The CEO denied rumors of a technical failure at Bolivian El Mutun

Bolivia's El Mutun steel complex halted operations just two weeks after opening, prompting rumors of technical problems and local media claiming it was a white elephant.

Jorge Alvarado Rivas, the complex's general manager, announced that equipment testing had been completed successfully and all facilities were operating reliably and without any glitches.  Rivas said production was stopped due to difficulties in obtaining imported raw materials, shortage of foreign currency and problems with the acquisition of diesel fuel.  “The steel complex has not stopped; it is awaiting input,” he said.  As for requests for audit procedures, Rivas said he is willing to meet with authorities to discuss the matter.  El Mutoun includes seven facilities: iron ore beneficiation, pelletizing, DRI, steel production, rolling, electrical center and support services. Its annual rebar and wire rod production capacity reaches 200,000 metric tons.