According to the Philippine partner, a joint venture between FILIPINOs and Chinese will begin building a steel manufacturing factory in the southern Philippines next month. The project is anticipated to be completely operational within four years.
The $1 billion (P55 Billion) smelting facility will be processing ore from a mining location in the adjacent province of Zamboanga del Sur, which is located on the western part of the island of Mindanao.
“This is a very important project for the country because when you have the steel plant, you have 1,000 industries that will be created… somebody will order, you give us the steel for the use of nails, steel bars,”– Leonardo A. Fernandez, chairman and chief operating officer of Mount Zynai 0304 Mining Corp. (MZMC)
The Mount Zynai Industrial Park, a complex that will house the company’s administrative and operational center as well as local and international locators in the steel production and downline sectors, will include the Mount Zynai Integrated Steel Mill and Smelting Plant.
The company aims to produce 1.5 million metric tons (MT) of steel bars and steel products every year.
Shenzhou Investor Corp., a 40 percent owner of the project, is MZMC’s Chinese partner.
“What we are discussing is 60% of the production is for the domestic market and 40% will be exported,”
The ore mining site covers a 15,000-hectare property owned by the Subanen Pigsalabukan Gokom de Bayog indigenous community. 1,000 hectares under the indigenous group’s ancestral domain will be reserved for agro-forestry, agriculture production, and other community development projects
The plant is targeted for partial operation within 2 to 3 years.