure of the Inju Industrial Complex has not yet been fully prepared, making it still difficult to proceed with the plant construction on a full-scale. Seo Kwang-ju, the president of the firm, said, ‘We have deferred the implementation of the original plan because of the continuingshort supply CR to be used as materials for EGI and the unprepared infrastructure of the complex,‘ adding, ‘Although we have to watch the situation some more, we hope we would be able to completethe plant by the end of this year so as to commence out commercial production next year, if circumstances permit.‘ President Seo said thatits order placements for new facilities for its EGI plant also was put on hold in accordance with the postponement of its plant construction like this. An increase in offshore production of electric home appliances and robust exports conspired to bring about such supply shortage of EGI in thedomestic market. However, the continuing supply shortages of CR, the upstream process products essentially required for the production of EGI, are analyzed to have worked a major stumblingblock against the firm's launch into the new business. BNG Steel originally planned to place its orders for facilities in June for the plant construction under the timetable to start up the commercial operation of the plant in September. sunhong@snmnews.com
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