Ispat Group to form jv with Lukavac Coking Plant

Ispat Group to form jv with Lukavac Coking Plant

According to the recent market reports, London-based Ispat Group signed an agreement with authorities in Northern Bosnia to establish a joint venture company with Lukavac Coking Plant. For the establishment of the new joint venture company, which will be named as Global Ispat Koksna Industrija Lukavac, Ispat Group will invest $45.4 million (Bosnian Marka 77.5 million) and provide all necessary funds to commence production. Accordingly, Lukavac Coking Plant will turnover its assets and utilize all its units to provide technological entirety. 51% of the joint venture company will be held by Ispat, whereas the rest will be held by the state. The new joint venture is scheduled to commence production in May 2004. It is also reported that Ispat has interest in Bosnian biggest steel mill BH Steel, which is a joint venture between Bosnia and Kuwait.