Indonesia Integrated Steel Mill Project

To dominate the Southeast Asian and Indonesian markets, the steel markets of high growth potential, POSCO promoted a joint venture for an integrated steel mill development with PT.KS (Krakatau Steel), a state-owned steel company of Indonesia, using the country’s abundant natural resources. 

Promoted for the first time by POSCO, POSCO E&C, as the consortium leader, executed comprehensive EPC together with PT.KE (subsidiary of PT.KS) and foreign investment experts. The goal of this project was to build an integrated steel mill with an annual crude steel production capacity of three million tons (1.5 million tons each for slabs and plates). 

POSCO E&C successfully completed the EPC project within the target period of approximately three years from 2011 to 2013. Through successful completion of the first overseas integrated steel mill project, we expanded contract winning in the Indonesian and Southeast Asian markets of high growth potential as well as secured technological competitive power through localization of key facilities. In addition, we improved cost competitiveness by discovering excellent global suppliers and contributed to enhancing the reputation of POSCO and national prestige by performing environmental and health management activities abroad.

※ POSCO E&C executed partial EPC for key and auxiliary facilities.


(Outsourcing facilities: oxygen, power generation, lime calcination)



  • Period
    2011.07 - 2013.12
  • Place of order
    Place of order
  • Construction details
    Construction details
    Scale: Integrated steel mill producing three million tons of crude steel a year (1.5 million tons each for slabs and plates)

    Key facilities: Blast furnace, sintering, cokes, steelmaking, casting, plating, thick plate mill

    Auxiliary facilities: 15 facilities including those for raw materials, power supply, gas, and drainage and final treatment

    Layout: 370 ha
  • Location
    Cilegon, Banten, Indonesia

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