April, 03 2006
Orissa CM to announce rehabilitation policy soon
Orissa CM Mr Naveen Patnaik said that the state government will soon announce a rehabilitation policy for the people to be affected by establishment of various industries. A good rehabilitation policy will be announced in the state for the people who will lose their land and houses he said.
While setting up the industries, special emphasis was being given towards protection of environment, he said.
CM said that the state government had signed 43 MoUs with private companies for setting up industries in steel, iron and aluminium sector. Thirteen companies had already started partial production in which about 7,000 persons had been given direct employment.
TATA Steel to start supplying outer panels steel to Maruti
Maruti Udyog has approved the skin panel components developed for its cars by TATA Steel and placed orders for use on a commercial scale. While TATA Steel has been supplying other components to Maruti for a long time, the skin panel is the latest and a prized addition. The two companies had started developing this sophisticated cold rolled product in 2004. This marks an important step in the development of value added high grade auto steel in the country.
We are also working on 22 other skin panel components, which are in various stages of development, a TATA Steel official said. In 2006-07, the company will supply 35,000 tonnes directly to Maruti and sell another 30,000 tonnes to different auto vendors for manufacturing ancillaries.
Maruti has been mostly importing skin panel components from Korea and Germany. However, the company has been working closely with domestic steel makers to develop the product indigenously.
SAIL looking at ailing rebar unit at Belur in WB
Telegraph has reported that Steel Authority of India has decided to take over the ailing National Iron and Steel Company located at Belur and will operate it as a downstream facility for Durgapur Steel Plant and IISCO Steel Plant for making TMT Bars from semis from SAILs units citing DSP ED & MD designate Mr V Shyam Sundar.
It is reported that the takeover has been cleared on a clean slate basis without any liabilities for SAIL as the state government has agreed to waive all internal dues which constitute a major portion of the companys liabilities of over Rs 160 crore.
NISCO was set up as a downstream unit for Tata Steel and IISCO in the mid 1930s by Mr ND Agarwal family. The unit gradually became a mini steel plant with a capacity to produce 30,000 tonnes of steel products per annum. Apart from two electric arc furnaces, it had a foundry, steel melting shop, machine shop and rolling mill. But the company went downhill in the sixties as a host of other engineering units became victims of excess workers, labor unrest, shrunk market and poor managerial capabilities. The Centre took over the company in 1979 and handed it over to Bengal in 1984. Both the Centre and the state tried to protect the jobs of over 1200 workers and continued to pay their salaries. However, the company did not receive any working capital finance or other inputs to revive it. NISCO was reduced to a conversion unit for private steel traders making rebars.
WBECSC accused of iron ore export irregularities
It is reported that Trinamul Congress chief Ms Mamata Baneerjee has written to Prime Minister Manmohan Singh demanding a CBI inquiry into misappropriation of funds worth Rs 525 crore by West Bengal Essential Commodities Supply Corporation.
It is reported that during a special audit by internal audit wing of the state finance department on the export of iron ore fines by the WBECSC it was found that the management began the IOF export business without the approval of the board. The audit wing found that no financial and technical viability report and market survey had been made. Contracts with foreign buyers were not vetted by any legal authority. The audit team also found that heavy losses were incurred due to poor quality IOF and for having sent cargo with LC.
It is reported that the management obtained packing credit without a supporting foreign buyers letter of credit to the extent of Rs 63.60 crore and the total outstanding bank loans stand at Rs 577 crore till November 2005 with a resulting liability of Rs 1.50 crore a month.
Unsecured advance of Rs 328 crore was made to associates for prospective procurement of cargo resulting in excess advancing of Rs 62.69 crore.
BEML develops new underground mining equipments
Huge potential exists for excavation of underground coal and in order to tap this business Bharat Earth Movers Limited has brought out new products including side discharge loader and load haul dumper.
A number of equipments developed by erstwhile BGML such as winches, winders, shaft drills etc are also being marketed.
Centre asks Orissa to ascertain impact of new port on Paradip
The Centre has asked the Orissa government to conduct a study by an independent expert group to ascertain if there could be any adverse impact on Paradip Port in the event a minor port comes up in its vicinity. "I have written to the Orissa Chief Secretary to commission a scientific and technical study by an independent expert group on the impact of the proposed minor port on Paradip Port", Union Shipping Secretary Mr AK Mohapatra said on the sidelines of a seminar organized by Utkal Chamber of Commerce and Industries.
