Indonesia Krakatau Posco Signs $200 Million Support Agreement with Woori Bank

"Securing Operating Funds... Strengthening Cost Competitiveness"

POSCO Indonesia Steel Corporation Krakatau POSCO signed a financial support business agreement (MOU) with Woori Bank to strengthen steel competitiveness.

On the 17th, key officials from both companies, including Jeong Beom-su, head of Krakatau POSCO, and Kim Eung-cheol, head of Woori Sodara Bank, the Jakarta branch of Woori Bank Indonesia, attended the signing ceremony at the Woori Sodara Bank headquarters in Jakarta.

According to the agreement, Krakatau POSCO will receive financial support worth 200 million USD, approximately 280 billion KRW, from Woori Sodara Bank for raw material supply and working capital credit loans.

Krakatau POSCO is promoting the expansion of local Indonesian iron ore and coking coal purchases, and through this agreement, it will secure stable operating funds. This is expected to strengthen cost competitiveness amid the flood of Chinese imports and achieve mutual growth with Woori Sodara Bank.

This year, Krakatau POSCO obtained an investment-grade rating from the credit rating agency S&P and successfully issued global bonds worth 700 million USD. Based on improved financial structure and profitability, it plans to pursue sustainable growth.

Kim Eung-cheol, head of Woori Sodara Bank, stated, "We will do our best to provide support so that Krakatau POSCO and Woori Sodara Bank can achieve long-term mutual growth, not just short-term financial support."

Jeong Beom-su, head of Krakatau POSCO, said, "We aim to use up to 30% local iron ore and coking coal by 2026," adding, "By securing funds, we will enhance cost competitiveness and supply steel stably, contributing to the economic development of Indonesia."

This content was produced with the assistance of AI translation services.