Mobarakeh Steel Company, now one of the largest industrial units in Iran, was constructed in an area of 35 square kilometers near the city of Mobarakeh and 75 km to the southwest of Isfahan.
Construction operations began in 1981 and into the years of war and under aerial attacks of enemy fighters. Building and technical operations done during the construction phase of Mobarakeh Steel are unique in the Middle East, for example near 18.7 million cubic meters of excavation and over 1.845 million cubic meters of concrete, 1.8 million square meters of formwork and 80,000 tonnes of reinforcement bars, about 150 thousand tonnes of metal structures, one million square meters of roofing and more than 500 tonnes of equipment and machinery were installed.
The first electric arc furnace went functional in October 1991 and factory production lines were inaugurated by the then president on January 12, 1992. With the introduction of company's steel products to the market and the gradual increase of production up to the nominal capacity of 2.4 million tonnes a major part of this strategic need of country was satisfied.
In the years after reaching the nominal capacity, to meet the increasing demands of domestic and foreign markets, the company planned increases in its capacity in the form of expansion projects, using the experience and financial credit from domestic and foreign sales, the first phase of development projects were carried out. The production capacity of the company is planned to reach 11.5 million tonnes as the following expansion projects are being executed:
• Steel-making under-roof development plan in two phases of 5.4 and 7.2 million tonnes capacity increases. All the projects of the 5.4-million-tonne-phase are in their final stages and regarding the 7.2-million-tonne-phase the necessary permits have been acquired and the needed infrastructures are in place.
• Development project of Saba Hot-rolling Plant which was annexed to Mobarakeh steel in 2006 has increased the plant's capacity from 700 thousand tonnes to 1.6 million tonnes.
• Also Hormozgan steel was merged with Mobarakeh Steel on March 2011 and its capacity is planned to be increased from 1.5 million tonnes to 3 million tonnes.