Sojitz Gets Plate Mill Facility Order from Dongkuk Steel

Sojitz announced on Monday the firm got order of plate rolling facilities for shipbuilding high tensile steel from Dongkuk Steel Mill, which is South Korean no.3 steel maker. The order is is estimated to be 25-30 billion yen. Sojitz provides the facilities with annual 1.5 million tonnes of output capacity to new plate mill in Dangjin, of which Dongkuk Steel will start the operation in November 2009.

Sojitz got the order for rolling mill and automation system through cooperation with UK based Siemens VAI Metals Technologies and world largest shipbuilder of Hyundai Heavy Industries of South Korea. SVAI provides the major facilities along with the engineering service. Hyundai Heavy Industries supplies machinery made in South Korea. Sojitz got the order for motor and electric systems with Toshiba Mitsubishi-Electric Industrial Systems Corporation.

Dongkuk Steel produces long steel products for construction and plate for shipbuilding at plants in Pohang, Incheon and Pusan. The firm produces annual 2.47 million tonnes of plate, 1.16 million tonnes of shapes and 1.68 million tonnes of steel bar. The firm tries to meet the growing demand for shipbuilding by launching new plate mill at Dangjin. The firm produces high tensile steel plate at more than 50% of the total production at new plant.

The order is the largest one for Sojitz though the firm has got order with more than 23 billion yen of value from Dongkuk Steel before.