Posted on 09 May 2023
Oman-headquartered re-roller Al Jazeera Steel (AJS) is setting up a new medium sections mill with 450,000 tonnes/year capacity at Khalifa Economic Zone Abu Dhabi (Kezad), United Arab Emirates. The unit will also be capable of producing rails, the firm says.
Following approval from shareholders at the annual general meeting, the registration of the new subsidiary company in UAE has been completed and land allocation granted in Kezad, according to a bourse filing seen by Kallanish.
Italy-based Pomini LRM (Long Rolling Mills) will build the new mill. AJS joint owner Sheikah Amal Bahwan signed the Principle Commercial Agreement with Pomini's chief operation officer, Alberto Lainati. Jazeera chief executive Venkat An and Pomini chief executive Ernesto Bottone meanwhile signed the detailed Techno Commercial Agreement.
"The new mill will be the Gulf Cooperation Council's first rolling mill capable of producing rails and is expected to commence commercial production in the first quarter of 2025,” Venkat An tells Kallanish.
AJS posted 14% on-year sales growth in the first quarter to 116,183 tonnes, while production surged 17% to 113,966t (see Kallanish passim).
Established in 1999, listed AJS is Oman's leading welded pipe and merchant bar manufacturer. The plant produces tubular products, merchant sections and rebar with a total capacity of 600,000 t/y.
Source:Kallanish
