Export success for NZ Steel

Press, 23 September 1981, Page 23

Export success for NZ Steel

PA Auckland New Zealand Steel, Ltd. has scored a major export success by selling 40.900 tonnes of prime billet steel to Indonesia through a major international metals trading organisation. The order involves two contracts worth nearly $l2 million. The contracts comprise an initial order negotiated late last year and an option for further tonnages finalised more recently. Both the quantity and the average selling price of the steel over the two contracts are very favourable to New Zealand' Steel, Ltd. considering the generally depressed state of the world market for steel products. The total contract tonnage is equal to about one quarter of the yearly steelmaking capacity of the company. Production of the initial contract began earlier this year and shipment of 17,000 tonnes was made in April. A further 17,500 tonnes are being loaded into the vessel. Debby, which is due to depart from the Jellicoe wharf

this week. The remaining 5500 tonnes will be shipped in December. The export contracts are with Philipp Brothers and the steel is being supplied to three Indonesian rolling mills. ft 1 Produced from local ironsands. the billets are in a variety of steel grades suitable for rolling into wire rod, reinforcing bar. and light sections.

New Zealand Steel. Ltd, export sales manager (Mr R. P. Howard) said that the company has to meet a very tight production schedule to supply the second part of the order.

In producing the export tonnages, as well as meeting local market commitments, the steel plant had operated at peak output and efficiency, he said. During the manufacture of the order the steel plant set consecutive daily and weekly production records and has achieved consistently high yields of prime material in both steelmaking and continuous casting.