More time for steel plant bidders

03 September 2004
International companies have been given an additional three weeks until 18 September to submit bids for the contract to build a major greenfield steel plant financed by Abu Dhabi Investment Company (ADIC). Under the estimated $450 million project, the successful engineering, procurement and construction (EPC) bidder will set up a 1.2 million-tonne-a-year (t/y) steel plant in Fujairah.

At least four companies are prequalified to bid for the project, but it is understood that one - Japan's Kobe Steel- has declined to participate.

The companies expected to bid are: Austria's Voest Alpine Industrieanlagenbau (VAI),with Germany's Siemens; Germany's SMS Meer; and Italy's Danieli & Company. The technical consultant is the UK's WS Atkins.

The Fujairah project is one of several steel schemes planned in the federation. In May, Danieli won the EPC contract to build a stainless steel plant in Abu Dhabi for the newly established United Stainless Company (Usco), a joint venture led by Kuwait-based Gulf Investment Corporation (GIC) with local and Kuwaiti investors.

The $200 million plant will have capacity of 90,000 t/y of cold-rolled stainless steel and is due to begin commercial production in 2007 (MEED 28:5:04).

Abu Dhabi-based Al-Ghaith Holding Companyis also evaluating prequalifications for various packages including consultancy services, civil works and equipment supply on its proposed $140 million Hamil Steel pelletising and billet plant in Abu Dhabi emirate (MEED 20:8:04).

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.