KARACHI (PPI) - Tuwairqi Steel Mills Limited (TSML), Pakistans first private sector integrated steel manufacturing project has achieved financial close of its US$ 245 million (excluding working capital) Direct Reduction Plant, following the signing of the term sheet with Islamic Corporation for the Development of the Private Sector (ICD). As per the term sheet, ICD will provide US$ 20 million (Shariah compliant financing) to TSML for completing its 1.28 MTPY Direct Reduction Plant, located at Bin Qasim, Karachi. The term sheet for Shariah compliant financing was signed by Zaigham Adil Rizvi, Director (Projects), TSML and Ibrahim Ali, Director, ICD , recently at ICD head office located in Jeddah. TSML is a subsidiary of Saudi Arabias largest private-sector steel producer Al Tuwairqi Holding, while ICD is an affiliate of the Islamic Development Bank. While expressing his views Zaigham Adil Rizvi, Director (Projects), TSML said, Around 95pc of the construction work has been completed and we are targeting commercial production in the 4th quarter of 2010. Currently our instrument checkup, as part of the cold commissioning exercise, has been completed, whereas commissioning team, operational and maintenance crew, material handling system are also in place. He further said, The financing from ICD is going to help expedite completion of this pivotal project in Pakistan. Projects financed by ICD are selected on the basis of their contribution to economic development considering factors such as creation of employment opportunities, growth potential, etc. We have not only met the criteria successfully but also have received recognition for bringing in cutting-edge technology to Pakistan. We are thankful to ICD and other members of the consortium for their assistance. The project comes at a crucial juncture when Pakistans steel industry is going through a tough time and is looking for increasing the steel production to meet the current demand and supply gap. TSML is poised to transform the country into an industrial hub with the growth of the steel sector through state-of-the-art technologies. Tuwairqi Steel Mills Limited is Pakistans first private-sector integrated environment-friendly steel manufacturing project of Al Tuwairqi Holding, Kingdom of Saudi Arabia. TSML complex spreads over an area of 220 acres at Bin Qasim, Karachi, and employs the worlds most advanced DRI (Direct Reduction of Iron) technology based on the MIDREX process, owned by Kobe Steel of Japan. In the 1st phase, a 1.28 MTPY DRI plant is now on the verge of completion. The Islamic Corporation for the Development of the Private Sector (ICD) is a multilateral organization, affiliated with the Islamic Development Bank (IDB) Group. The mandate of ICD is to support economic development of its member countries through provision of finance to private sector projects in accordance with principles of the Sharia through promoting private sector development.