Peña Colorada

Peña Colorada is a company dedicated to the exploration, extraction, and processing of iron ore to meet the national steel industry's demands. Originally a state-owned enterprise established in 1975, it transitioned into a privately owned organization in 1991. Currently, ArcelorMittal and Ternium each hold a 50% stake in the company. Peña Colorada's ferrous deposits are the most significant in the country, contributing 30% of the iron ore used in the industry. The company provides employment to 1,200 direct workers and creates 3,000 indirect jobs, primarily in the states of Colima and Jalisco. The production capacity is impressive, with 4.1 million tons of pellets and 0.4 million tons of iron concentrate generated annually through the extraction, processing (including milling and magnetic concentration), and pelleting processes. All of this output is equally distributed to ArcelorMittal México and Ternium México for domestic consumption. The company operates two main facilities: an open-pit mine located in Minatitlán and a pelletizing plant in Manzanillo, both in Colima, Mexico. Approximately half of the production is transported by rail, making Peña Colorada the principal customer of Ferromex, while the remaining half is shipped via maritime routes from Manzanillo to Lázaro Cárdenas, positioning the company as the leading user of cabotage in Mexico. Overall, Peña Colorada's strategic ownership, substantial production capacity, and crucial role in the national steel supply chain make it an attractive investment opportunity within the mining and steel industries. More information can be found on their website: www.pcolorda.com/lineatransparente.