Pasar to infuse up to $30M for expansion

The sole copper smelter and refinery in the country-Philippine Associated Smelting and Refining Corp. (PASAR) is infusing $20 million to $30 million for its expansion project in its Leyte plant.

The expansion project which started second half of last year is expected to be completed mid July.

Major equipment and new technology that will be installed include: a new VPSA 4,000 Nm3/hr oxygen plant; a new loss and weight concentrate feeding system; expanded concentrate storage building to accommodate 105,000 MT of copper concentrate, silica fluxes, coal, and coke; expanded port facilities able to unload Handymax concentrate vessels; a new Doré plant.

In an interview, PASAR president Sias Els said the expanded facility will augment the capacity to 215 tons from 180 tons per year. "We are busy finishing off expanding the refinery."

In spite of its expansion project, Els said they are not optimistic that there would be growth in their exports this year given the stronger peso against the dollar.

"We are not going to see significant growth in exports," Els said. According to him, the company will only experience growth in 2008 once the expanded plant is fully operational.

The firm exports 95 percent of its copper, which is used in everything from computer chips and air conditioners to plumbing equipment and power plants. It sells the other five percent locally. PASAR ships copper mostly to China.

PASAR’s strategic location in the Asia Pacific Rim allows access to copper concentrates supplies from Indonesia, Papua New Guinea, Canada, Australia, Argentina, Brazil and Chile. It also has access to the huge refined copper markets of China, Korea, Taiwan, Vietnam, Thailand, Malaysia, Indonesia, Singapore and Japan.