Mr Mohapatra said that "The Paradip Port is already harassed by construction of sea wall, proposed single point mooring of the Indian Oil Corporation's Petro Chemical Complex and laying of crude oil pipeline from Paradip to Haldia. Any other proposal for a new port, hence, needed to be studied.
Stating that government was not against minor ports coming up in the state, he said, This is subject to certain parameters.... We will welcome any decision for a new port. The new port should not have duplication of facility available at the existing Paradip Port, he said. "When you are planning a new investment on port, you should ensure it does not come in conflict with the investment already made on a similar project", Mr Mohapatra said.
POSCO India had proposed to invest around 900 million dollars to set up a dedicated port at Jatadhari, about seven KM from Paradip Port.
Essar Group to bring in fresh equity
It is reported that Essar group will pump in fresh equity worth Rs 1,500 crore in the group companies and that the funds would be utilized partly for repaying of liabilities and partly to meet the costs of the various expansion plans in steel, power, shipping and all those that have already been announced.
The money would be invested through a clutch of wholly owned subsidiaries of the Mauritius based investment arm of the Group Essar Infrastructure Holdings Ltd. The funds would be invested initially in the capital of Teletech Investment (India) Ltd and Teletech in turn, would funnel the investment into the Group's steel, shipping, power and oil ventures.
NMPT handles 34.45 million tonnes of cargo in 2005-06
The New Mangalore Port Trust handled a record traffic of 34.45 million tonnes during 2005-06, as against 33.89 million tonnes handled during 2004-05, registering a growth rate of 1.65%.
NMPT chairman Mr Tamilvanan said that the number of vessels handled at the port has increased from 1057 to 1080. The increased volume of traffic has been due to the handling of POL Crude products, fertilizers, coal and containerized cargo. The container traffic also showed an upward trend with 148,952 tonnes as against 136,127 tonnes in 2004-05.
The total imports through NMPT during 2005-06 increased to 16.522 million tonnes as against 15.512 million tonnes in 2004-05. Exports amounted to 17.927 million tonnes during 2005-06 as against 18.379 million tonnes in 2004-05. Among the export, the export of iron ore concentrates and pellets came down to 3.457 million tonnes during the year as against 4.698 million tonnes in 2004-05. However the export of iron ore files and lumps increased from 5.577 million tonnes in 2004-05 to 5.847 million tonnes in 2005-06.
CCL posts profit in 2005-06
Central Coalfields Limiteds CMD Mr RP Ritolia lauded the officials and employees of the company for achieving Rs 1,105 crore profits in the last fiscal. Mr Ritolia said that this feat will continue because a passion to perform well has gripped the CCL employees.
Mr RP Ritolia has also chalked out the companys strategy for current financial year and asked the officials to set target of 44 million tonnes to 45 million tonnes during 2006-07.
Displaced tribals protest against setting up of steel plants
Tribals displaced by the establishment of steel and aluminium plants in Orissa organized protest rallies in the Lanjigarh area of the Orissa to remind the government about its promises. Tribals in Lanjigarh claimed that the government had promised to provide them with jobs and other facilities but now demand the return of surplus land as promises in the past remained unimplemented.
A displaced tribal said that Vedanta acquired my house and paid me 37,000 rupees as compensation but when he approached them for job he was rejected saying that he is not qualified for these jobs. Mr Prashanta Panda, an activist working for the displaced tribals, said that the steel plants rather hired people from outside the State.
Foreign and Indian private steel companies are setting up huge steel mills in the mineral-rich states of Orissa, Jharkhand and Chhattisgarh, but villagers in these areas complain they are not adequately compensated for their land. Poverty-stricken Orissa has a significant tribal population, mostly industrial workers and daily wage earners.
Mittal Steel opens office in Ranchi
It is reported that Mittal Steel has opened its office in Ranchi to translate into reality an agreement it signed with the Jharkhand state government last year to set up a Greenfield steel plant.
The office of Mittal Steel Company has been opened at Capitol Hill Hotel here and will be shifted to a permanent address later.
Minmetals to open new office in India
It is reported that China Minmetals Corp is close to opening a new office in India. The purpose of this new office is to develop iron ore, coke and coal business between the two countries. The company is also looking to establish more export more steel making facilities to India.
Minmetals is the biggest metals trader in China and they import a big quantity of iron and ore from India.
