A lack of funds have led to large cuts in an Indian steel group’s ore plant plans.The group “has scaled down its plans for a $10.8 billion steel and iron ore project in Afghanistan…slashing proposed steel capacity and investment by 80 per cent,” The Economic Times.
“The consortium had to renegotiate the terms of the deal with Afghanistan after India’s finance ministry refused to bank-roll the project without a detailed study about its commercial viability.”
“Led by state-owned Steel Authority of India Ltd, the group was to set up a 6 million-tonne-per-year (MTPA) plant tied to three iron ore mining blocks in Afghanistan.”
In metal price news for steel…
On Monday, December 30, the day’s biggest mover was the price of Chinese slab, which saw a 0.8 percent decline. The price of Chinese HRC continues hovering around for the fifth day in a row. The price of Chinese coking coal saw little movement. The price of iron ore 58% fines from India was range bound.
The steel billet cash price remained essentially flat at $300.00 per metric ton on the LME. For the fifth consecutive day, the steel billet 3-month price held flat on the LME at $285.00 per metric ton.
The 3-month price of the US HRC futures contract remained essentially flat at $643.00 per short ton. The US HRC futures contract spot price continues hovering around $676.00 per short ton for the fifth day in a row.