It is reported that hundreds of workers at Bulgaria's troubled steelmaker Kremikovtzi hurled stones and clashed with police in Sofia on Friday after natural gas supplies to the mill were cut off, prompting its effective shutdown.

About 1,000 workers protested in front of the ministry after state gas monopoly Bulgargaz cut supplies to the plant. The steelmakers, who had not received salaries since November, threw stones against the mill's headquarters and laid a coffin and lit candles to protest the gas cut-off. Two workers from the mill were arrested after they tried to overcome the police cordon and break into the Economy Ministry.

The protesters demanded an explanation for the cut in gas supplies to the plant and its looming shut-down from Economy Minister Mr Petar Dimitrov, whose department holds a 25% stake in Kremikovtzi and is in a position to exert pressure.

State gas monopoly Bulgargaz started to gradually cut gas supplies on Friday morning after the failure of negotiations between the Brazilian metallurgy giant CSN, the only potential bidder for the troubled steel mill, and its management. it currently owes Bulgargaz BGN 105 million.

Kremikovtzi, one of Bulgaria's biggest companies, provides jobs for over 5,000people and its future is a politically sensitive issue ahead of the general elections in the summer. The plant near Sofia was declared insolvent in August last year with debts exceeding EUR 1 billion. It is a big source of pollution and urgently needs re-furbishing.