Japan Metals & Chemicals Co Limited announced on February 15th 2011 that the company has completely taken over the two companies of Bozel Mineracao SA of Brazil and Bozel Europe SAS of France and made these two companies its wholly owned subsidiaries. These companies have been engaged in the production and sale of calcium silicon used as a raw material for steel production as well as various kinds of cored wire

Bozel Brazil has possessed three 21,000 KVA electric furnaces in Minas Gerais State of Brazil and has been producing 30,000 tons per annum of CaSi for the sales to Europe, the USA and Asian region. The supply situation of electricity in Brazil has been stabilized and, under the present circumstances which the supply of electricity in China, South Africa and so on have been tightened, Brazil will be the most stable country on supply of electricity.

Also, JMC was previously the largest producer of ferroalloys in Japan but, on the way to rehabilitate from its bankruptcy, once withdrew from production of ferroalloys. However, JMC has revived as a producer of ferroalloys by means of having acquired overseas assets and, at the same time, has developed the route in Brazil to produce and supply silicon based ferroalloys, which consume large volumes of electric power for its production, through the acquisition of two enterprises as mentioned above. JMC does not say how much money is paid for these purchases but it is supposed that JMC will pay several billion Yen for the acquisition.

Also, Bozel Group has shared approximately 40% of the world consumption of CaSi and Wire. In addition to the markets in Europe, the USA and Asian region, Brazil is one of the BRISC countries and is expected to develop further their economy. From this point of view, JMC builds up the base in Brazil to produce and sell ferroalloys and will be able to expand their business.

(Sourced from TEX Report Limited)