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The Calaca Works of SteelAsia founded by Benjamin O. Yao houses a mini-mill

or an integrated rebar line having a meltshop and a rolling mill. The rebar line is directly
integrated with its own scrap-based billet production. The mill was established by BSII in
1999. It mothballed a year later soon after the 1997 Asian Financial Crisis and acquired
by the SteelAsia group in 2007. After rehabilitating and upgrading the facility, it was and
re-commissioned in 2008. We call this manufacturing line M3.

M3 is unique because it is only integrated steel works in the Philippines. M3 has

steelmaking capability. It recycles domestically purchased steel scrap which it melts
and casts into semi-finished steel called billets. The unique feature of this process is
that the steelmaking is linked to the rolling. Newly cast red hot billets are charged into
the rolling mill facility. The process, which is called direct hot charging saves up to 40%
on fuel consumption, compared to simply buying and feeding cold billets into the rebar
line. The mill also features a twin high-speed tungsten carbide monoblock. M3 was the
first mill to use this technology and it gave it the ability to produce small rebar sizes with
high precision while maintaining speed and productivity. Consequently, M3 has a
450,000 metric ton per annum meltshop which is the largest meltshop in the Philippines.

It featured many other modern technologies such as an in-line rolling train

configuration, independent drives, Level-2 automation, quick size change among others,
and these brought the mill to world standards of productivity, conservation and
operational health and safety.

Originally commissioned as a 300,000 tpy mill, SteelAsia has upgraded its

equipment and technologies to its current capacity of 500,000 tpy. With 2.00 million tons
of annual production capacity, only Steel Asia supplies the largest projects and do so
simultaneously without sacrificing customer satisfaction. In terms of waste, SteelAsia’s
modern mills have the lowest material waste to date.

M3 is located in an industrial park with its own port. It is specifically located in a

17 hectare property in the Phoenix Petroterminal and Industrial Park in Calaca,
Batangas. This logistic feature improved service to Visayas and Mindanao consumers
of rebar since it is able to cut down transport times and logistic costs for customers.
Though M3 primarily serves Region 4 customers, it continues to be an able back-up
during spurts of rebar requirements of construction projects in Metro Manila and the
southern islands of the Philippines.