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News

2/12/2016 - Moody's

Outlook on Europe's steel sector turns negative as sinking prices eat profits

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Moody's Investors Service has changed its outlook for the European steel sector to negative as the sharp fall in steel prices weighs heavily on profitability such that it will take at least 18 months to return to levels close to those of 2014. However, Russian steelmakers' lower costs supported by rouble depreciation make them more resilient to steel price declines.

Source: Moody’s, London
AISTech 2016
2/11/2016 - Aperam

Full year and fourth quarter 2015 results

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Aperam announced results for the three month and full year periods ending December 31, 2015. Timoteo Di Maulo, CEO of Aperam, commented: "In 2015, Aperam has continued to improve its operating performance with the best yearly Ebitda over the last 5 years - excluding gains from electricity surplus. Aperam has also continued to strengthen its balance sheet and reinstated a dividend. This reinforces further our confidence on the contribution of the Leadership Journey and the Top Line strategy. Looking ahead, we continue to be cautious given the global economic uncertainty. However, we are confident in the resilience of Aperam and we remain focused on implementing our self-help strategy."

Source: Aperam, Luxembourg
2/10/2016 - ArcelorMittal

ArcelorMittal reduces net debt by US$4 billion

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ArcelorMittal announces a proposed capital raise of US$3.0 billion which, alongside the sale of its minority stake in Gestamp for approximately US$1 billion, would reduce pro forma net debt as of 31 December 2015 by US$4 billion to below US$12 billion. The Company separately announces a five-year strategic roadmap, the ArcelorMittal Action 2020 plan, which sets out improvement plans for each of its five business segments and aims to improve Ebitda and free cash flow performance.

Source: ArcelorMittal, Luxembourg
2/4/2016 - Outokumpu

Outokumpu divests its remaining share of the SKS

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Outokumpu and Lujiazui International Trust Co.Ltd (LTC) have agreed on a Put-and-Call-Option upon which LTC is entitled to acquire and Outokumpu is entitled to sell its remaining 5 % share in Shanghai Krupp Stainless Co., Ltd. (SKS).  The option will be exercised and the deal completed within the coming months, subject to regulatory approvals and other customary conditions.

Source: Outokumpu Oyj, Espoo
SKS factory. Photo: SKS
SKS factory. Photo: SKS
2/4/2016 - Iran’s Steel Industry

Construction of infrastructure and provision of a supply chain

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The Kish South Kaveh Steel Company (SKS) is one of the largest investments in the field of job creation and heavy industries. The projects, run by the company, have created about 1 000 direct and indirect jobs. Ali Dehaqin, the CEO of the SKS, has weighed that the company plays an important role in the future of the country’s steel industry, “The annual production of 55 million t has been envisaged in the outlook [for the steel industry] until 2025. Kaveh Pars Company would have a ten-percent share of the projected figure”, he added.

Source: Mostazafan Foundation, Tehran
2/3/2016 - Eurofer

Rebar anti-dumping measure “a drop in the Yellow Sea”

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The European Steel Association (Eurofer) welcomed the European Commission’s imposition of provisional anti-dumping measures on imports of Chinese High Fatigue Performance (HFP) Rebar, but questioned their effectiveness in actually deterring wider Chinese dumping. “The provisional measures – as low as 9% – cannot remedy the massive injury caused by Chinese HFP rebar import surges, which have captured 46% of the EU market from zero in less than two years”, said Axel Eggert, Director General of Eurofer.

Source: Eurofer, Brussels
2/2/2016 - World Steel Association

Regional Champions for the 10th steelChallenge

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The Regional Championship took place online for a 24-hour period on 20 January 2016. This year’s steelChallenge attracted 1 099 participants representing 42 countries. The tenth edition was the most engaging challenge ever with over 65% of participants registering a successful run. There were 34 073 attempts with the electric arc furnace steelmaking simulation with 724 people successfully completing at least one run of the simulation and a total of 7 824 successful runs completed.

Source: worldsteel, Brussels
2/1/2016 - Gerdau, Sumitomo Corporation and The Japan Steel Works

Joint venture in Brazil announced

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On January 27th, Gerdau announces its plans to form a joint venture with the Japanese companies Sumitomo Corporation and The Japan Steel Works (JSW) to serve Brazil's growing wind power industry. The project, which will require approval from anti-trust authorities, is expected to be located in Pindamonhangaba (São Paulo) and will supply parts for wind turbine towers starting in 2017. The initiative was made possible by Gerdau 2022, a project launched in 2015 that aims to boost the competitiveness of the company's entire operations guided by a long term strategic vision. Specific measure include streamlining internal operations and structures, modernizing the corporate culture, reassessing the potential profitability of assets and developing new business opportunities.