POSCO CEO urges for aggressive expansion
POSCOs CEO Mr Lee Ku-taek during a speech commemorating the 38th anniversary on Saturday has raised concerns about the POSCOs future, urging its employees to be more aggressive in seeking profits. Surrounded by rapidly changing business conditions, the law of success from our past is not valid anymore. If we stay where we are now, the legend of POSCO will be gone and someday we may see an empty steelyard where we used to work, he said.
POSCO has to give more effort in developing high tech products and expanding its business opportunities to China and India, Mr Lee stressed. To make POSCO a respected and continuously growing company, we have to recover our price competitiveness that we will never lose in any situation. To achieve that, we have to create high end steel products and we have to look for new business opportunities across China and India.
Mr Lees remark came as POSCO is reported to be the next target for a foreign takeover. That foreigners command a 69% stake in POSCO is one of the most frequently cited reasons for its vulnerability. The foreign shares are well spread among various investment funds that so far havent showed interest in the companys management, with US based Alliance Capital Management being the single largest shareholder with 6.9%.
BHP completes $1.6 billion off market share buy back
BHP Billiton announced the successful completion of its off-market buy-back of 96 million BHP Billiton Limited shares, which comprises the first stage of its $2 billion capital management program. Due to the strong demand available at an attractive price, BHP Billiton increased the buy back to $1.6 billion, representing 1.6% of the issued share capital of the BHP Billiton Group and 2.7% of BHP Billiton Limited.
The final price for the buy-back has been set at A$23.45 per share, representing a discount of 14% to the volume weighted average price of BHP Billiton Limited shares over the 5 trading days up to and including the closing date of the buy-back.
BHP Billitons CFO Mr Alex Vanselow said the successful execution of the off market buy back provides an optimal means for maximizing economic value for all of our shareholders. Shareholders in both BHP Billiton Limited and BHP Billiton Plc will benefit from the enhanced value of the remaining shares through the increased earnings, cash flow and return on equity attributable to each share."
Thermal coal prices for Chinese power plants go up by 5%
The price of coal supplied to power companies is set to rise approximately five pct this year from a year ago, the 21st Century Business Herald reported, citing industry officials. Quoting China Coal Transport and Distribution Association deputy director Mr Wu Chenghou, the newspaper said that the country's major power generators have already inked 80% of their coal supply contracts for 2006 with coal producers.
Mr Li Xiaopeng, president of the country's largest power generator China Huaneng Group said last week that the company has secured 70% of its planned 66 million tons of coal supply for this year, with price rises of less than 5% for most of the supply, according to the report.
China's second largest power firm Datang Group also said that it has signed agreements for 60% of its 50 million tons of coal supply this year, with the prices increasing 5% to 6% over last year, the newspaper added.
The country's major coal producers and power companies have been in disputes for months on the price hikes for coal since China removed price controls on coal used by power plants at the beginning of this year.
PSMC Privatization Opposition party questions the deal
It is reported in a Pakistani daily that Mian Raza Rabbani, Parliamentary leader of the Pakistan Peoples Party strongly condemned privatization of the Pakistan Steel Mill Corporation at a throw away price by the Government. He said that this process has once again shown that the present government believes in cronyism and is patronizing few business houses in Pakistan and accused the government for lack of transparency and that deals are made in haste and much below the market price of the asset. PPP also criticized the government for not announcing any package for laborers and for not disclosing the reference price.
PPP questioned the government that the land measuring 4,547 acres which have been sold with the mill at a rate of Rs. 11 per acre has a market valve of Rs. 2 billion per acre, the inventory of mill has a market value of Rs. 12 billion, the raw material worth Rs 7 billion that has been sold along with the mill, machinery purchased for the expansion of the Mill amounting Rs. 9 billion that has been sold with the mill, Rs 4 billion present in the accounts of the mill and Rs 24 billion lying as gratuity and provident fund.
PPP said that the issue of sale of the mill should be raised on the Senate floor and full investigation into the sale by a bi partisan Committee of the Houses of Parliament shall be launched.
SA ferro chrome price rises to 70 cents for Q2 in EU market
Contracts for the supply of ferro chrome also known as charge chrome by South African producers to European consumers in the second quarter have been settled at an increase of 7.25 cents per pound from first quarter levels, market sources said on Friday. The increase takes prices to around 70 cents. The increase was largely in line with market expectations.
