PEZA seeks investors for Nat’l Steel Corp

MANILA, Philippines — The Philippine Economic Zone Authority (PEZA) is inviting foreign investors to put up a new integrated steel mill in the country while at the same time brokering for the possible revival of the mothballed assets of National Steel Corp. in Mindanao.

“We are now busy looking for an integrated steel mill. We are now asking everybody to bring your integrated steel industry to the country,” PEZA director general Charito Plaza said.

 “There are many countries that have their own integrated steel industries like China, Korea, and Taiwan. We already started initial talks with the parties involved,” she added.

So far, PEZA has received strong interest from foreign industry groups which have previously visited the country, saying they would assist the agency in searching for investors for an integrated steel mill, Plaza said.

The Duterte administration is pushing for the revival of the country’s steel industry to support its move toward industrialization.

Aside from seeking investors for a new integrated steel mill, Plaza said PEZA is also helping in the possible revival of National Steel in Iligan City.

“What we are doing is we are serving as a broker to reach a common understanding. We are talking to the Iligan Steel Mill, we talked with the local government unit (LGU), the banks, and the previous operator. We want to know how much really is the debt of Iligan Steel to the LGU in terms of taxes and then debt from the different banks as well,” Plaza said.

“We cannot attract a new investor if they will be the one to pay these debts. We are now starting to negotiate with the LGU of

Iligan. We asked them if they are willing, that if we can find a new investor, they will be a stakeholder also with their tax collectible as equity. They agreed, even the banks (agreed),” she added.

Plaza said many investors are interested in the National Steel assets since the platform is already existing.

She said investors, even its previous Indian operator, are willing to look at restoring the facilities as long as the problems with the LGU and the banks are first solved.

 “We are asking everybody to give this huge industry the chance to be restored. This is what we need toward industrialization,” Plaza said.