In a significant development for the European steel industry, JSW Steel Italy SrL, a subsidiary of the Indian steel giant JSW Steel Ltd., has entered into a landmark commercial agreement with Metinvest Adria S.p.A. The deal, announced on November 19, 2024, marks a crucial step in implementing the comprehensive Accordo Di Programma for the industrial revival of Piombino as a steel manufacturing hub.
The agreement builds upon the foundation laid by the March 2024 Memorandum of Understanding (MoU) between JSW Steel Italy SrL and the Ministry of Industries and Made in Italy. Under the terms of the commercial agreement, Metinvest is required to pay a substantial release fee of €30 million to JSW Steel Italy Piombino SpA, encompassing all aspects of the transaction. The transfer of rights remains contingent upon Metinvest's compliance with specific governmental procedures within a designated timeframe.
The strategic collaboration outlined in the MoU identifies various areas of cooperation between JSW and government institutions, focusing on the ambitious Rail Mill Modernisation Project. This comprehensive initiative encompasses three major components: the revamping of existing rolling mills, the establishment of a new hardening facility, and technological upgrades to enable the production of rails up to 120 meters in length.
