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Danieli’s HDGL 2 Commissioned at Hoa Phat in Vietnam

Danieli and Hoa Phat Steel Sheet successfully produced the first coil from Hot Dip Galvanizing Line #2 at the Pho Noi A facility. GL#2 is part of the cold-mill complex that will include a push-pull pickling line, two single-stand cold mills and two galvanizing lines. GL#2 will produce 350,000 tonnes per year of high-quality GI and GL coils for construction and home appliance markets in Southeast Asia. The finished material has widths from 750 to 1,250 mm and thicknesses from 0.25 to 3.0 mm.

The highest-quality surfaces are achieved by Danieli Kohler X-JET automatic air-knife lip cleaners and roll scrapers, with the flexibility to process materials from thin-gauge cold-rolled to thick-gauge hot-rolled and pickled strip.

Danieli Automation electrical and process control systems oversee the operations.

The Hoa Phat installation, was supplied as a full technology package, including Danieli Centro Combustion process and furnaces.

Source : Strategic Research Institute
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SC Sets September Deadline for Report on Mining in Odisha

ET reported that India’s Supreme Court has granted yet another extension, until the end of September, to a committee of former judges tasked with investigating alleged illegal transfer of iron ore mines in Odisha. The apex court had constituted the committee of former SC judges on November 22, 2017. It was initially given 12-week deadline, which was then extended by ten weeks. On Friday, senior advocate Prashant Bhushan, representing NGO Common Cause that had petitioned the court about illegal mining in Odisha, reminded a bench of the pending report that could decide the fate of some of India’s biggest private iron ore miners. The bench consisting of Chief Justice Ranjan Gogoi and Justice Deepak Gupta then asked the two-member committee of Justices GS Singhvi and Anil R Dave to submit their report before the end of September

In an order on August 2, 2017, the SC’s green bench hearing allegations of widespread illegal mining in Odisha had ruled that all violations of environmental and forest laws, and not just the mining law, amounted to illegal mining. That resulted in 131 iron ore and manganese miners, including those being investigated by the Singhvi-Dave committee, having to pay compensation totalling nearly INR 20,000 crore.

Source : ET
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Arcelor wil obligaties vervroegd aflossen

Gepubliceerd op 30 jul 2019 om 17:40 | Views: 68

ArcelorMittal 17:29
14,57 -0,49 (-3,28%)

LUXEMBURG (AFN) - Staalconcern ArcelorMittal wil voor bijna 1 miljard dollar aan obligaties vervroegd gaan aflossen. Dit heeft het aan de beurs in Amsterdam genoteerde bedrijf laten weten.

Het gaat om een lening waarop nog 324 miljoen dollar uitstaat, die zou lopen tot 1 juni volgend jaar. Ook betreft het een lening waarop nog 626 miljoen dollar uitstaat, die zou lopen tot 5 augustus volgend jaar. Ze worden nu al op 30 augustus terugbetaald.
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Winstgroei Aperam schiet tekort

FONDS KOERS VERSCHIL VERSCHIL % BEURS
Aperam
22,43 0,00 0,00 % Euronext Amsterdam

(ABM FN-Dow Jones) Aperam heeft in het tweede kwartaal, conform de eigen verwachting, meer winst geboekt, maar bleef wel achter op de analistenverwachtingen. Dit bleek woensdag uit de kwartaalcijfers van de fabrikant van roestvast staal.

De omzet daalde op kwartaalbasis van 1.178 miljoen naar 1.090 miljoen euro, maar de EBITDA liep op van 81 miljoen naar 95 miljoen euro. De consensus lag evenwel op 102 miljoen euro.

Jefferies rekende vooraf op een EBITDA van 105 miljoen euro. Daarmee zou de winstgevendheid ten opzichte van het eerste kwartaal met 30 procent zijn toegenomen, mede dankzij kalendereffecten, aldus de analisten.

De nettowinst kwam uit op 57 miljoen euro. Dat was in de eerste drie maanden van dit jaar 25 miljoen euro.

De nettoschuldpositie liep op. De schuld bedroeg 176 miljoen euro, tegenover 106 miljoen euro eind maart.

Outlook

Aperam rekent voor het lopende derde kwartaal op een daling van de EBITDA als gevolg van seizoenseffecten in Europa, stijgende importen en lage prijzen.

De schuld zal op een lag niveau blijven, denkt Aperam.