Producers were gunning for a 10 cent increase and buyers were looking for 3 cents. "With an increase we're never satisfied, but you have to be realistic," a buyer said.
"We are happy, it's a reasonable outcome that covers both sides' needs and it's a realistic price that allows the producers to make marginal profit," a producer said. The increase would not be big enough to justify restarting suspended furnaces, the producer said. "The furnace cutbacks will remain in place," one of the producer said.
Prices fell by a total of 15 cents in 2005, with producers responding by switching off furnaces. Number one producer Xstrata suspended production at seven of its 16 furnaces. Samancor Chrome, the world's number two told that it had shut six of its 15 furnaces and was considering taking further units offline.
Danieli to supply new rolling mill stands to CMC Birmingham
CMC Steel in Birmingham Alabama, the former SMI Steel Inc, has selected Danieli Morgdshammar to supply two new 26 inches vertical breakdown rolling mil stands as part of a modernization of the structural mill there. They will process square billets up to 6.25 inches and 10x6 inches rectangular blooms. The structural mill produces up to 8 inches wide flange beams, 4 inches S beams, 6 inches angles and 8 inches channels and flats.
Danieli said that the new heavy duty SHS housing less stands will replace two units in an effort to improve production efficiency and operating conditions. The contractor adds that the new stands also will minimize the plants present maintenance requirements. The supply also includes spare rolling units, a set of entry & exit guides and roll changing equipment.
In 1999, Danieli supplied automatic finishing facilities for this line, including a cooling bed, in-line straightening/cutting-to-length unit, and a 90-ft-long automatic stacker. Subsequently it has supplied some modifications to the existing finishing mill, including new spindle supports.
Indonesian PT Kraktau lodges anti dumping for HRC
It is reported that state owned Indonesias Krakatau Steel has lodged an anti dumping case for hot rolled coil imports from several countries. They have given their case over to KADI for further investigation but no decision has been made on whether or not this case has been accepted but further investigation will start within the next 30 days.
The case sites ten countries including Japan, China, Thailand, South Korea, India, Ukraine and Russia.
Mittal Steel SA expansion not based on export viability
The decision to raise steel production from Mittal Steel SA's mills by two million tons over the next few years was premised on a de bottlenecking exercise and on a desire to create greater operational flexibility. It was not premised, group manager technology Mr Marthinus Schoeman indicated, on the proposition that reasonable returns could be earned using export prices as a base, despite the fact that most of the new output would be destined for markets abroad during the hearing haring at competition tribunal.
Mr Schoeman also elaborated on the difficulty of ramping up or scaling back production arising from Mittal Steel SA's blast furnace heavy asset suit. He said a substantial cutback would be accompanied by a number of significant challenges and could even lead to asset damage. Mr Schoeman argued that allowing a coke oven to cool could reduce the life of a plant, while a cut back in a blast furnace's output would lead to operational instability, higher energy demand and higher operating costs.
The testimony ties in with Mittal Steel's argument that its R9 million CAPEX program was aligned to an efficiency drive, rather than the proposition that, because the output would mostly be destined for export, it could make reasonable profits at export price levels.
The gold-miners, on the other hand, were calling for the tribunal to impose a remedy, requiring Mittal to base all of its prices on a single ex-works price, aligned to export prices.
48 steel companies in Forbes 2000 list
Citigroup topped the Forbes magazine's coveted list of top 2000 corporate followed by General Electric, Bank of America, American International Group, HSBC group, ExxonMobil, Royal Dutch/Shell Group, BP, JPMorgan Chase and UBS. The corporations are ranked on a composite score for sales, profits, assets and market value
The list includes 48 steel companies.
