SEOUL (Reuters) - South Korean steelmaker POSCO (005940.KS) believes its new steel mill in Indonesia is unlikely to make a profit this year because of an accident at the plant.
“We previously expected the mill to turn into a profit this year, but we expect the accident would lead to a production cut, which would affect profit,” Kim Jae-yeol, a senior vice president, said at an investor conference. He did not elaborate on the details of the accident.
POSCO started production at its integrated steel mill in Indonesia in December last year.
Reporting by Hyunjoo Jin and Meeyoung Cho; Editing by Matt Driskill