The government has identified a new way to keep U.S. Steel as the owner of the country’s largest steelworks, in Košice, the Hospodárske Noviny daily reported on Thursday, February 7.
U.S. Steel said at the end of last year that it had received offers to sell its Slovak plant, noting that it had good financial results and a strategic position in the region. However, the company’s spokesperson in Košice, Ján Bača, refused to specify exactly what offers had been received. In an attempt to keep the US steel producer in the country, Slovak government will try to negotiate exemptions from the EU directive setting emission caps which will save the plant hundreds of millions of euros.
Currently, U.S. Steel does not comply with rules of the European Parliament and the EU Council on industrial emissions. If it does not invest in the reconstruction of three boilers that it currently uses to generate electricity, it would have to shut them down, which would mean higher costs. According to the Slovak proposal which the government will take to Brussels it would be enough to invest only €75.5 million in the reconstruction of the boiler system up to 2020. Spokesman for the Economy Ministry Stanislav Jurikovič confirmed to Hospodárske Noviny that negotiations are continuing but that no final proposals or solutions have yet been identified.
Source: Hospodárske Noviny
Compiled by Zuzana Vilikovská from press reports
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7. Feb 2013 at 14:00