Global steel giant ArcelorMittal has announced that AM InvestCo has signed a non-binding agreement with the Ilva commissioners which forms a basis to continue negotiations on a new industrial plan for the Taranto-based plant, including discussions on a substantial equity investment by a government-controlled entity. "The new industrial plan would contemplate investments in green technology, including through a new company funded by public and private investors," said ArcelorMittal in a statement.
The news was confirmed by sources at Italy’s economic development ministry, from which it was learned that the economic development minister Stefano Patuanelli has authorized the Ilva commissioners to sign the heads of agreement with ArcelorMittal. The same sources have specified that they have thus "laid the foundations for reaching a more complete agreement by January".
According to local Italian media, the text of the agreement has above all a political meaning, as it contains general principles that will have to be complied with in the upcoming negotiations. The difficulties to be resolved relate to ArcelorMittal's investments, the modalities and the amount of the intervention by the Italian state, the decarbonisation of the Taranto site, the annual production volumes and layoffs. Negotiations will continue until January 31.
In the meantime, at the Court of Milan hearing today, December 2, the Ilva commissioners and AM InvestCo have requested a further postponement of the Ilva commissioners' application for interim measures. The next hearing will be held on February 7. The Court of Milan had already postponed to December 20 the discussion of the urgent appeal with which the Ilva commissioners had challenged ArcelorMittal's decision to withdraw from the lease and subsequent takeover agreement concerning Ilva and its subsidiaries.
"ArcelorMittal will do everything possible to continue production, even if it will not be able to maintain the commitments on production capacity that were taken at the last hearing, because, in the meantime, on December 10, the judge in Taranto ordered the halting of blast furnace no. 2," said ArcelorMittal Italia's CEO Lucia Morselli during the hearing, as reported by local media.