Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Liberty Steel has leased the Polish heavy plate steelworks Huta Częstochowa through its Corween Investments vehicle, according to local media sources.

 

The Polish plate mill hit headlines in July 2020 when the China-backed investment vehicle Sunningwell International was selected by the local District Court to acquire the steelworks.

 

According to local media, Sunningwell’s lease was terminated as steel production was suspended and the company failed to meet its financial obligations for the acquisition.

 

Liberty Steel is reported to have entered a lease agreement that will last until July 2021 by which point the Polish government hopes to have concluded the sale of the plant.

 

The next tender for the steelworks is scheduled for the end of January 2021 with the bidding starting at €42.2mn with Liberty Steel touted as the favored bidder.

 

Under Liberty’s stewardship, Huta Częstochowa is expected to first roll semi-finished steel products from the company’s Ostrava facility before returning production to 50,000mt per month.

 

Huta Częstochowa is equipped with an 800,000mt per year electric arc furnace (EAF) and continuous casting lines which are connected to a 1.2mn mt per heavy plate rolling mill and are integrated with its own scrap processing yard.

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