This facility is one of 8 small smelting furnaces that were installed after Koregawa Steel Company of Japan constructed its factory in Samcheok, Gangwon-do. Koregawa Steel changed its name to Samhwa Steel Mill after the 1945 Liberation. In 1993, POSCO purchased this facility and restored its original form. Then the company began its display on the outdoor exhibition area in POSCO Museum in 2003. It is the oldest furnace in South Korea, and the only remaining furnace today. Before the establishment of POSCO, this facility functioned as the only furnace in Korea, producing 20t of pig iron per day. The furnace is an industrial facility with high historical and industrial value that provides important data on Korea’s steelworks technology and history.