China-based Sinosteel Company has signed a memorandum of understanding (MoU) with Iranian Mines and Mining Industries Development and Renovation Organization (IMIDRO) to implement alumina, aluminium and power house plans, said a report.

The production plan capacity for Alumina Powder Company is 1.6 million tonnes, for aluminium ingot is 350,000 tonnes and for combined cycle power house plant is 1000 MW, added the Iran Daily News report, citing IRNA.

Both companies have appointed an urgent work group to provide implementation steps of this MoU and aim at implementing the second phase of the plan with two-fold increase in capacity, said the report.

The president of Sinosteel expressed his interest in boosting cooperation with Iran in post-sanction era.

Referring to direct financing and investment of these three projects, Huang Tianwen said that the company cooperated with big Iranian steel companies previously and are trying to develop relations now.

Mahdi Karbasian, IMIDRO’s chairman of the board of executive directors also welcomed Sinosteel's investment in Iran and requested for implementing these plans in accordance with up-to-date environmental standards and technologies.

Karbasian added that Chinese banks' support for these plans would be regarded as a factor of timely implementation of plans and fulfillment of commitments, added the report.