The Forum for Partners in Iran's Marketplace

September 2018, No. 88

Getting to Know Hormozgan Steel Co.

Farzad Arzani, Managing Director of HOSCO

Hormozgan Steel Company (HOSCO), the second largest steel producing plant in the aftermath of the 1979 Revolution, is located along the Persian Gulf in an area of 95 hectares, 13 kilometers west of Bandar Abbas city and in the Persian Gulf Mining and Metal Industries Special Economic Zone. The presence of this company turns Hormuzgan Province into the third steel pole in the country.

Among specifications of this company one is its proximity with the sky blue waters of the Persian Gulf and easy access to the high seas, proximity to the huge gas reservoirs of Assalouyeh and Golgohar iron ore deposits, proximity to Shahid Rajaei port complex and easy access to road and rail transportation.

The construction plan of this large steel complex in Hormuzgan Province after final approval as the largest project of the Ministry of Industry, Mine and Trade, which included excavation, concreting, construction of huge steel jetties and thousands of tons of other required materials and equipment, was launched in 1385 (2006/07).

The direct reduction unit (ironwork factory) with an annual capacity of 1,650,000 tons of sponge iron was constructed in a period of 32 months as a result of the continuous efforts of domestic specialists and craftsmen, which in its kind is a unique record in the country. In the month of Mehr 1387 (September/October 2008) it entered into the cold operation phase and in the month of Esfand 1387 (February/March 2009) was put into operation in the presence of the President.

In 1389 (2010/11), the steelmaking unit also entered into the hot test phase and in the month of Mordad (July/August) the same year, the first electric arc furnace melting was conducted and on April 15, 2011 the first experimental slab of Hormozgan Steel Company was produced.

HOSCO has a nominal capacity of 1.5 million tons of slabs with the thickness of 200 and 250 mm, width of 600 to 2,000 mm and length of 6,000 to 12,000 mm. The company is also capable of producing intermediate products such as 1,650,000 tons of sponge iron per year, 90,000 tons of lime per year, 7,500 normal cubic meters of oxygen per hour, 18,000 normal cubic meters per hour of nitrogen and 120 normal cubic meters per hour of argon.

The company, benefitting from the latest advanced achievements of the steel industry and taking advantage of highly qualified and experienced human resources, plans to present its productions on the basis of customer-oriented approach and customerís request to the domestic and overseas markets.

The steel produced in HOSCO is mainly carbon steel for use in rolls and sheets as the hot and cold rolled sheets.

The companyís slabs used in the hot rolling lines, are mainly for profiling purposes, water pipes, oil and pressure tankers, and heavy steel parts and the produced sheets in the cold rolling lines are used in the body sheet of the vehicles, the body of the home appliances including refrigerators, heaters as well as special applications such as tin plated and galvanized sheets.

With the full operation of this company, the country will become self-sufficient in broad slab production.

Products of the company are produced in compliance with the standards such as ISIRI (Iranís national standard), ASTM, SAE/AISI, API (the US), Bs (UK), DIN (Germany), EN (international), JIS (Japan) and ISG (internal standard). 

Unique Specifications of HOSCO

  • Using the Dog House Contamination Control System to control and reduce pollution for the first time in the country

  • Existence of one of the most advanced water desalination equipment in the south of the country for the use of seawater in the production process

  • Production of the widest slab with a width of 2,000 mm for the production of oil and gas transfer pipelines

  • Possibility of producing slabs with the two thicknesses of 200 mm and 250 mm in order to diversify production and gaining the top position in the market

  • Production of high-carbon steel for the production of high-strength steel

  • Production of the heaviest slab in the country with a weight of 46 tons

  • Using the vertical twin lime kiln

  • The highest slab casting speed in the country, at a maximum of 1.6 m/min, in order to increase production efficiency

  • Using the 95% sponge charge system (the possibility to keep 60 tons of melted substance in the furnace), lack of dependence on the fluctuations of the scrap market is one of its advantages

  • No need to slag pile and slag discharge on the ground to eliminate the pot waiting time and increase efficiency

  • Existence of a vertical arch casting line for the production of quality steel, increasing the production of high quality melting and reducing impurities

  • Possibility of changing the width during casting to reduce preparation time and increase production

  • Having one of the most advanced casting machinery with full automation for the production of slabs

Address: Km 13, Shahid Rajaei Highway, Bandar Abbas, Iran

Postal Code: 7917176319

Tel.: (+98) 07633530003-8

Fax: (+98) 07633530145

Web Site:



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  September 2018
No. 88