Rank Sl Name Sales Profits Assets
155 1 Arcelor 39.01 4.49 40.62
173 2 Nippon Steel 31.62 2.06 35.65
186 3 Mittal Steel 26.86 3.21 30.29
214 4 JFE Holdings 26.16 1.49 33.63
216 5 Posco 23.16 3.68 23.26
237 6 ThyssenKrupp 50.56 1.22 42.08
374 7 Sumitomo Metal 11.54 1.03 17.86
518 8 Kobe Steel 13.47 0.48 17.43
530 9 Nucor 12.70 1.31 7.14
572 10 Corus Group 17.91 0.86 13.66
626 11 US Steel 14.04 0.91 9.82
648 12 China Steel 6.04 1.62 8.15
675 13 Baoshan 7.05 1.13 7.75
739 14 Severstal 6.89 1.45 6.58
764 15 Sail 6.83 1.58 6.61
770 16 Novolipetsk 4.70 1.84 5.17
806 17 Grupo Mexico 5.48 0.67 9.43
844 18 Usiminas 4.60 1.14 6.06
857 19 CSN-Cia 3.69 0.75 9.12
894 20 Ternium 4.45 1.07 8.66
974 21 Voestalpine 7.49 0.42 6.86
993 22 Mitsubishi Matl 9.19 0.15 12.94
1021 23 Gerdau 7.38 0.54 6.84
1092 24 Salzgitter 8.06 0.33 5.93
1097 25 Bluescope 6.04 0.77 4.87
1142 26 Tata Steel 3.66 0.82 4.05
1174 27 Mechel 3.64 1.34 3.68
1221 28 Rautaruukki 4.32 0.54 3.19
1230 29 Hyundai Steel 5.52 0.47 5.83
1303 30 Ipsco 3.15 0.61 2.62
1343 31 Dongkuk 4.68 0.44 5.37
1367 32 Allegheny 3.54 0.36 2.73
1386 33 Vallourec 4.12 0.18 3.49
1414 34 SSAB-Svenskt 3.49 0.51 2.73
1417 35 Erdemir 3.25 0.58 4.6
1444 36 Nisshin Steel 5.00 0.23 6.35
1465 37 CMPC 1.94 0.30 5.6
1476 38 Umicore 7.76 0.17 3.31
1495 39 Commercial 6.71 0.28 2.3
1529 40 Outokumpu 6.56 -0.43 6.51
1593 41 Acerinox 4.98 0.18 4.28
1675 42 Wuhan 2.91 0.39 3.67
1684 43 Maanshan 3.23 0.43 3.76
1717 44 Alexandria Iron 1.36 0.41 1.64
1763 45 AK Steel 5.65 0.00 5.49
1901 46 Tokyo Steel 2.17 0.47 2.35
1943 47 Nippon Light 5.23 0.13 4.73
1991 48 Daido Steel 4.00 0.11 4.06
All figures are in billion $.
Anglo to complete BEE at Samancor Manganese
Together with BHP Billiton, Anglo American is looking to complete the introduction of black economic empowerment at Samancor Manganese South Africa, Anglo indicated in presentation material on its website. Anglo also said that it would seek to grow ore production at Samancor Manganese Australia.
The group was also looking to complete its disposal of its 79% stake in Highveld Steel and Vanadiumas well as introduce BEE into Scaw South Africa.
Evrazs Novokuznetsk faces closure
Evraz may have to shut one of its three plants until a new facility to treat waste water is built. The Federal Agency for the Inspection of Natural Resources Use will ask a court to order the closure of Novokuznetsk Iron & Steel, the regulator said in a statement.
The company does not expect to complete the waste facility until 2010. "Documents on the waste disposal program are in the process of being agreed upon by state structures" Novokuznetsk said in a statement Friday. The mill has been disposing waste under an accord with the local authorities since 2003, it said.
Nigerian Delta steel plans $122 million investment
Mr Sumil Bhandrie Director of Operations of Delta Steel Company said that the company plans to invest $122million to boost the companys production capacity from the current one million metric tonnes to 2.4million metric tonnes annually before 2011.
He said that Our plan is to make the best product at a very reasonable price to customers. Our SMS plant started production two months ago, the second furnace comes up by May 7, while the third will come up in August.
DSC has produced 200,000 tonnes, since it was privatized by the Federal Government and taken over by Global Infrastructure Holding Limited in 2005.
BHP admits of cost pressures on Ravensthorpe Ni project
BHP Billiton has warned that its $1.34 billion Ravensthorpe nickel development in Western Australia may suffer another cost hike later this year but the project remains on track for its first production by mid 2007.
Mr Chris Pointon president of BHP's SS materials unit said during an interview with DJ that BHP is in a constant battle to contain costs at Ravensthorpe because of a shortage of skilled workers and rising materials charges. We've started a definitive review on costs but I would guess that it wouldn't really be completed until the third quarter of this year. It wouldn't surprise me if the final cost comes out a little bit higher than what we announced in September."