Voor heel 2019 rekent de analistenconsensus op een EBITDA van 393 miljoen euro.

Door: ABM Financial News.
info@abmfn.nl
Redactie: +31(0)20 26 28 999

© Copyright ABM Financial News B.V. All rights reserved.
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Lagere omzet en winst voor Aperam

Gepubliceerd op 31 jul 2019 om 07:26 | Views: 156

LUXEMBURG (AFN) - Roestvrijstaalbedrijf Aperam heeft in het tweede kwartaal een lagere omzet en winst in de boeken gezet dan een jaar eerder. Het bedrijf heeft nog altijd last van ongunstige marktomstandigheden, met name door dumping van goedkoop staal in Europa. Ten opzichte van het eerste kwartaal zag Aperam zijn winst wel stijgen.

Topman Timoteo Di Maulo zegt in een verklaring dat maatregelen van de Europese Commissie tot nog toe weinig uithalen tegen "extreme druk op de prijzen". Zo zijn importquota's verhoogd, terwijl volgens hem de vraag afneemt. Daarnaast steekt het Di Maulo dat er geen maatregelen zijn genomen tegen staal dat vanuit Indonesië in Europa terechtkomt.

In het voorbije kwartaal verscheepte Aperam 465 kiloton staal, tegenover 508 kiloton een jaar eerder. De omzet daalde tot iets minder dan 1,1 miljard euro, terwijl dat in dezelfde periode vorig jaar ruim 1,2 miljard euro was. Het bedrijfsresultaat (ebitda) daalde op jaarbasis met 55 miljoen euro tot 95 miljoen euro. Onder de streep resteerde 57 miljoen euro, waar dat in het tweede kwartaal van vorig jaar 80 miljoen euro was.

Voor het lopende, derde kwartaal verwacht Aperam dat het bedrijfsresultaat lager uitvalt dan in de voorbije meetperiode. Dat komt volgens het bedrijf deels door seizoensinvloeden, maar ook door de verdere toevloed van geïmporteerd staal, een dalende vraag en lage prijzen op de wereldwijde staalmarkt.
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'Cijfers Aperam beneden verwachting'

Gepubliceerd op 31 jul 2019 om 09:27 | Views: 273

Aperam 09:21
21,90 -0,53 (-2,36%)

AMSTERDAM (AFN) - Roestvrijstaalbedrijf Aperam heeft in het tweede kwartaal minder goed gepresteerd dan kenners in doorsnee hadden verwacht. Daar staat tegenover dat staalprijzen gedeeltelijk opleefden en Aperam extra kostenbesparingen wist door te voeren, schrijven analisten van Jefferies.

De marktvorsers stippen verder aan dat de winst per aandeel hoger is dan verwacht, dankzij een belastingmeevaller. Jefferies hanteert een buy-advies en koersdoel van 31 euro voor Aperam.

Het aandeel stond woensdag omstreeks 09.15 uur 1,8 procent lager op 22,03 euro.
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Beursblik: winst ArcelorMittal halveert vermoedelijk

FONDS KOERS VERSCHIL VERSCHIL % BEURS
ArcelorMittal
14,772 0,146 1,00 % Euronext Amsterdam

(ABM FN-Dow Jones) ArcelorMittal heeft in het tweede kwartaal van 2019 de winst vermoedelijk grofweg zien halveren. Dit verwachten analisten die bijdroegen aan de bedrijfsconsensus in aanloop naar de kwartaalcijfers op donderdag.

Gemiddeld rekenen analisten op een EBITDA van 1.529 miljoen dollar. UBS merkte op dat dit het laagste niveau is sinds het eerste kwartaal van 2016. In het tweede kwartaal van 2018 was dit nog 3.073 miljoen dollar en in het eerste kwartaal van dit jaar kwam het bedrijfsresultaat uit op 1.652 miljoen dollar. Ook voor het derde kwartaal rekenen de analisten van UBS op een daling van de EBITDA.

Analisten van Jefferies verwachten margedruk in de staalindustrie door langdurig hoge prijzen voor ijzererts en een teleurstellende vraag naar staal. Weliswaar denken de analisten dat het ergste achter de rug is op het gebied van de staalprijzen, maar een scherp herstel deze zomer zit er waarschijnlijk niet in. De analisten rekenen op gematigd margeherstel in de tweede jaarhelft.

