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FINANCIAL NEWS
Qatar Steel acquires 20% stake in Saudi firm
11 Apr 2010
(MENAFN) The General Manager of Qatar Steel said that the company has become a strategic partner in South Steel Company by picking up a 20 percent stake in Saudi Arabia’s South Steel Company, Gulf Times reported.
He pointed out that Qatar Steel will provide South Steel Company with technical support and supply the plant with sponge iron, which is a key raw material for the manufacture of steel.
The investments in the first phase, which is being executed at Jazan Economic City for the production of steel blocks and steel bars, amount to $373 million, he said.
The production is scheduled to start by mid-2011 and will meet the shortage in the local markets. The company will primarily cater to the requirements of the markets in the Southern Province and the surplus will be sold in other Saudi provinces as well as in Yemen and other neighboring countries.
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