Arcelor Mittal to Build Saudi Steel Mill

Arcelor SA and Mittal Steel Co., currently joining to become the world’s largest steel producer, said Thursday they would build a steel mill in Saudi Arabia to supply the oil industry.

The companies said they would hold 51 percent of a joint venture with the Bin Jarallah group to construct a seamless tube plant in the eastern Saudi city of Jubail on the Persian Gulf that could churn out 500,000 metric tons of steel tubes and pipes a year.

State-run Saudi Arabian Oil Co., or Saudi Aramco, will be “one of the key customers” of the mill, Arcelor Mittal said.

Aramco plans to spend US$50 billion (euro65 billion) over the next five years to build more refineries in Saudi Arabia and other parts of the world and boost the kingdom’s refining capacity by as much as 60 percent over this period.

Forbes