ArcelorMittal Poland Announces Four New Investment Projects
09/10/2012 - ArcelorMittal Poland has invested €58m in four projects, including a major new production line for Dąbrowa Górnicza.
ArcelorMittal Poland has invested €58m in four projects, including a major new production line for Dąbrowa Górnicza. The plan to produce 120-meter rails – a strategically important project for ArcelorMittal - was reapproved by the investment allocation committee in July, after the project was put on hold in 2011 due to capital investment limitations and the difficult economic situation in Europe.
"We are currently producing 30-meter rails which have to be welded several times until they reach the required length. This project is absolutely crucial for sustaining and strengthening our market share and the completion date has been scheduled for December 2013" said Patrick Deforche, chief technology officer of ArcelorMittal business division east.
A total of €36m is being invested in the rail project, of which €4m was spent in 2011, mainly on construction in the heavy section mill where the rail line will be installed.
Also in Dąbrowa Górnicza, the basic oxygen furnace No. 2 will be revamped. The works are scheduled to end in late 2013, at a cost of around €14m, and will boost efficiency in the steel plant.
In Świętochłowice, the hot dip galvanized (HDG) line will also be revamped, with the line being given an electrical overhaul to increase its reliability and adapt to new European standards.
"The situation now is that we’re losing on average 20,000-25000 kilotonnes per year due to various technical problems. Our goal for the HDG line is to regain its full capacity of 332,000 kilotonnes, once the modernization works are finished in 2013" said Deforche.
Both the blast furnace and HDG project aim to increase the safety, sustainability and reliability of the installations.
The fourth investment is the creation of a sheet piles service center that together with the rail project, focuses specifically on growth with the aim of strengthening ArcelorMittal Poland’s position both within the group and in the external market.
The service center, which will have an annual capacity of 85,000 tonnes, will be commissioned next year and will provide a handling system for pairing, crimping and cutting sheet piles. The decision to create it was based on high market demand for new types of piles.
"The board of directors of ArcelorMittal Poland is committed to continuing our strategic investment plan because we strongly believe that it will further strengthen our position in the market. The fact that the IAC approved these four projects in a very difficult economic context clearly shows the confidence in our Polish operations as key assets in the group. It should therefore be seen as a strong motivator for all our teams to continue the good work" said Manfred Van Vlierberghe, CEO of ArcelorMittal Poland.