Beco Steel Limited (PSX: BECO) has suspended production activities until further notice.
In a stock filing, the company explained that due to delays in the approval of letters of credit (LCs) and significant reductions in inventory levels, which have a negative impact on the supply chain and production activities, BECO has decided to temporarily halt production activities from January 16, 2023, until further order.
BECO’s plant with a total melting capacity of 99,400 metric tons and re-rolling capacity of 99,000 metric tons, is based in the heart of the Pakistan Steel Industry Cluster of Badami Bagh in Lahore.
The mid-country location allows the company to service both central and northern Pakistan and export to Afghanistan. The establishment of units close by in Badamai Bagh has led to higher efficiency.
At the time of filing, the company’s scrip at the bourse was Rs. 9.48, down 0.1 percent or Rs. 0.01 on Friday.
