"Speculations about layoffs and the suspension of another blast furnace at the Smederevo steel mill are arbitrary and have no basis in the decisions made by the company's leadership," the steelworks' spokesperson Dusanka Rankovic told Serbian news agency Tanjug.
According to the spokesperson, the Smederevo steel mill has been producing in accordance with the plan drawn up based on available resources and customer requirements. "We did not announce that another blast furnace will stop working," Rankovic said.
In the past days, local media reported that around 5,000 workers at the Smederevo would be sent home until further notice for the second time this year, and that another blast furnace at the steelworks would be idled.
The Smederevo steell mill became a state-owned company in late January this year, after being purchased for one dollar from US Steel, which pulled out from Serbia due to operating losses.
The Serbian Ministry of Finance invited a tender for a strategic partner for the steel mill on April 18, marking May 4 as the deadline for submission of binding offers. At the request of tenderers, the Serbian government extended the deadline until June 11. Interested buyers must submit a bid guarantee of €1 million.
Formal bids have so far been filed by Luxembourg-based United Pilsen SA, the Donetsksteel Group from Ukraine and Russia's Ural Mining and Metallurgical Company.