The capacity of the enterprise will be 800,000 tons of products per year

QazSpecSteel LLC plans to invest $587 million in the construction of a plant for the production of steel billets with a capacity of 800 thousand tons in Aktobe (Kazakhstan). reports about it.

Last week, the regional authorities signed a memorandum of understanding with the company as part of the Kazakhstan Global Investment Roundtable.

The terms of construction are not specified. At full capacity, 1.5 thousand people will work at the enterprise.

It is planned that the plant will use local resources of iron ore, ferroalloys, as well as fuel from Kazakhstan, which will allow to completely remove dependence on foreign suppliers of billets and rebar.

The project will provide Kazakh producers with blooms and billets for the production of rails, railway wheels, rebar for construction and structural steel. This will make it possible to reduce the import of billets and rebar by a total of $990 million per year and ensure the loading of Kazakh rolled steel producers with high-quality billets, reports the local authorities.

Also, the ArcelorMittal corporation plans to invest $1 billion in production facilities in Kazakhstan in the near future. Most of the funds will be directed to the modernization of ArcelorMittal Temirtau production. This was discussed in September at a meeting between the President of Kazakhstan Kasim-Zhomart Tokayev and the head of ArcelorMittal’s board Lakshmi Mittal.

As GMK Center reported earlier, Turkish producer of hot-rolled coils İçdaş Çelik Enerji Tersane ve Ulaşım Sanayi A.Ş. plans to invest 18.17 billion Turkish liras ($977 million) in increasing the capacity of its plants. This project has already been approved by the Ministry of Environment and Urbanization of Turkiye (OBOC).