Liberty Steel CEO Jon Bolton has this week explained to Italian workers’ unions his company’s future guidelines for the Piombino, Italy-based Magona plant, following the signing of a conditional agreement on October 12 with ArcelorMittal to buy the plant along with four other steel plants around Europe. The European Commission still has to give the green light to the transaction.
Mr. Bolton said that, after the closing of the transaction, which is likely to happen at the beginning of 2019, the plant's pickling line will be reactivated. He added, "This is likely to be the only investment in 2019, but during the 100 days after the sale local unions and the company will engage with one another regarding the setting up of the industrial plant for the next five years".
The pickling line at the Piombino plant was halted six years ago. As stated by local labor unions, the Liberty Steel CEO told them that in the first phase semi-finished steel supplies will come from ArcelorMittal's plant in Fos-sur-mer, while in the second phase they will come from the Galati plant in Romania due to greater economic convenience, as soon as its current quality problems are solved." The Galati plant is one of the plants that Liberty has agreed to buy from ArcelorMittal.