October 11, 2008

Techint seeking USD 3.6 billion for Sidor - Report

Buenos Aires newspaper Clarin reported that the Techint Group will seek USD 3.6 billion in compensation from the Venezuelan government for its nationalization of steelmaker Siderurgica del Orinoco.

Buenos Aires based Techint controls Ternium SA, which owns a majority stake in Sidor as the Venezuelan steelmaker is known. The newspaper said the USD 3.6 billion estimate was made by experts whom it didn't name.

Mr Hugo Chavez president of Venezuela moved to nationalize Sidor, the country's only maker of flat steel products, because the company said it wouldn't meet union demands on pay.