Raw materials used for billet production are scrap metal sourced from neighboring provinces in the southern Philippines (Visayas and Mindanao regions), through its own collection network or major scrap consolidators and pig iron, a semi-finished metal produced from iron ore in blast furnace, containing 80-92 percent iron, high amounts of carbon (typically up to 3.5 percent), and balance largely manganese and silicone plus small amounts of phosphorus, sulfur, and other impurities. Pig iron is further refined in a furnace for conversion into steel..
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