ArcelorMittal S.A. : ArcelorMittal requests MoU for planned steel plant in
Keonjhar is not renewed; continues with projects in Jharkhand and Karnataka
Luxembourg, July 17^th, 2013 - ArcelorMittal has met today with the Government
of Odisha's Chief Secretary to inform him that the company has decided not to
progress with its planned construction of an integrated steel plant and a
captive power plant in the district of Keonjhar.
ArcelorMittal initially planned to construct a 12 million tonne integrated
steel plant in Keonjhar and signed a Memorandum of Understanding (MoU) with
the Government of Odisha in December 2006.
Since that date, ArcelorMittal has completed important milestones such as the
completion of a feasibility report, an environmental impact assessment study
and other relevant technical reports, as well as holding eight gram sabhas
(public hearings) and investing in a number of CSR projects.
However, unfortunately the project has faced significant external delays.
ArcelorMittal has not been able to acquire the requisite land for the steel
plant, nor has it been able to ensure captive iron ore security, which is a
necessary requirement for the project. Therefore, taking into account the
current economic climate, ArcelorMittal has concluded it will no longer be
pursuing its plans for a steel plant in Keonjhar at this stage.
This announcement does not affect ArcelorMittal's plan to pursue its two other
Indian projects in Jharkhand and Karnataka.
Vijay Bhatnagar, executive vice president and member of the management
committee, CEO of India and China: "Over the last seven years we have invested
considerable resources into this project; however, the delays relating to land
acquisition and allocation of captive iron ore blocks means this project is no
longer viable. Nevertheless, we will continue to pursue our other two
projects in Jharkhand and Karnataka, both of which are making steady
ArcelorMittal is the world's leading integrated steel and mining company, with
a presence in more than 60 countries.
ArcelorMittal is the leader in all major global steel markets, including
automotive, construction, household appliances and packaging, with leading R&D
and technology, as well as sizeable captive supplies of raw materials and
outstanding distribution networks. With an industrial presence in over 20
countries spanning four continents, the Company covers all of the key steel
markets, from emerging to mature.
Through its core values of sustainability, quality and leadership,
ArcelorMittal commits to operating in a responsible way with respect to the
health, safety and well-being of its employees, contractors and the
communities in which it operates. It is also committed to the sustainable
management of the environment. It takes a leading role in the industry's
efforts to develop breakthrough steelmaking technologies and is actively
researching and developing steel-based technologies and solutions that
contribute to combat climate change.
In 2012, ArcelorMittal had revenues of $84.2 billion and crude steel
production of 88.2million tonnes, representing approximately 6 percent of
world steel output.
ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam
(MT), Paris (MT), Luxembourg (MT) and on the Spanish stock exchanges of
Barcelona, Bilbao, Madrid and Valencia (MTS).
For more information about ArcelorMittal please visit: www.arcelormittal.com.
Contact information ArcelorMittal Investor Relations
Europe + 352 4792 3198
Americas +1 312 899 3985
Retail + 44203214 2417
SRI + 44 203 214 2854
Bonds/Credit + 33 171 92 10 26
Contact information ArcelorMittal Corporate
Phone: +352 4792 5000
ArcelorMittal Corporate Communications
Tobin Postma (Acting head of media relations) + 44 20 3214 2412
Laura Nutt +44 20 7543 1125
Martin Leeburn + 44 20 7379 5151
Sylvie Dumaine / Anne-Charlotte Creach + 33 1 5370 7470
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Source: ArcelorMittal S.A. via Thomson Reuters ONE
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