Salzgitter plans to become the exclusive owner of the Duisburg-based Hüttenwerke Krupp Mannesmann (HKM) plant by June, Salzgitter CEO Gunnar Grobler said during the annual results conference attended by Kallanisch.
Earlier this year, thyssenkrupp Steel and Salzgitter announced an agreement that also involves HKM's third co-owner, Vallurek.
Grobler notes that the negotiations are progressing positively, and although some permits from the antimonopoly authorities have yet to be received, he has no reason to expect that the process will last longer than May.
HKM produces slabs, but does not have a rolling mill. Groebler expects the plant to become an important supplier of slabs to the European market in order to fill the shortage caused by the cessation of supplies from Russia. He notes that HKM slabs will also be used to produce steel for the defense sector, where Salzgitter is increasing its operations.
As for HKM's technical re-equipment plan, Grobler says it is projected to be implemented within three years. "This is an ambitious timetable," he says, adding that it is based on a three-year government subsidy plan. According to him, negotiations between HKM and technical suppliers are currently ongoing.
Meanwhile, in May, HKM will launch an interim renovation of one of its blast furnaces, which will last all summer.
Author: Christian Kel Germany
Kallanish.com
