Bonds worth USD 500 million for Iranian steel projects

Tuesday, 25 Jan 2011
Mehr News Agency reported that some IRR 5 trillion worth of bonds will be offered to the public for the funding of eight steel projects.In February 2010, Iran offered some IRR 5 trillion worth of bonds to the public for the funding of steel projects as the first offering. Each of these eight projects has the capacity to produce 1 million tonnes of steel per year.Previously, Mr Hassan Polarak director of Iranian Mines and Mine Industries Development and Renovation Organization said that steel projects in the country are estimated to cost USD 10 billion of which USD 9 billion will be spent in the country.He said that to build a 1 million tonne steel factory, USD 550 million to USD 600 million is needed and in the past the equipment for these factories was mostly imported. He added that "In heavy industries such as mines we have become self sufficient, while four years ago we were 70% dependant. In steel industry, we are 90% self sufficient and by next year we will be 100%."(Sourced from www.mehrnews.com)