Arcelor, Severstal inaugurate Severgal

Representatives of Luxembourg-based Arcelor and Russian steelmaker Severstal have inaugurated their joint galvanizing line, Severgal, located at Cherepovets, during a ceremony held on April 13, 2006, Arcelor sources report. Severstal Group holds a 75 percent stake and Arcelor has the remaining 25 percent stake in Severgal, which produces high-end coated steel for the Russian automotive market. Severgal, which has been built with an investment of $210 million, will have an annual galvanized steel production capacity of more than 400,000 tons after ramp-up.