Ezz Steel is planning “to invest $1 billion to build two steel plants in the country once the government pushes through a stimulus package to boost spending on large infrastructure projects, a firm official said,” reports Reuters.
“Kamel Galal, the company’s investor relations manager, told Reuters that his firm was planning to build the plants in Ain el-Sokhna, a region near the strategic Suez Canal.”
“He did not give a time frame for the projects. One would be a direct reduced iron factory with an annual capacity of 1.85 million tonnes and the second a flat steel plant with a capacity of 1.2 million tones.”
“We already have the land and the licences for two brand new factories,” he said.
Following two days of increases on the LME, the steel billet cash price dropped by 2.3 percent to end at $215.00 per metric ton on Friday, October 25. Also on the LME, the 3-month price of steel billet remained essentially flat at $230.00 per metric ton.
Chinese steel prices were flat for the day. The price of iron ore 58% fines from India were range bound. The price of Chinese HRC remained steady. For the fifth consecutive day, the price of Chinese coking coal held flat.
The 3-month price of the US HRC futures contract saw little movement last Friday, closing out around $650.00 per short ton. The US HRC futures contract spot price remained essentially flat at $651.00 per short ton.