BHP revealed last year that Ravensthorpe's cost had risen by $290 million to $1.34 billion. The cost of the associated expansion at Yabulu refinery in Queensland state which will process nickel products from Ravensthorpe also rose by $110 million to $460 million.
Pakistan shifting to industry based economy
Pakistans PM Mr Shaukat Aziz has called upon the private sector to use innovative technologies for to increase production and export and for import substitution Underlining the importance of the use of latest technologies in the industrial sector to improve productivity and competitiveness of products.
The prime minister said that Pakistan is gradually shifting its focus from agriculture-based economy to industrial economy and production of high value added goods. He said to facilitate industrial development, the government is focusing on bridging the skills gap and the Technical and Vocational Training Authority has been set up to address this issue. Also, the government has been investing heavily in development of human capital to build a knowledge based economy and to create the core competence required for our industrial growth.
Solid Energy admits spying on protestors against coal mine
New Zealands state owned coal producer Solid Energy has defended its use of private investigators to gather information about protesters opposed to a planned coal mine near Westport as the protesters have cost them up to $1 million following illegal occupations, vandalism, lost revenue and wasted staff time since the end of 2004.
Solid Energy CEO Dr Don Elder said as a result of increased protest action, both legal and illegal, the company had contracted the security services of Thompson & Clark Investigations and Gibston Security Ltd. We have to take security seriously in our business,'' Dr Elder said in a statement. We need to ensure that our staff and contractors work in a safe environment, we also need to protect our property and we need to minimize disruption to our business.''
Protest group Save Happy Valley are intent on preventing an opencast mine in Happy Valley, which they say will destroy the natural habitat of the great spotted Kiwi and protected giant snails.
Vinashin to build new shipyard in Ca Mau
The Viet Nam Shipbuilding Industry Corporation recently announced its intention to invest VND300 billion ($18.9 million) on the construction of a new shipbuilding factory in the southernmost province of Ca Mau.
Located on a 54 hectare site, the factory is to have a capacity to build ships weighing up to 10,000 tonnes, and will employ 4,000 workers once fully operational.
Cline to provide information on Lodgepole coal mine
Canadian Cline Mining Co has agreed to give concerned Montana officials more details about the project in April, the state water management chief said.
Cline is hoping to mine coal just north of Glacier National Park. Cline wants to develop its Lodgepole coal mine in the Foisey Creek headwaters area of British Columbia. Foisey Creek flows into the Flathead River system that spans the British Columbia-Montana border. The North Fork of the Flathead serves as the western boundary of Glacier National Park and supports rare fish.
PEB Steel opens second plant for pre fabricated buildings
European pre fabricated steel buildings maker PEB Steel inaugurated its second factory in Viet Nam, which is set to bring its total output to 60,000 tonnes per year. The $6 million plant, located in the southern province of Ba Ria-Vung Tau, covers an area of 43,000sq.m, one of the countrys largest.
According to the director of the new factory Mr Samuel Wu 60% of its output will be sold in the domestic market and the remaining 40% cent exported.
Established in 1993, PEB has supplied over 3,000 pre fabricated steel buildings in Viet Nam and other regional countries.
Ghanas Wahome Steel takes back plants from IRL
The management of Wahome Steel Company has taken over its plants and machinery from Intrinsic Resources Limited due to IRL breaching a number of agreements and not paying rent for the third and fourth quarters of 2004, the whole of 2005 and the first quarter of this year.
The plant and machinery of Wahome Steel Limited were leased to IRL on rent and to operate the Wahome Steel plant. The plant and machinery were leased for a three year period from December 2001 to December 13 2004 but the lease agreement is now in its fifth year.
The Social Security and National Insurance Trust, which holds workers pensions in trust, is the majority shareholder of Wahome with more than 92% of the total equity in it.
Nigerian Dangote vacates sacked workers of Osogbo Rolling Mill
A Nigerian daily has reported that Dangote Group of Companies, the new owner of Osogbo Steel Rolling Company, has asked the sacked workers to vacate their residential quarters and handover company property immediately. Majority of them have been residing in these quarters since 1983 when the company began production. Mr BA Fasoro GM conveyed the decision of the new management to the workers saying they were advised to stay away from the premises except those in the security and fire service departments.
After privatization over 400 workers of the company were consequently relieved of their jobs in December last year. Majority of the workers sacked are Chinese and Indian trained. It is reported that the Federal Government is yet to pay their terminal benefits.
