Huta Częstochowa Next Tender Likely in January 2021
A third tender for the sale of struggling Czech steel plate producer Huta Czestochowa is expected in January 2021 with the starting price being reduced
A third tender for the sale of struggling Czech steel plate producer Huta Czestochowa is expected in January 2021 with the starting price being reduced to PLN 190 million (USD 50 million), down from PLN 220 million in the second tender in July 2020 and PLN 250 millionin first tender. The deteriorating conditions for the sale of assets are not the only problem: the plant has been operating with downtime since October. Trade unions operating in the steelworks demand acceleration of activities related to the selection of a potential investor.
Huta Czestochowa was established at the end of the 19th century in Raków in Częstochowa. It survived two world wars, a period of centrally controlled economy, the breakthrough of 1989 and privatization. In recent years, it has become famous, for example, for the production of parts for the reconstruction of the burnt Lazienkowski Bridge in Warsaw. Under the rule of the Ukrainian ISD, it fell into decline and practically went bankrupt. The trustee took it over, then his health deteriorated, but later leased it to Sunningwell in September 2019, a company managed by Mr Mark Frydrych, who has been dealing with the steel business for almost 30 years.
Huta Częstochowa has been smelting and processing steel for 120 years. During this time, it has produced over 50 million tonnes of steel, which has been processed mainly into plate and pipes. In the past, it was also processed into rails, wire and wire rod. The steel is smelted in the KONEL electric arc furnace and then refined in a ladle furnace and vacuum degasser. This biggest plant of the Steelworks is where the plate is produced. The quatro reversing rolling mill with MULPIC system enables the production of many categories of plate suitable for multiple applications. After rolling, depending on its purpose, plate can be normalised, hardened, tempered. In addition, thermomechanical rolling can be used to obtain appropriate strength parameters. Two separate cut to length lines allow to obtain plate of both standard and special dimensions.