September 07, 2008

Sumitomo and Bhushan Steel Limited deepen ties

Sumitomo Metal Industries Limited and Bhushan Steel Limited have signed a MoU regarding Sumitomo Metals' participation in the Bhushan Steel Limited’s Orissa integrated steel project, which is currently under execution.

Sumitomo Metals has provided technical assistance to Bhushan Steel Limited and supplied it with steel sheets since 1997. The alliance announced that it intends to deepen this relationship and give further impetus to Sumitomo Metals' strategy to grow its steel sheet business.

Specific details of the alliance are as follows
1. Sumitomo Metals will provide Bhushan Steel Limited with technical assistance for the construction and operation of the integrated steel works Bhushan Steel Limited is building at Orissa in India.
2. Sumitomo Metals will also provide Bhushan Steel Limited with technical assistance for the production of steel sheets for automobiles.
3. Sumitomo Metals will be the exclusive provider of this technical assistance.

Bhushan Steel Limited is building an integrated steel works that will include a blast furnace, steelmaking facilities and a hot strip mill. When it is completed in 2008, its initial capacity is expected to be 2.2 million tonnes per year.