Source: Gerdau, Porto Alegre-RS
2/1/2016 - Tube 2016

In-Line Weld Inspection System for Large Tube and Pipes

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Xiris Automation Inc. is pleased to announce that it will release and display its new WI-3000 Weld Inspection System for Large Pipes at the upcoming Tube Duesseldorf fair, Booth 06-6J09, to be held April 4-8, 2016 at Messe Duesseldorf, Germany. The new WI-3000 laser based Inspection system has been exclusively created for larger and heavier wall pipes. Employing an all new redesigned sensor head with high resolution, high quality optics, the system is the larger version of our popular WI-2000 inspection system used on smaller tubes.

Source: Xiris Automation Inc., Burlington, Ontario
1/29/2016 - Spain

Acerinox Europe modernizes production equipment

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Acerinox Europe in Campo de Gibraltar, near Cadiz, Andalusia, plans the the acquisition of new equipment with the latest technology which will enable production at the factory to be optimized, product quality to be improved, costs to be minimized and environmental impact to be reduced. This includes the acquisition of an annealing and pickling (AP) line and a new cold-rolling mill, as well as civil engineering works and auxiliary equipment required for the operation of these large facilities.

Source: Acerinox, Madrid, Spain
1/29/2016 - Bécancour, Canada

New HBI plant in Quebec

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Société  Internationale  Métallique  (SIM)  is building a 2.0-million t/a hot briquetted iron (HBI) plant in the Bécancour Waterfront Industrial Park, a public-owned industrial park on the shores of the Saint-Lawrence River (Quebec); the site is a year-round deep water port and connected to major North American rail and road infrastructure. SIM has  chosen Midrex Technologies, Inc. and its construction licensee Primetals Technologies to furnish the equipment and oversee the technological aspects of the project.

Source: Primetals Technologies with Société Internationale Métallique and Midrex Technologies, Inc.
1/28/2016 - Despite muted fundamentals

Imports continued to target the EU steel market in 2015

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Steel imports continued to target the EU market despite still relatively weak demand, low domestic prices and the weak euro in the second half of 2015. Going forward, abundant global supply and suppliers fighting for tonnage fuels uncertainty in the market. The outlook for 2016 and 2017 is for a gradual further improvement in EU steel demand. Nevertheless EU mills fear for losing further market share in the EU and abroad.

Source: Eurofer, Brussels, Belgium
1/26/2016 - worldsteel

World crude steel output decreases by -2.8% in 2015

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World crude steel production reached 1 622.8 million t (Mt) for the year 2015, down by -2.8% compared to 2014. Crude steel production decreased in all regions except Oceania in 2015. Annual production for Asia was 1 113.8 Mt of crude steel in 2015, a decrease of -2.3% compared to 2014. China’s crude steel production in 2015 reached 803.8 Mt, down by -2.3% on 2014. China’s share of world crude steel production increased from 49.3% in 2014 to 49.5% in 2015. Japan produced 105.2 Mt in 2015, down by -5.0% compared to 2014. India’s crude steel production for 2015 was 89.6 Mt, up by 2.6% on 2014. South Korea produced 69.7 Mt of crude steel in 2015, a decrease of -2.6% compared to 2014.

Source: worldsteel, Brussels
1/22/2016 - The Global 100 list

Outotec again the world's 3rd most sustainable company

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Outotec has been ranked for the second time the world's third most sustainable company on the Global 100 Index of Corporate Knights, the Toronto-based media and investment advisory company. This is the fourth consecutive year Outotec is included in the index. Companies named to the Global 100 index are the top overall sustainability performers in their respective industrial sectors, leaders in transparency, in resource productivity and on a range of other social and governance indicators.

Source: Outotec Oyj, Espoo
1/20/2016 - Outokumpu

CFO Reinhard Florey to leave Outokumpu

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Outokumpu’s Chief Financial Officer (CFO) Reinhard Florey has decided to leave Outokumpu to take a role as CFO at OMV, an international oil and gas company based in Austria. Florey will start in his new position latest on August 1, 2016 and continues as the CFO of Outokumpu until then. Reinhard Florey has been the Outokumpu CFO since 2013, and before that he has held a number of executive roles at Outokumpu and the steel industry. Outokumpu has started the search for a new CFO.

Source: Outokumpu Oyj, Espoo