ArcelorMittal en sectorgenoten schroefden recent de capaciteit voor vlakstaal in Europa met 7 procent terug, in reactie op de tegenvallende vraag. Later nam de staalreus aanvullende maatregelen om de productie terug te brengen. Ook heeft het bedrijf te kampen met concurrentie van goedkoop importstaal en hogere kosten voor energie en CO2-uitstoot.

Analisten van Macquarie noemde dan weer een grootschalige handelsoorlog als een bedreiging voor ArcelorMittal. Maar positief is dat de balans van de staalreus veel beter is dan in voorgaande crises.

Outlook

De EBITDA zal in heel 2019 op 6,1 miljard dollar uitkomen, denkt UBS. Dat is 15 procent minder dan aanvankelijk voorzien en 41 procent minder dan de 10,3 miljard dollar in 2018. Dit is het gevolg van lagere prijzen, een zwakkere vraag en hoger inkoopkosten.

ArcelorMittal mikt zelf op een lichte stijging van de mondiale vraag naar staal. De staalreus voorziet een toename van 1,0 procent tot 1,5 procent.

De netto-rentelasten voor dit jaar komen naar verwachting nu uit op circa 600 miljoen dollar tegen een eerdere raming van 650 miljoen dollar, vooral als gevolg van de toepassing van IFRS 16. ArcelorMittal heeft zelf geen verwachting afgegeven voor de EBITDA dit jaar.

Jefferies hanteert een koopadvies op ArcelorMittal met een koersdoel van 24,00 euro, terwijl Macquarie een Outperform advies heeft met een koersdoel van 20,00 euro. UBS is minder optimistisch en heeft een Neutraal advies met een koersdoel van 16,00 euro.

Het aandeel ArcelorMittal koerste woensdagochtend 1,0 procent hoger op 14,78 euro.

Door: ABM Financial News.
info@abmfn.nl
Redactie: +31(0)20 26 28 999

© Copyright ABM Financial News B.V. All rights reserved.
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Chinese Steel Makers Cost Up by USD 35 in H1 of 2019 due to High Iron Ore Prices - CISA

China Iron and Steel Industry Association said that while China's steel output surged by 9.9% YoY to 492 million tonne in the first half of the year, higher material costs have weighed upon profit of the sector. Total profit for CISA members stood at about CNY 106.5 billion (USD 15.5 billion) in H1 of 2019 down by 20.5% YoY. According to CISA “Steel manufacturing cost in H1 had increased by CNY 240 (USD 35) per tonne, due to surging prices of imported iron ores.

CISA has warned about the rapid expansion of crude steel output without improvements in efficiency, which may trigger renewed oversupply in the sector.

Source : Xinhua
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China to Unveil Guideline on Improving Steelmaking Efficiency - MIIT

An official of Ministry of Industry and Information Technology during a meeting on 29th July said that China will unveil a guideline to improve the efficiency and shorten the process of steelmaking. Mr Wang Wei, director of MIIT's department of the raw materials industry, said that “The steel industry should continue to deepen supply side structural reform and promote the high quality development of the industry in accordance with the requirements of policy of consolidating, strengthening & upgrading, and unimpeded."

He also said "As China's steel scrap resources move to a phase of high recovery and the reform of electric power system continues to advance, developing electric furnace steelmaking will be an essential part of the restructuring of the steel industry.”

Steel scrap is the green material of the steel industry, as well as the sole substitute for iron ore. Producing one tonne of steel with steel scrap saves 1.6 tonnes of iron ore, 0.35 tonnes of standard coal and reduces 1.6 tonnes of carbon dioxide emission. As raw materials of substandard steel and steel scrap have been scarce in the past, it came with a high pricetag. Enterprises had to adopt a long steelmaking process with iron ore being the raw material. However, steel scrap consumption surged as substandard steel was phased out and the prices of import iron ore have increased sharply over the past two years.

Source : Strategic Research Institute
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JSPL Successfully Executed Supply of 126604 Tonnes of Rails to Indian Railways

JSPL has successfully executed the first-ever Rail order to Indian Railways on 29th July 2019. JSPL has supplied 126604 tonnes of long rails to Indian Railways in record time and far ahead of schedule. Out of this total quantity, JSPL supplied 97,400 tonnes of long rails on 22nd April 2019, in record time and four months ahead of schedule. In July 2018, JSPL had bagged the first-ever global tender for supply of rails to Indian Railways, which saw bidding by eight leading players amongst which were the world's seven top-most manufacturers of rails. The total value of the contract was at INR 732 crores.

