POSCO restarts operation of renewed blast furnace

By Kang Seung-woo

POSCO said Friday that it has resumed the operation of a blast furnace after refurbishment had improved its annual production capacity to 5.3 million tons.

The world’s No. 3 steel maker shut down the furnace in July for maintenance work. Previous annual production was 3 million tons.

According to POSCO, the blast furnace in Pohang, a port city about 370 kilometers southeast of Seoul, is the biggest in Korea and the fourth-largest in the world behind China’s Shagang Group’s furnace and Japan’s Nippon Steel Cooperation’s two furnaces.

It also said that its daily production capacity is over 14,500 tons, equivalent to manufacturing 14,500 vehicles, and the production is at the top level of the industry.

POSCO Chairman Chung Joon-yang said the furnace will contribute to POSCO gaining better competitiveness in the global steel market by implementing advanced technologies.

The firm is expected to have an annual production capacity of 41 million tons this year after completion of maintenance and expansion projects.

Meanwhile, the steel maker is set to report its third-quarter earnings next week.

Shares of POSCO were trading at 527,000 won on the Seoul bourse as of Friday.