Renewal of partnership agreement with ArcelorMittal
ALGIERS - Algerian government has given the green light to the continuation of the partnership agreement linking it to the Steel giant ArcelorMittal, said Thursday the Algerian Minister of Industry, Small Business and Investment Promotion Mohamed Benmeradi.
- "ArcelorMital came at a time when he must decide to make an additional investment. As we are part of the company, the state decided to continue the investment as it is a very important production for the national economy," said the minister on the sidelines of a session of oral questions in the Senate.
- ArcelorMittal owns 70% stake in the steel complex at El-Hadjar, in the region of Annaba (600 km east of Algiers) and the Algerian public Sider Group the remaining 30%.
- This steel complex, owned by the Algerian state, was purchased at 70% in October 2001 by the Indian Ispat, of Mittal group.
- The two sides then signed an investment agreement and partnership for a period of 10 years, said Thursday the general secretary of the union of the company's plant Smain Kouadria.
- The new agreement must be signed in mid-October, he said.
- "Since this is the only company that produces steel, we plan to make future investments in the steel industry, although investment in this field requires at least 4-5 years time," Benmeradi said.
- The complex of El Hadjar which currently employs some 7,200 workers has a production capability of 2 million tonnes of liquid steel per year.
- The total amount of the investment program would require approximately 500 million euros over four years (2011-2015), said Kouadria.
- Ennaharonline/ M. O.