Saudi Basic Industries Corporation (SABIC), one of the world's leading manufacturers of chemicals, fertilizers, plastics and metals, has announced that its steelmaking affiliate, Saudi Iron and Steel Company (Hadeed), has signed an agreement with the Italian plantmaker Danieli for the construction of a new steel plant and a new production line for galvanizing long products in Jubail, Saudi Arabia.
Accordingly, the new steel plant, which is scheduled to be commissioned in the second half of 2012, will have an annual production capacity of one million mt of steel billets, and will allow Hadeed to increase its total annual production capacity to six million mt, of which long products will account for four million mt.
The new plant will make Hadeed self-sufficient in feedstock, intermediate and finished products. The steel billets produced at Hadeed will meet the requirements of its galvanizing lines including the new one that is to be built by Danieli. Hadeed will be able to provide high quality specialized wire rolls to the plants that now import the product as well as meet the needs of special projects.