China’s Export and Credit Insurance Corporation (Sinosure) will support the transition of Liberty Dunaújváros to convert to low-emission technology to the tune of €1.3 billion ($1.4 billion), according to media reports.
To that purpose, Sinosure has signed a memorandum of understanding (MoU) with China’s CISDI Engineering, writes the Budapest Business Journal. CISDI was earlier contracted by Liberty to carry out the modernisation of the Hungarian mill (see Kallanish 16 May). The contract includes a 1.5 million tonnes/year capacity EAF installation as well as the secondary metallurgy and hot strip mill upgrade. These will allow the business to deliver high-value products for the automotive sector in Hungary, Liberty said.
The project from an early stage had the support of the Hungarian and Chinese governments, to be funded by Chinese banks led by CITIC Bank and backed by Sinosure, but the amount was not revealed thus far.
The announcement of the MoU was made during a visit by CISDI representatives to Liberty Dunaújváros’ steelworks, according to the local news reports. The officials reportedly consulted with experts of Switzerland’s NPT and Germany’s RCG on optimising systems at the base and building ancillary support for electricity, gas, water and steam.
Christian Koehl Germany