In addition to long rails orders from Indian Railways, JSPL is also expecting orders of a minimum volume of 200000 tonnes per annum of 13/26 metre rails from Rail Vikas Nigam Limited and IRCON International Limited.

Recently, JSPL won an order from RVNL to supply 89,042 tonnes of UIC 60 kg IRS T-12 880-grade 13-metre rails for RVNL's upcoming projects. The order is valued at around INR 665 crores. RVNL has sent the LOA for the same to JSPL on May 8, 2019.

Source : Strategic Research Institute
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Mr Promod Mittal & 2 Others Get Bail in Bosnia

Agence France-Presse reported that Indian steel tycoon Mr Pramod Mittal was released Tuesday, a week after his arrest in a Bosnian fraud probe. Two other company officials, general manager Mr Paramesh Bhattacharyya and another member of the supervisory board, Mr Razib Dash, were also arrested. Prosecutor Cazim Serhatlic told AFP “A court in Tuzla, in the northeast on Tuesday annulled the provisional detention order and all three suspects have been released.”

Mr Serhatlic said “They had been detained for a month in view of the flight risk, repetition of criminal acts and breach of public order. Bail for Mittal was set at one million euros and 250,000 euros for the other two Indians. All three were forbidden to hold any senior positions at GIKIL. An insurance" of 11 million euros was also paid into a special account and had to remain there until the end of the proceedings.”

Mr Pramod Mittal was caught up in the inquiry following the suspicious transfer of 21 million Bosnian marks from the bank account of a coking plant between 2006 and 2015.

He was head of the supervisory board of GIKIL, which operates a coking plant in the northeastern Bosnian town of Lukavac. The company was founded in 2003 and is co-managed by Pramod Mittal's Global Steel Holdings and a local public company KHK. In operation since the 1950s, the coking plant employs around 1,000 people.

Source : Agence France-Presse
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Mr Alonso Ancira of AHMSA Accuses Mexican President of Political Persecution

El Universa reported that Mr Alonso Ancira owner of Altos Hornos de México, who was arrested in Spain last May and faces extradition to Mexico, said that he is the victim of political persecution by President Mr López Obrador. He appeared before a Spanish judge on Tuesday, where he expressed his faith in the Spanish justice system and his refusal to be extradited to Mexico. In a conversation with reporters after the hearing, Ancira reaffirmed his innocence and said that López Obrador is investigating Altos Hornos for political purposes. He told “The accusation has no legal ends, it has political ends, and when politics gets involved, justice goes out the window. I don’t understand why he attacked my business. He’s hurt thousands of workers and he’s putting sources of employment at risk.”

Mr Ancira, who is accused of bribery and money laundering related to the alleged overpayment by state-owned Pemex for fertilizer plants owned by Altos Hornos, offered to buy the plants back from the government. He said “Return them to me, if you’re against it, return them. It was a transaction that involved banks and international regulators. We’re not talking about buying oranges, dozens of people were involved, and that’s proven. If you don’t want them, give them back to me, and give me some time and I’ll pay everything back.”

Ancira was arrested by Spanish police in an airport in Mallorca in late May, based on an international arrest warrant. After spending a month in a Spanish jail, he posted bail of 1 million euros and was released after surrendering his passport and agreeing to appear before the judge every two days. In September, Ancira’s case will be transferred to another court, which has the power to extradite him to Mexico. The proceedings will last several months.

Source : El Universal
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Severstal Distribution increased Sales to 1.3 Million Tonnes in H1 of 2019

The Severstal Distribution group of companies in the first half of 2019 increased sales of steel products by 13% compared to the same period in 2018, shipping 1.3 million tons of steel products to consumers. In the first half of 2019, through the distribution network, 22% of the rolled metal products of the Severstal Russian Steel division were sold. JSC Severstal Distribution has increased the supply of metal products to Russia by more than 25% to 550 thousand tons of metal products.

The sales volume of SIA “Severstal Distribution” to the countries of Northern, Central and Eastern Europe in the first half of the year increased by 9% compared with the same period last year and exceeded 650 thousand tons. At the same time, the production unit in Riga significantly increased the processing volume, reaching a record level of sales of finished products - 120 thousand tons.

