The British industrial group GFG Alliance, which recently bought Indian steel company, will invest € 2 billion in steel plants in Europe to boost their performance and reduce carbon dioxide emissions.
The company said about half of this amount, i.e. about 1 billion euros will be invested in the development of the Romanian Galati steel plant, which GFG in 2019 acquired from ArcelorMittal. Its production capacity will be increased from the current 3.6 million tonnes to 4 million tonnes.
Another 750 million euros is expected to invest in the Ostrava plant in the Czech Republic, also acquired from ArcelorMittal. Its performance can be increased by more than 50% compared to the current 3 million tons per year. However, as Romanian and Czech companies are currently not fully loaded.
According to global operations Director GFG Neil Burrell, the company has not yet raised the purpose of replacement of blast furnaces and converters on its European assets electric arc furnaces. However, the company believes EAF technology is more promising because it provides greater production flexibility and produces fewer carbon dioxide emissions.