Nippon Denko to Invest in Southeast Ferroalloy Plant, Mg Mine

Nippon Denko will decide ferroalloy investment business investment in Southeast Asian plant and manganese mining interest in the year. The firm already expanded super low phosphorus ferromanganese. The firm is realizing investment items under the 3-year plan through 2013. The firm tries to reestablish optimum global supply network from mining to high valued products when the major shareholder of Nippon Steel expands the global network.

Nippon Denko’s president Teruaki Ishiyama said to a reporter of Japan Metal Bulletin on Thursday the offshore plant talk progresses and the firm decides the investment in months while he failed to disclose the detail. The firm expects the silicomanganese and other ferroalloy making plant will start operation as early as in 2013.

The firm studies potential investment in manganese mine interest mainly in South Africa. The firm tries to cover part of the requirement through own interest to improve the profitability.

The firm planned 5,000 tonnes expansion of super low phosphorus ferromanganese output to annual 45,000 tonnes. The firm realized the higher capacity through minor repair and operational improvements.

The firm keeps high carbon ferromanganese operation in Tokushima as key for the technology and production base while the firm has base for ferrochrome and ferrovanadium in South Africa. The firm reestablishes global network to provide competitive steel making raw materials for Nippon Steel and other users.