Pakistan: Dost Steel Starts Operations at its New Commissioned Unit

One of the largest and first fully automatic finish long steel producer in Pakistan, Dost Steel Ltd (DSL) has started commercial operations at the newly commissioned unit as on 28th Feb'18.

Dost Steels notified the bourse that the "Commercial Operations of the company has been started from 28th of February, 2018 and it has also achieved its first sale also on the same date.''

Dost Steel Ltd had already tested the trial production at the newly commissioned unit on 01st Feb'18 for which the first notification was released on 31st Dec'16 to Securities & Exchange Commission of Pakistan (SECP).

The company reports released earlier to this mentioned that DSL expects the commercial production at plant to begin well before the stipulated deadline of 30th March 2018 and company also expected to start the hot commissioning and production activities at the earliest date.

DSL acknowledged the efforts of the Turkish and Italian consultants that were working on the site to help with the commencement. The firm had gone through all the stages required to commission the rebar plant in December and January months.

DSL steel mill is an automated plant with an initial capacity of 350,000 tons per annum, which will produce hot-rolled, high tensile, deformed steel bars situated at Phoolnagar district.

Since the China - Pakistan Economic Corridor (CPEC) was launched by the government, steel Manufacturers, cement producers and other related industries have all expanded the production to take advantage of the rising steel demand.

The plant will process 130*130mm and 150*150mm billets in 6 and 12 metre sizes. The finished rebar will have size ranging from 8-40 mm in diameters.

Newly started plant is the fully automated and has higher efficiencies than the local competitors. With automation, the company management is also confident of the much lower cost of production. The production will help company cater to rising demands and increasing the geographical coverage especially in provinces like Gilgit Baltistan, KPK and other CPEC SEZs.

With rising steel capacities in Pakistan, scrap imports to the country are also expected to move up.