But which is the right strategy to pick? At what point in the steel value chain can Iran be most competitive and make best use of its natural advantages?
Much of the discussion last week among the more than 350 delegates at Metal Bulletin’s 2nd Iranian Iron & Steel conference in Esfahan, Iran, focused on those questions.
Optimising natural gas resource
Iran holds vast reserves of natural gas. Given the current market environment of depressed oil and gas prices and difficulties in finding offtakers, the country will benefit most from using its huge energy resource at home, delegates heard.
“The problem for Iran is how to use its vast gas reserves. Neighbouring countries are reluctant to purchase gas from Iran at market prices. They demand discounts or can’t actually pay,” Bahador Ehramian, board member of the Iranian Steel Producers Assn, said.
And the seaborne market for liquefied natural gas (LNG)...