Veolia, ArcelorMittal form a joint venture
07 June 2018
ArcelorMittal Méditerranée and Veolia, through its subsidiary Veolia Industries Global Solutions, have announced the creation of a joint venture to modernize the energy production plant at Fos-sur-Mer and to increase the site’s environmental performance by optimizing the recovery of energy from steelmaking gases and reducing CO2 emissions.
The Fos-sur-Mer site, which has an annual production capacity of 4.6 MMT of steel and specializes in the production of hot-rolled coils, is one of the largest ArcelorMittal sites in Europe.
In this partnership, the investments required to renovate the energy installations will be made by a joint venture owned 50/50 by ArcelorMittal Méditerranée and Veolia Industries Global Solutions, and will represent about EUR 190M over a period of 3 years. These investments mainly relate to the furnaces, rotating machinery and auxiliary equipment and aim to improve the recovery of the steelmaking gases resulting from the manufacturing process, in the form of steam, electricity and compressed air, intended to supply the blast furnaces and all the steel production installations.
The operation and maintenance of this plant will be entrusted to Veolia Industries Global Solutions for a period of 15 years, and will generate revenue of about EUR 450M over that period.