Sumitomo Metals Celebrates Inauguration of VSB Joint Venture
09/06/2011 - Vallourec & Sumitomo Tubos do Brasil Ltda recently held the inauguration of its new steelworks in Jeceaba, state of Minas Gerais, Brazil, enabling Sumitomo Metals to globally supply its seamless pipe products from two bases, Japan and Brazil.
Vallourec & Sumitomo Tubos do Brasil Ltda (VSB), a seamless pipe joint venture of Sumitomo Metal Industries, Sumitomo Corp., and Vallourec of France, recently held the inauguration of its new steelworks in Jeceaba, state of Minas Gerais, Brazil.
VSB began construction of a steelworks in 2007, as a base for global development of Sumitomo Metals’ seamless pipe business. It has recently completed construction of major facilities.
Operation of this steelworks enables Sumitomo Metals to globally supply its seamless pipe products from two bases, Japan and Brazil. The company says that Brazil is an ideal location to serve markets such as South and North America, Africa, and the Middle East, and has good transportation infrastructure, including railways and port facilities. VSB also has the advantage of having an iron ore mine nearby.
VSB has adopted a “charcoal blast furnace,” which uses charcoal made from eucalyptus trees grown in the contracted plantation, as a reducing material. The company will help preserve the global environment by making close to zero net emission of CO2.
Sumitomo Metals will promote an early start-up of the steelworks to contribute to energy development in Brazil and other parts of the world.