Source : Strategic Research Institute
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Cold Rolled Stainless Steel Dumping Continues in Taiwan - ITC

Taipei Times reported that a probe by the Taiwan’s Ministry of Economic Affairs’ International Trade Commission into alleged anti dumping of cold-rolled stainless steel products from China and South Korea has found that damage to the local industry may continue or reoccur due to the suspension of anti-dumping duties. The probe found that with duties ranging from 26.53% to 38.11% on such products from 2013 to last year, the volume of cheap imports was lower, while the market share of locally made cold-rolled stainless steel products was slightly higher. It said that “However, due to shrinking domestic demand and large fluctuations in nickel prices in recent years, domestic shipments have not grown and local companies reported losses sometimes. The overall industry is still in an unstable state of operation.”

The Commission said that “At present, there is a serious glut in China and South Korea. They are still developing foreign markets and have not given up the export markets, despite the threat of remedy measures.”

The commission warned that any suspension of anti-dumping duties on Chinese and South Korean products would likely see firms in the two resume dumping in Taiwan amid the US-China trade dispute, which has seen restrictions placed on steel trade.

The commission said it would send the results of its probe to the finance ministry for further consideration.

The investigation came after the five-year duties on selected cold-rolled stainless steel products, including steel coils and steel plates, from China and South Korea ended last year.

Source : Taipei Times
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Hyundai Steel Q2 Net Profit Dips 73% YoY

South Korea’s No 2 steelmaker Hyundai Steel Co said that its second-quarter net profit plunged due to high raw material costs and sluggish earnings from overseas subsidiaries. Net profit reached KWR 51.1 billion (USD 43 million) in the April-June period on a consolidated basis, down 73.1 percent from a profit of KWR 190 billion a year earlier. It posted a record KWR 5.5 trillion in sales in the second quarter, but operating profit dipped 38.1 percent on-year to KWR 232.6 billion in the same period. Hyundai Steel said a rise in raw material costs, mediocre earnings from its affiliates and inventory losses, led the decline in the bottom line.

The company said it expects to see improved earnings in the second half, with an anticipated rise in demand for automobile sheets and other key products.

Meanwhile, Hyundai Steel announced that it will invest 100 billion won to upgrade its steel rolling facilities, which will increase its annual output by 140,000 tonnes. The company said it will also spend 58 billion won to build a new hot stamping plant in the Czech Republic, with commercial operation scheduled to start in 2021.

Source : Strategic Research Institute
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RINL Recognizes Performers under Project Parivartan

RINL Visakhapatnam Steel Plant launched an initiative called Project Parivartan recently, aiming at enhancing the performance and efficiency of the organization to bring about a change for continual and sustainable growth. The project is primarily a Transformation initiative for the employees towards achieving a turnaround. A communication session was organized related to the progress of the project Parivartan. Mr PK Rath CMD RINL called upon the employees to come up with innovative ideas to enhance operational efficiency, thereby contributing to improve the bottom-line. He appealed to the employees to continuously focus on critical areas to bring positive change and emerge stronger as a quality steel maker in the country. Sri Rath distributed awards to various departments for delivering improvements in various projects taken up as part of the project Parivartan.

Mr Raychaudhury, Director (Commercial & Projects I/C), observed that the project mainly aimed to harness the potential of RINL collective in bringing about change in the organization for a profitable growth. RINL is adapting to the changes to make the Company vibrant on a continuous basis to strengthen the financial health and systems, he added.

The Project Parivartan is a 14 month transformation journey for achieving desired objectives/results based on four aspects i.e “ Bottom up Planning, Turnaround Implementation, Performance Management and Change Management” aiming at long term sustainable improvement of RINL.

Source : Strategic Research Institute
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South Korea to Push for Sanctions on US in OCTG Steel Pipes Case

Reuters reported that a World Trade Organization meeting showed that South Korea plans to push for trade sanctions against the United States in a dispute over tariffs on steel pipes. South Korea has put the request for sanctions on the WTO agenda for Aug. 9, but the United States is likely to contest that request, triggering a further round of legal wrangling.

South Korea went to the WTO in 2014 to challenge US tariffs levied on oil country tubular goods.US had said its tariffs aimed to stop South Korea exporting the product at unfairly cheap prices. After South Korea won a partial victory at the WTO, the United States had until July 12 to comply with that ruling.

