Aug 16 2004
Saudi Basic Industries Corporation (SABIC) has awarded a large-scale contract for the expansion of its hot-rolling steel mill to Voest Alpine Industrieanlagenbau. The expansion will take place at the Saudi Iron and Steel Company (HADEED) - SABIC’s wholly-owned metals affiliate – based at Al-Jubail, Saudi Arabia and will double SABIC’s flat steel production capacity from one million to two million mt/y. Completion is scheduled for the start of 2006.
The turnkey contract includes slab yard and coil yard expansion; a second reheating furnace; a sixth finishing stand; a second downcoiler; and skin pass mill automation system.
The expansion will cement SABIC’s position as the leading metals producer in the Middle East. Commenting on the announcement, Vice Chairman and Chief Executive Officer, Mohamed Al-Mady said: “This prestigious project is part of our plans to expand our operations and increase production capacity to meet the rapidly increasing domestic and global demand for our products”.
HADEED started production in 1983 with an initial annual production capacity of 800,000 metric tons. Since its formation, annual production capacity has increased, reaching 3,900,000 metric tons of finished products in 2003.
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