Issad Rebrab, chairman of Cevital, the Algerian group that owns Italian steelmaker Aferpi, formerly the Piombino-based facilities of Lucchini, has appointed a French financial consultant to seek financial support for Aferpi from outside of Italy, according to a report from local media in Piombino.
Mr. Rebrab is currently facing difficulties in obtaining financial support for Aferpi in Algeria due to some problems with the Algerian govenrment relating to wire rod exports from Italy to Algeria, and has not been able to obtain support from Italian banks either.
The cash problem affecting Aferpi has forced the company to stop some of its rolling activities at Piombino, while at the same time the company is facing problems because of the halting of its wire rod exports to Algeria, where Aferpi had in previous months been shipping 20,000 metric tons per month.
Meanwhile, company sources state that the current situation is temporary and that the new EAF project at Piombino is not in doubt since financial coverage for the work of plantmaker SMS Group is scheduled at each step.