ArcelorMittal chief executive officer Lakshmi Mittal is
scheduled to sign over a controlling stake in its Algerian
assets to the national government on Oct. 5, a source close to
the company told AMM sister publication Steel
The sale of the
21-percent stake to state-owned producer Sider will make the
government the majority stakeholder of the Annaba steelmaking
assets and the two Tebessa iron ore mines at Ouenza and
As ArcelorMitttal will
now be a minority shareholder at 49 percent, the Algerian
business will no longer be included in the companys
financial results, the source said, although ArcelorMittal will
continue to manage day-to-day operations.
Just 15 percent of
domestic Algerian demand is being met by local producers, one
of the key drivers behind the decision to double crude steel
production at the Annaba steel plant at El Hadjar, Steel
First has learned.
The Annaba plant is on
track to produce 1 million tonnes this year. ArcelorMittal
plans to increase annual production to 2.2 million tonnes by
A version of this article was first published by AMM sister
publication Steel First.