Liberty commits to $220 million Galati investment

Liberty Steel has committed to investing over €200 million ($220m) in its Galati steelworks to boost competitiveness, extend product range and support sales growth.

A sign of that investment in the former ArcelorMittal mill, which Liberty acquired in July, is the new cutting line commissioned last week, Liberty says. Following its acquisition of various ArcelorMittal plants in Europe, the UK-based firm now has a rolling capacity in excess of 18 million tonnes/year (see Kallanish 18 September).

Liberty Galati has a 3m t/y crude steel production capacity, selling to the construction, marine, oil, gas and wind energy sectors. This year production is foreseen at 2.1mt versus 1.7mt in 2018. The planned investment will take production over 3m t/y. Additional funds have also been set aside to fund significant strategic investments which are under development.

“We are committed to a programme of long-term investment in Romania, from making the Galati plant a beacon of strength and prosperity in the region to specific projects across our core sectors of aluminium, copper, energy and banking,” Sanjeev Gupta, executive chairman of Liberty parent company GFG, says in a note sent to Kallanish. “We look forward to working closely with the Prime Minister’s taskforce to help us further develop the plant and the economic wellbeing of its employees, local communities and Romania.”

Liberty Steel Continental Europe chief executive Jon Bolton adds: “Galati is a strategically located operation, with an excellent and highly skilled workforce in one of the fastest-growing economies in Europe.”

Liberty said last November it would likely relaunch one of Galati’s two idle blast furnaces. It would also consider the restart of the other idle BF or installation of an electric arc furnace that would use scrap as feedstock (see Kallanish passim). It said in addition that it will study starting production of auto sheet to supply Romania-based carmakers.

Liberty Steel commits 220 M€ in Galati plant .