Posco to invest $15m in TSML

Dr Hilal Hussain Al-Tuwairqi said that the agreement would not only further strengthen the bond among the companies but also the countries these organizations are representing. - File photo

KARACHI: Posco will invest $15 million equity in Tuwairqi Steel Mills Limited (TSML) under a joint venture accord signed on Sunday at the Sindh Chief Minister’s House for the mills project.

The agreement was signed by Dr Hilal Hussain Al-Tuwairqi, chairman, Al-Tuwairqi Holding, and Joon-Yang Chung, chairman and CEO of Posco.



The JV agreement is the result of chief minister’s visit to Korea earlier this year where he visited headquarters of major Korean business houses which included Posco, Kospo, Lotte and others.

Senior Minister Pir Mazharul Haq was of the view that the agreement would not only create new job opportunities in Pakistan but also enable transfer of technology in the industrial sector.

He expressed his satisfaction on ongoing progress of Al-Tuwairqi project in Pakistan and termed this joint venture as catalyst for industrial development in the country.

Minister of State Saleem H. Mandviwalla said collaboration of two foreign investors puts synergy into the project and would greatly help augment efforts towards forward and backward integration of the project.

POSCO in Pakistan would be a great success not only in monetary terms but its position as a technology leader in the steel sector from which Pakistan can benefit to a larger extent.

The gap between demand and supply is met through imports and it is expected that the demand for steel products would be around 18.00 million tons against the supply of around 10 million tons in the year 2015.

SBI chairman Zubair Motiwala informed that interest has been shown by leading Korean companies to invest in Thar Coal, wind energy, tourism and other infra structure projects being offered by the government on guaranteed return on investment basis.

He briefed that the steel sector offers a host of opportunities for investors, both local and foreign, as current indigenous production capacity caters to only 40pc of domestic market needs.

Dr Hilal Hussain Al-Tuwairqi said that the agreement would not only further strengthen the bond among the companies but also the countries these organizations are representing to.

Joon-Yang Chung, chairman and CEO of Posco said: “We have ambitious plans for Pakistan as part of our long term vision for the country.

From the Newspaper