Brazilian producer of bars, rolled profiles and steel tubes Companhia Ipatinguense de Lamination has an expansion project at the unit located in the Bom Sucesso in Santana do Paraiso in State of Minas Gerais in Brazil. It plan to set up a scrap based steel mill, as the company doesn't yet produce steel and buys slabs and billets from third party companies to roll them into bars and profiles. It is estimated that the investments would be in the order of BRL 300 million and would take place in the next three yearsCipalam started its operations in 1985 and started with a capacity of 500 tonnes per month of rolled products. From then on, the company has been expanding. In 1995, projects were started for the start of another unit, located in Santana do Paraiso and which is now fully operational. The rolling mill in the Iguagu district has a production capacity of 7.5 thousand tonnes per month of profiles and bars, while the one in Santana do Parafso has a capacity of 12 to 13 thousand tonnes per month. As a result, the company has an installed capacity of approximately 20 thousand tonnes of steel per month, in addition to four thousand tonsne of tubes and profiles.