Steel production to return to Diósgyőr
Steel manufacturing to return to Diósgyőr: a small steel works and a rolling mill will start production at Diósgyőr Industrial Park in Q2 2016.
On behalf of the investor of the Miskolc Mini Mill project, Aksam Barakat said on Wednesday at a press conference in Miskolc that the investment will cost €60 million, while the new plant will employ 300–350 people directly and 500 people indirectly.
The Syrian-born Slovak businessman said the new steel mill will line up the latest technologies, and operates with lower energy consumption and CO2 emissions than traditional steel works.
The plant's annual capacity will amount to 320 tons of steel for both the Hungarian and international markets.
Akasm Barakat said while there has been a delay in construction works, they will be able to keep to the schedule. 80 percent of the technology has been installed, the melting line will be supplied by Italy-based Danieli Ltd., while the rolls were delivered by Germaksan Ltd. The project is managed by Košice-based Hutny Projekt Kosice.
For the €60 million investment a €35 million loan is provided by Eximbank, while the rest is financed by the investor's own resources, the Barakat said, adding that they did not request support from the government.
