Interpipe Announces Deal for an Electric Arc Furnace
14 February 2008
Interpipe, controlled by Ukrainian businessman Viktor Pinchuk, and Italian company Danieli will sign a contract to construct the largest Ukrainian electric arc furnace (EAF) shop for USD 600 mln. Andriy Gostik: The EAF shop will most likely be run by a separate legal entity Dniprostal, which was created last year by Nyzhnyodniprovsky Pipe (NITR: BUY) and NIKO Tube, Interpipe’s key assets. Construction is estimated to take about two years starting from the date the equipment is shipped for mounting. The shop will supply steel to primarily meet the needs of Nyzhnyodniprovaky Pipe and NIKO Tube. Last year, Interpipe’s management was planning the shop’s capacities at 1.3 mln of crude steel p.a.
