FNI to commence work on $50-M Bataan steel plant
Listed Global Ferronickel Holdings Inc. (FNI) is set to begin the construction of its $50-million steel manufacturing plant in Bataan next month after being delayed due to the COVID-19 pandemic.
In an interview with the Inquirer on Friday, FNI president Dante Bravo said they were planning to jump-start operations this year.
Once finished, the plant would have the capacity to produce 600,000 metric tons (MT) of carbon steel rebars annually, which would allow FNI, the second-largest nickel producer in the country, to gain a 6-percent market share in an industry that utilizes 10 million MT of steel every year.
Bravo said the plant, built in tandem with Hong Kong-based Huarong Asia Limited, would cater to the domestic market as the government continued to boost infrastructure projects.
FNI acquired a 40-percent stake in Freeport Area of Bataan port operator Seasia Nectar Port Services to support the operations of its steel plant.
The province of Bataan is a strategic location, being part of an economic zone where imported raw materials may arrive tax- and duty-free.
Moreover, the location is adjacent to a power plant that would allow FNI to reduce its costs significantly. INQ
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