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FINANCIAL NEWS
Qatar Steel inks USD250m loan deal with two banks
05 Dec 2011
(MENAFN) Qatar Steel’s director and general manager, Ali bin Hasan Al-Muraikhi, said that the firm inked a USD250 million medium-term loan with a syndicate of two commercial banks, reported Arab News.
Al-Muraikhi added that under the subordinated loan facility agreement, one of the banks would provide USD150 million of the project cost, whereas the other would provide the rest.
He also said that Qatar Steel, a wholly owned subsidiary of Industries Qatar (IQ), would use the subordinated loan to build a new steel melt shop with a 1.1 MTA production capacity, whereas operations at the facility would be expected to start in 2013’s first quarter.
It is worth noting that Qatar Steel’s current annual output capacity is 2.4 million tons of DRI/HBI, 1.9 million tons of Molten Steel, 1.8 million tons of Steel reinforcement Bars and 0.3 MTPA of Wire Rod.
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