Megasa resumes Portugal production

Portuguese long steel producer SN Seixal, part of Grupo Megasa, resumed activity last weekend after the forced stoppage of production on high energy costs, Kallanish learns.

Megasa suspended production at the SN Seixal and SN Maia plants on 5 March after it became economically unviable. The two facilities are the largest consumers of electricity and gas in Portugal.

The production shutdown is understood not to have affected the rolling lines, which continued to run normally using billet from stock.

The Seixal and Maia operations produce wire rod, rebar and welded mesh.

The worsening of the energy crisis caused by the war in Ukraine and the consequent strong impact on prices of electricity and natural gas have also led Megasa to suspend production in Spain. According to a media report, the steelmaker will resume activity at its Narón and Zaragoza plants by the end of this week.

Todor Kirkov Bulgaria