Source : Reuters
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Schuler Strengthens International Sites & Reduces Capacities in Germany

The Executive Board of Schuler AG has adopted a program of measures aimed at adapting operating capacities in Germany to the changed competitive conditions and increased pressure on costs. Its objective is to improve the utilization of growth opportunities by strengthening international sites and expanding the product portfolio in line with market needs. At the same time, a sustainable perspective will be created for the remaining business activities in Germany. By improving profitability, the concept will also strengthen the scope for technological innovations and the systematic digitalization of the Schuler Group.

Schuler will now discuss the implementation of the future concept with worker representatives. The main reason for the adaptation measures is that demand for fully automated press lines, mechanical presses, servo technology and forging from customers in the automotive, industrial and hydraulic sectors has been steadily shifting away from Germany and Europe in recent years – and toward Asia in particular. This trend is set to continue across all customer groups. For example, Schuler expects that around 80% of press line orders will come from the foreign production facilities of car manufacturers in the future. The relevant cost, tariff and foreign exchange trend for Schuler’s domestic sites in Germany means there is no perspective for this growing international demand to be served competitively from Germany.

In detail, the plan is to close new machine production at the Göppingen facility. Field service and on-site assembly will stay in Göppingen. Göppingen will also remain the Schuler Group’s head office with the corresponding corporate functions and an important location for research and development, innovation, engineering and Service.

In addition to Göppingen, Schuler will also reduce capacities for manufacturing, on-site assembly and in-house assembly in Erfurt and other German sites. The reasons are the stronger use of existing plants in China and Brazil, as well as a general reduction in vertical integration across all divisions. At the same time, there will be a significant increase in value added by Schuler’s facilities in China – especially in business with automotive and industry customers.

Production in Brazil will also be strengthened and the hydraulic business expanded. Equally, Schuler’s global localization strategy means that customers in Europe will continue to be served from Germany.

The improvements in Schuler’s competitive position targeted by the future concept will be flanked by significant savings in the Group’s administrative, selling and general expenses. This applies to all sites and divisions in Germany. All in all, the number of jobs in Germany will decline by around 500 as a result of the future concept. At around 350 jobs, production will account for the overwhelming share of this reduction.

Source : Strategic Research Institute
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ArcelorMittal Kryvyi Rih Presents Stepnoy-2 Investment Project

ArcelorMittal Kryvyi Rih presented at the public hearings a report on the environmental impact assessment of the Stepnoi-2 heap investment project. It assumes the storage of an insignificant amount of rock overburden and the total volume of oxidized ore, which, along with magnetite, is mined in open pit No 3. For oxidized quartzites, this will be temporary storage - after the development of technologies and the introduction of processing facilities, this iron ore raw material will be used to produce concentrate. At the end of last year, the State Service for Geology and Mineral Resources of Ukraine issued ArcelorMittal Kryvyi Rih a special permit until 2038 for the processing of oxidized ore.

“Stepnoy-2” is necessary, because the possibilities of the present storage sites for oxidized ore are nearing completion. First of all - on the eastern side of the quarry number 3 (auto dump number 4). But the project is also important from an environmental point of view. First, Stepnoy-2 will be located near open pit No. 3 and transport communications, and secondly, at a considerable distance from the nearest residential developments. The nearest sparsely populated villages and districts are from 1.5 to 4.5 kilometers. Plus, they plan to build a new object on unproductive lands, which is confirmed by engineering and geological studies.

The new facility will also be equipped with a hydroprotection system: a highland canal, a culvert, a trench drainage, storage tanks, a network of wells for monitoring the groundwater level. Capacities for collecting drainage water will allow it to be used for dust suppression on the technological roads of the enterprise and the dump itself.

Source : Strategic Research Institute
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GMS Market Commentary on Shipbreaking in Turkey in Week 30 - GREATER CHANCES?

As the subcontinent markets continue to dwindle, the Turkish market invariably increases its chances at acquiring tonnage. Making matters more optimistic are local steel plate prices, that firmed marginally towards USD 295/MT, whilst the Lira remains relatively steady, bouncing around the TRY 5.6X mark against the US Dollar. Yet, the market will expectantly suffer the ongoing tonnage drought, not only because subcontinent markets are still considerably ahead, but the firming freight markets are ensuring that a marginal number of vessels remain available for recycling.

As such, even though the opportunities (based on the diminishing price differential with the subcontinent markets) to acquire tonnage seem greater, the general unavailability of tonnage will continue to make things challenging for Turkish Recyclers.

Source : Strategic Research Institute
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