Posco to begin production of needle coke next yearThe nation’s leading steelmaker Posco said yesterday that its chemical unit and two Japanese firms held a groundbreaking ceremony for a factory that will produce needle coke.
The 226,000-square-meter (56-acre) factory, which is set be completed in Gwangyang, South Jeolla, in 2014, will produce 100,000 tons annually.
Needle coke, which is produced from coal tar pitch, is used in producing electrodes widely used in the steel and aluminum industries.
The three companies involved are Posco Chemtech, Mitsubishi Chemical Holdings and Mitsubishi Corporation.
“We have sold raw coal tar, which is created during the steel production process,” said an employee at Posco.
“When we start the production and sale of needle coke, we expect to rake in profits five times higher than selling raw coal tar.
“The project can also replace 700 billion won [$625 million] worth of needle coke imported annually.”